Customer Cloud Infrastructure Spending Grows 50%
Spending on cloud infrastructure services jumped 50 percent, year over year, in the from second quarter of 2017, according to Synergy Research. Synergy estimates that quarterly cloud infrastructure service revenues (including IaaS, PaaS and hosted private cloud services) are now comfortably over $16 billion.
“Revenue growth at Microsoft, Google and Alibaba far surpassed overall market growth rate,” says Synergy, but Amazon maintained its dominance with 34 percent market share.
Smaller providers are losing share. Of the top 25 cloud providers, only three other companies have seen their market share increase significantly, though none of the three has yet broken through the one-percent market share threshold.
Meanwhile IBM market share has been relatively stable at around eight percent, thanks primarily to its strong leadership in hosted private cloud services.