Big Four Cloud Providers Grew 68 Percent in Q2 2016: Synergy
Amazon Web Services increased its leading share of the cloud infrastructure services market in the last quarter, growing by 53 percent year-over-year, according to Q2 data released by Synergy Research Group on Monday.
Amazon Web Services increased its leading share of the cloud infrastructure services market in the last quarter, growing by 53 percent year-over-year, according to Q2 data released by Synergy Research Group on Monday. AWS holds over 30 percent of the market, and though top competitors Microsoft, IBM, and Google all grew faster over the past quarter, AWS remains significantly larger than the other three combined.
The “big four” grew by 68 percent in the past quarter, while the next 20 grew by 41 percent, and smaller providers grew by 27 percent. The market as a whole increased by 51 percent, showing considerable opportunity remains for providers across the board.
“In a variety of ways Amazon and the other big three players have distanced themselves from the competition in this market and continue to widen the gap,” said John Dinsdale, a Chief Analyst and Research Director at Synergy Research Group. “What marks them out as different is their global presence, marketing muscle, ability to fund huge investments in hyperscale data centers and, in most cases, a determination to succeed in the market.”
Dinsdale also notes that the growth of Alibaba and Oracle stood out among the “next 20” group, but that Google, while only one-sixth the size of AWS as a cloud infrastructure provider, is very far ahead of them, and growing at over 100 percent year-over-year.
IBM’s revenue grew by 57 percent, buoyed by its leadership in hosted private cloud, while Microsoft’s grew by 100 percent, and Google’s by 162 percent.
Synergy estimates that quarterly revenues reached $8 billion, and trailing 12-month revenues approach $28 billion.
The North America region remains more than half of the worldwide market, and the EMEA and APAC regions are similar in size, according to Synergy, but the APAC growth rate is higher.