Amazon dominates in the global IaaS arena as others gain ground
- 29 June, 2021 14:17
Amazon has led the charge once again in the global infrastructure-as-a-service (IaaS) public cloud services market for 2020, but other vendors are clawing their way back up.
While beating out the rest of its competitors with 40.8 per cent market share and a revenue increase of 28.7 per cent to US$26.2 billion, according to research firm Gartner, Amazon’s market share for 2020 is less than what it was a year prior — 44.6 per cent.
That revenue growth increase, which was slightly above the overall market revenue rise of 40.7 per cent year-on-year at US$64.3 billion, was attributed to increased customer usage.
However, most of the major global players — Microsoft, Google, Alibaba and Huawei — saw their market share rise.
Coming in second place for market share, Microsoft also saw its revenue increase by 59.2 per cent year-on-year to US$12.7 billion. According to Gartner, demand for Microsoft's solutions stemmed from Azure customers wanting to navigate global healthcare crisis and disruption in workplace environments with mission-critical workload migrations.
This came in the form of healthcare applications with artificial intelligence-assisted bots, virtual models in manufacturing and e-commerce in retail.
Alibaba, ranked third for market share with 9.5 per cent of the total, raked in 52.8 per cent revenue growth over the period, coming to US$6.1 billion. According to Gartner, the vendor's highest growth rate was in education, at 105 per cent, due to downloads increasing for its enterprise communication and collaboration platform DingTalk for remote workers and students.
Meanwhile, Google, which came in fourth place for IaaS market share, experienced revenue growth of 66.1 per cent year-on-year to US$3.9 billion, largely due to spending from the retail, government and healthcare sectors, as well as its focus on developing and deploying cloud applications in hybrid and multi-cloud models.
Huawei’s 2020 outing in the global IaaS market recorded 202.8 per cent revenue growth year-on-year, up to US$2.7 billion, and market share rose to 4.2 per cent, which contributed to it breaking into the top five IaaS vendors for the first time in 2020.
However, over 90 per cent of this revenue came from Greater China.