Low growth hits data centre infrastructure market as public cloud blossoms

Private cloud infrastructure market has also grown, though not as strongly as public cloud

Quarterly spend on all data centre hardware and software has grown by just five per cent during the past 24 months, while spending on the public cloud portion of that has grown by 35 per cent.

According to new data from Synergy Research, the private cloud infrastructure market has also grown, though not as strongly as public cloud, while spending on traditional, non-cloud data centre hardware and software has dropped by 18 per cent.

Meanwhile, original design manufacturers (ODMs) in aggregate account for the largest portion of the public cloud market, with Cisco being the leading individual vendor, followed by Dell EMC and Hewlett Packard Enterprise.

The second quarter market leader in private cloud was Dell EMC, followed by HPE and Microsoft, with the same three vendors leading in the non-cloud data centre market, though with a different ranking.

“With cloud service revenues continuing to grow by over 40 per cent per year, enterprise SaaS [software-as-a-service] revenue growing by over 30 per cent, and search/social networking revenues growing by over 20 per cent, it is little wonder that this is all pulling through continued strong growth in spending on public cloud infrastructure,” Synergy Research chief analyst and research director John Dinsdale said.

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