Cloud Services Market Grows Rapidly With Amazon Tops The List Again

Saanvi Araav - Aug 20, 2019


Cloud Services Market Grows Rapidly With Amazon Tops The List Again

The IaaS (infrastructure as a service) worldwide market last year has grown 31.3% with Amazon continues to lead the market.

According to a Gartner Inc report, the IaaS (infrastructure as a service) worldwide market last year has grown 31.3%. That means it has reached 32.4 billion dollars, a significant growth from 24.7 billion dollars in 2017. And again, Amazon takes the no.1 spot, while leaving IBM, Google, Microsoft, and Alibaba behind.

A consolidated market

Sid Nag (Gartner's Vice-President of Research) has delivered a statement on this report. He said that even though the market is expanding rapidly, its consolidated status tipped toward dominant and big providers, while niche and smaller providers losing their share.

1 Z2tcn00 Zthcacscmdcvvg
This consolidation will probably continue through 2019 as well.

The report indicates that it is a sign showing that scalability is essential in IaaS public cloud business. And only big and well-established providers who have big data centers in many regions will win in the fight for market share. Another way to success could also be achieved by offering rich functionalities across multiple Cloud technologies.

Last year, five companies accounted for about 77% of IaaS market worldwide, up from under 73% in 2017. According to the report, this trend will probably continue through this year as well. It will be fueled by the fast growth rate of those top providers. They experienced a 39% growth from 2017 to last year, in comparison to just 11% growth of other providers.

The big players

Undoubtedly, Amazon continued to be in the lead with about 15.5 billion dollars revenue in last year, that was a 27% increase from 2017. That accounts for almost half of the market share. Moreover, Amazon will also continue to grow in other IT markets with its new services and acquisitions.

1 S2unu5gngp3jnhniupvtfa
Amazon will also continue to grow in other IT markets with its new services and acquisitions.

Microsoft took the 2nd place in this market with more than 5 billion dollars in revenue last year, an increase from 3.1 billion dollars in 2017. The company delivers its IaaS products via its Microsoft Azure service. It will also keep on solidifying its place as a significant IaaS provider.

While in China, the dominating IaaS provider is Alibaba Cloud. It has experienced the most significant growth among the major vendors, with a 92.6 growth rate last year.

Comments

Sort by Newest | Popular

Next Story

Read more

Are Autoplay-Styled Games The Future Of Gaming?

Review- Feb 08, 2023

Are Autoplay-Styled Games The Future Of Gaming?

Their accessibility, ability to be played while idle and free-to-play model makes them an attractive option for many players.