Amazon Web Services (AWS) has 45 percent share of the public IaaS market, despite Microsoft and Google achieving much higher growth rates in Q3 2016, says Synergy Research Group.
The report said Amazon remains more than twice the size of the next three public IaaS providers — Salesforce, Microsoft and IBM — combined.
Amazon has a big lead over Salesforce, Microsoft and IBM in the public PaaS market. In the managed private cloud segment IBM is the market leader, followed by Amazon, Rackspace and NTT. In aggregate the big four cloud providers – Amazon, Microsoft, IBM and Google – continue to control well over half of the market and all continue to grow their market share.
Synergy estimates that quarterly cloud infrastructure service revenues (including public IaaS, public PaaS and managed private cloud) have reached well over $8 billion and continue to grow at 50 percent per year.
While public IaaS is the biggest of the three main cloud segments, public PaaS is growing much more strongly. The database, IoT and analytics sub-segments within PaaS are all growing by 100 percent or more per year.
Amazon, Microsoft and Google invest huge amounts in their hyperscale data center infrastructure, and all three have recently expanded their data center footprints and also announced plans to open up more geographic regions in the coming months. This scale is the prime reason why they are able to gain market share and pressure smaller players into consolidation or refocusing their cloud activities.
“Some tier 2 players are looking to buck the trend and at least some are seeing particularly strong growth, including Alibaba (particularly in IaaS) and Oracle (in PaaS),” said John Dinsdale, chief analyst and research director at Synergy Research Group.
