With most of the major cloud providers having now released their earnings data for Q3, Synergy estimates that quarterly cloud infrastructure service revenues (including IaaS, PaaS and hosted private cloud services) were $68.1 billion, with trailing twelve-month revenues reaching $257 billion. Public IaaS and PaaS services account for the bulk of the market and those grew by 19% in Q3. The dominance of the major cloud providers is even more pronounced in public cloud, where the top three control 72% 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, China, Australia and Japan all growing by 20% or more year over year.
While the law of large numbers continues to exert downward pressure on cloud market growth rates, AI is giving the market an added boost. Helped by AI, there are signs that many enterprises are through their period of belt tightening and of optimizing rather than growing their cloud operations. AI is helping to open up a wide range of new cloud workloads. The large Chinese market is also gradually nudging back towards a more normal growth pattern, after a long period of constrained cloud operations. Synergy fully expects future cloud growth rates to remain buoyant over the coming years.
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.
To speak to an analyst or to find out more about how to access Synergy’s in-depth market data, please contact Heather Gallo @ [email protected] or at 775-785-3113.
SOURCE Synergy Research Group
