AWS now controls half of the public cloud market. AWS utilized its competitors ten times a year ago, but today it’s on track to surpass 50% of the market, as Microsoft Azure and Google Cloud’s dominance dwindles. Amazon’s public cloud hypermarket share will decline to 50% as Microsoft Azure and Google Cloud challenge AWS’s supremacy despite the continued expansion.
According to Forrester Vice President and Senior Analyst Andrew Bartels, Amazon Web Services’ market share will fall from 68% in 2018 to 56% in 2022. Microsoft Azure now has 33% of the market, while Google Cloud holds 15%. According to Bartels, “all three hyper scales increase rapidly but shrink in size.”
In the second quarter of 2022, Amazon Web Services (AWS) had a 31% market. Microsoft Azure has a 22% market share, whereas Google Cloud has an 8% market share. They will account for 61% of overall expenditure in Q2 2022. These companies’ cloud services are used for machine learning, data analysis, cloud development, and application transfer. Canalys estimated AWS had a third of the market, followed by Microsoft (15%) and Google (5%).
Public Cloud Market Share Statistics
Global cloud infrastructure is expected to grow by 42% in 2019. Microsoft Azure and Google Cloud had more significant sales percentages than AWS for much of the year, according to Canalys. Canalys forecasts a 35% growth in the worldwide cloud market this quarter to $41.8 billion in April 2022. It has 32% of the market, followed by Azure (19%), Google (7%), and Alibaba Cloud (7%).
That’s because the cloud business is more important than ever. According to Gartner, as a result of COVID-19 billion, 70% of companies are boosting their cloud expenditures. Comparatively, first-quarter 2020 sales were $10.33 bn. AWS revenue grew 32% quarter-on-quarter, compared to 28% in Q4. AWS revenues contributed about 13% of overall sales and nearly 47% of total operating profits this quarter. AWS’s overall profitability continues to increase.
AWS announced this quarter that Adam Selipsky, presently CEO of Salesforce Tableau, would take over as CEO of AMS. During a quarterly investor call, its CFO, Brian Olsavsky, stated that some companies choose not to manage their IT infrastructure more.
They know that using AWS and migrating to the cloud may save costs, improve capacity, and speed up innovation. This trend is likely to persist post-pandemic. “Global momentum is huge, with broad sectoral involvement.” Also, new workloads are added to the public cloud, not only existing workloads moved from internal infrastructure. We’ll be monitoring this development closely.
What Provider of Cloud Infrastructure has the Most Market Share?
Gartner’s most recent data on global service infrastructure shows that the industry generates $32.4 billion in annual revenue. 31.3% higher than the $24.7 billion spent in 2017.
Gartner estimates that five suppliers controlled almost 80% of the worldwide IaaS cloud market in 2018. Amazon (47.8 percent), Microsoft (15.5 percent), Alibaba (7.7 percent), Google (4.0 percent), and IBM are among the providers (1.8 percent ) Amazon Web Services (AWS)
Amazon is unquestionably the market leader in this area, accounting for almost half of the global public cloud infrastructure market. Amazon announced revenues of $15.4 billion in 2018, an increase of 26.8 percent year over year. Amazon continued its domination into 2020, with total AWS sales of $16.1 million in the first and second quarters of 2020, up 39% from 2018.
Microsoft Azure
Gartner predicts Azure will generate $5 billion in annual revenue and a growth rate of 60.9 percent in 2018, with a market share of 15.5 percent. Microsoft’s current market share in public cloud infrastructure, however, remains a mystery. Microsoft is continuing to conceal Azure’s revenues under the guise of a consolidated “commercial cloud business.”
Microsoft seems to have surpassed AWS by 2020, with Azure’s first-quarter revenue rising 70% year over year. Total Q1 and Q2 business cloud revenues are now at $20.6 billion, up 40% from H1 2018.
According to Gartner, Azure is expected to generate $5 billion in yearly revenue and 60.9 percent growth in 2018, with a market share of 15.5 percent. Microsoft’s current market share in public cloud infrastructure, on the other hand, remains a mystery. Microsoft continues to disguise Azure’s revenue as a consolidated “commercial cloud” company.
Microsoft seems to be outperforming AWS in terms of market share in 2020, with Azure sales rising 70% year over year in the first quarter. Revenues from the cloud business in Q1 and Q2 were $20.6 billion, up 40% from the same period last year.
Alibaba generated $2.49 billion in annual revenue in 2018, a stunning increase of 92.6 percent. China’s e-commerce industry continues to grow at a breakneck pace in 2020, with total sales of 2.2 billion dollars in Q1 and Q2, a 66 percent rise. As a consequence, the business now generates more than $4 billion in yearly revenue.
According to Gartner, Google’s cloud platform will have a 4% market share in the public cloud, a $1.3 billion annual revenue, and a 60% growth rate in 2018. According to Google CEO Sundar Pichai, Google may overtake Alibaba this year, estimating cloud sales at up to $8 billion. This should be viewed with caution since Google’s GCP income is directly related to its SaaS business.
AWS
Amazon is unquestionably the market leader in this area, accounting for almost half of the global public cloud infrastructure market. Amazon announced revenues of $15.4 billion in 2018, an increase of 26.8 percent year over year. Amazon continued its domination into 2020, with total AWS sales of $16.1 million in the first and second quarters of 2020, up 39% from 2018.
Amazon Web Services offers various services and solutions that help businesses increase their agility and security. Amazon EC2, one of the most popular AWS services, enables customers to create virtual machines for mission-critical projects that need less server maintenance. Amazon Simple Storage Service is another critical service for storing data securely (S3). Additionally, Amazon offers security, website infrastructure management, identity, and access control solutions.
Alibaba
Alibaba had annual revenues of $2.49 billion and a significant increase in 2018 of 92.6%. China’s e-commerce game continues to grow meteorically in 2020, with total sales of Q1 and Q2 of $2.2 billion, an increase of 66 percent. As a consequence, the yearly turnover for the company exceeds $4 billion.
Cloud platform for Google (GCP) Gartner predicts that Google’s cloud platform has an annual sales of $1.3bn and 60 percent growth in 2018, with a 4 percent market share in the public cloud. Google may overtake Alibaba this year with Google’s Chief Executive Officer Sundar Pichai saying that cloud sales are up to 8 billion dollars. This should be done with a grain of salt because Google’s GCP income is coupled with its Google Workspace SaaS business. Note: As Amazon Associates, we may earn from qualifying purchases.
