New data by Synergy Research Group, with is a provider of quarterly market tracking and segmentation data on IT and Cloud related markets shows that more than 50% of the worldwide cloud infrastructure service market is controlled by these four giants: Amazon Web Services (AWS), Microsoft, IBM, and Google.
Not only do these four giants control more than half of the worldwide cloud infrastructure service market when combined, but they individually continue to grow and develop, becoming bigger and bigger every day compared to the other competitors that control the rest of the cloud infrastructure service market.
“In aggregate the big four grew their cloud infrastructure service revenues 68% in Q2, while the next 20 largest cloud providers grew by 41% and all other smaller providers grew by 27%. The market as a whole grew by 51%. Amazon remains in a league of its own, almost three times the size of its nearest competitor and with a clear lead in all major regions and most segments of the market,” according to Synergy Research Group.
Cloud Infrastructure Services - Q2 2016 - Market Share and Revenue Growth (including IaaS, PaaS and Hosted Private Cloud) data shows that Amazon is leading the Worldwide Market Share with over 30% of the shares, followed by Microsoft with over 10%, IBM with over 7%, and Google with around 5% of the shares. The following 20 companies combined control over 25% of the Worldwide Market Share for the second quarter of 2016.
Year over Year (YoY) growth also shows how the main companies that are in control continue to grow year by year. Google has a 162% YoY Growth, followed by Microsoft with 100%, IBM with 57%, and Amazon with 53%. The next 20 companies that include Alibaba, AT&T, BT, VenturyLink, Fujitsu, Joyent, HPE, NTT, Oracle, Orange, Rackspace, Salesforce have a 41% combined Year over Year growth.
“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,” according to Synergy Research Group Chief Analyst and Research Director John Dinsdale. “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. The ranking of the next 20 largest cloud providers features some interesting companies, with Alibaba and Oracle growing particularly strongly, but they are all starting from a long way behind Google, which is itself growing by well over 100% per year and yet remains only a sixth the size of Amazon,” Dinsdale added.