With most of the major cloud providers having now released their earnings data for Q2, Synergy estimates that quarterly cloud infrastructure service revenues (including IaaS, PaaS and hosted private cloud services) were $79.1 billion, with trailing twelve-month revenues reaching $297 billion. Public IaaS and PaaS services account for the bulk of the market and those grew by 23% in Q2. The dominance of the major cloud providers is even more pronounced in public cloud, where the top three account for 73% of the market. Geographically, the cloud market continues to grow strongly in all regions of the world. When measured in local currencies the APAC region had the strongest growth, with India, Japan, Australia and South Korea all growing by 25% or more year over year. The US remains by far the largest cloud market, with its scale far surpassing the whole APAC region. The US market grew by 22% in Q2. In Europe the largest cloud markets are the UK and Germany, but the big markets with the highest growth rates were Ireland, Italy and Spain.
“We are now seeing more normalized growth of the cloud market, though some speed bumps do remain. As one example, were it not for a strengthened US dollar, the Q2 growth rate would have been around one point five percentage points higher,” said John Dinsdale, a Chief Analyst at Synergy Research Group. “As the market pushes ever higher, the competitive dynamics continue to evolve. Amazon and Google’s share both nudged upwards in Q2 while Microsoft’s share dropped a little, though the trend lines for both Microsoft and Google continue heading upwards. Among the next group of companies, Oracle is now starting to separate itself to become a top five player, though the gulf between it and the leaders remains huge. In this market Google is almost five times the size of Oracle, while Amazon is almost three times the size of Google.”
About Synergy Research Group
Synergy Research Group provides quarterly market share analysis and forecasts for Communications and Cloud related industries. Our data and analysis is provided to clients through Synergy’s unique research SaaS platform, SIA™, which enables intuitive access to complex and fast-moving data sets.
Synergy’s Competitive Matrix™ and CustomView™ take this research capability one step further, enabling our clients to receive on-going quantitative market research that matches their internal, executive view of the market segments they compete in. Synergy’s data analytics and analysis have been widely recognized worldwide for over 20 years and are frequently used by global industry leaders, governments, and financial institutions.
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SOURCE Synergy Research Group
