TelecomTV
  • News
  • Videos
  • Channels
  • Events
  • Directory
  • Webcasts
  • Surveys
  • Debates
  • Perspectives
  • More
  • Directory
  • Webcasts
  • Surveys
  • Debates
  • Perspectives
  • Follow TelecomTV
  • About
  • Help
  • Contact
  • Follow TelecomTV
  • About
  • Help
  • Contact
  • Sign In Register Subscribe
    • Subscribe
    • Sign In
    • Register
  • Search

Tracker

TelecomTV TRACKER

Sourced by TelecomTV's TRACKER platform
from IDC

Tracker

Worldwide cloud IT infrastructure revenues grow 25.8% in the second quarter of 2017, driven by expansion in public cloud, according to IDC

Via IDC

Oct 8, 2017

FRAMINGHAM, Mass., October 5, 2017 – According to the International Data Corporation (IDC) Worldwide Quarterly Cloud IT Infrastructure Tracker, vendor revenue from sales of infrastructure products (server, storage, and Ethernet switch) for cloud IT, including public and private cloud, grew 25.8% year over year in the second quarter of 2017 (2Q17), reaching $12.3 billion.

Public Cloud infrastructure revenue grew 34.1% year over year and now represents 33.5% of total worldwide IT infrastructure spending at $8.7 billion, up from a 27.0% share one year ago. Private Cloud revenue reached $3.7 billion for an annual increase of 9.9%. Total worldwide cloud IT infrastructure revenue has almost tripled in the last four years, while the traditional (non-cloud) IT infrastructure revenue continues to decline and is down 3.8% from a year ago, although it still represents 52.4% of the worldwide share of overall IT revenue at $13.6 billion for the quarter. Public Cloud now represents 70.2% of the total cloud IT infrastructure revenue. The market with the highest growth in the public cloud infrastructure space was Enterprise Storage Systems with revenue up 30.4% compared to the same quarter of the previous year, and making up over a third of the revenue in public cloud. Server and Ethernet Switch public cloud IT infrastructure revenues were up 24.6% and 26.8% respectively. Private cloud infrastructure spending continues to be driven by the server market, which has remained nearly 60% of the revenue in that space for the past 18 quarters.

"The strength in public cloud growth continued at an accelerated pace through the first half of 2017," said Kuba Stolarski, research director for Computing Platforms at IDC. "We have already reported that most of this growth is being driven by Amazon. However, it is important to remember that many of the other hyperscalers – Google, Facebook, Microsoft, Apple, Alibaba, Tencent, and Baidu – are preparing for their own expansions and Skylake/Purley refreshes of their infrastructure. At the same time, IDC is still seeing steady growth in the lower tiers of public cloud, and continued growth in private cloud on a worldwide scale. In combination, these infrastructure growth segments should more than offset the declines in traditional deployments for the remainder of 2017 and well into next year."

Except for Latin America revenue that declined 13.1% from a year ago, all other regions in the world experienced double-digit revenue growth in the Cloud IT Infrastructure space compared to last year. Asia/Pacific (excluding Japan) and Western Europe led growth with rates of 30.5% and 33.4%, respectively. Canada (25.1%), Middle East & Africa (28.4%) and the United States (24.8%) had annual growth in the mid-twenties, while Central and Eastern Europe (16.9%) and Japan (10.4%) growth was below 20% but still double digit.

Top 5 Companies, Worldwide Cloud IT Infrastructure Vendor Revenue, Q2 2017 (Revenues are in Millions, Excludes double counting of storage and servers)

Vendor Group 2Q17 Revenue (US$M) 2Q17 Market Share 2Q16 Revenue (US$M) 2Q16 Market Share 2Q17/2Q16 Revenue Growth
1. Dell Inc* $1,456 11.8% $1,534 15.7% -5.0%
1. HPE/New H3C Group* ** $1,365 11.1% $1,437 14.7% -5.0%
3. Cisco $1,014 8.2% $888 9.1% 14.3%
4. Huawei* $380 3.1% $292 3.0% 30.2%
4. NetApp* $314 2.5% $254 2.6% 23.6%
4. Inspur* $275 2.2% $189 1.9% 45.8%
ODM Direct $5,439 44.1% $3,321 33.9% 63.8%
Others $2,088 16.9% $1,886 19.2% 10.7%
Total $12,332 100.0% $9,800 100.0% 25.8%

IDC's Quarterly Cloud IT Infrastructure Tracker, Q2 2017 October 2017

Notes:

***** IDC declares a statistical tie in the worldwide cloud IT infrastructure market when there is a difference of one percent or less in the vendor revenue shares among two or more vendors.

****** Due to the existing joint venture between HPE and the New H3C Group, IDC will be reporting external market share on a global level for HPE as "HPE/New H3C Group" starting from Q2 2016 and going forward.

IDC's Worldwide Quarterly Cloud IT Infrastructure Tracker is designed to provide clients with a better understanding of what portion of the server, disk storage systems, and networking hardware markets are being deployed in cloud environments. This tracker will break out vendors' revenue by the hardware technology market into public and private cloud environments for historical data and provide a five-year forecast by the technology market.

Related Topics
  • Cloud,
  • IDC,
  • News,
  • North America,
  • Research and Trials,
  • Tracker

More Like This

IoT

Deutsche Telekom seeks to solidify its position in the middle of the IoT ecosystem

Feb 19, 2019

5G

Ericsson enhances 5G Platform for smooth network evolution

Feb 19, 2019

5G

#MWC19: Nokia expands Anyhaul transport portfolio with 25 Gbps speeds to support operator network investment for 5G rollouts

Feb 19, 2019

Mobile

Cisco: Global Mobile Networks Will Support More Than 12 Billion Mobile Devices and IoT Connections by 2022; Mobile Traffic Approaching The Zettabyte Milestone

Feb 19, 2019

AI & ML

Moving AI Processing to the Edge Will Shake Up the Semiconductor Industry

Feb 19, 2019

This content extract was originally sourced from an external website (IDC) and is the copyright of the external website owner. TelecomTV is not responsible for the content of external websites. Legal Notices

Email Newsletters

Stay up to date with the latest industry developments: sign up to receive TelecomTV's top news and videos plus exclusive subscriber-only content direct to your inbox – including our daily news briefing and weekly wrap.

Subscribe

Top Picks

Highlights of our content from across TelecomTV today

Debate 4: Analytics, Machine Learning and the Edge

1:06

Guide to TIP: Edge Computing

5:09

Lumina Networks: Tying the old to the new with SDN

3:15

The Route from CSP to DSP is Open

  • TelecomTV
  • Decisive Media

TelecomTV is produced by the team at Decisive Media

Menu
  • News
  • Videos
  • Channels
  • Directory
  • Webcasts
 
  • Surveys
  • Debates
  • Perspectives
  • Events
  • About Us
Our Brands
  • TelecomTV Tracker
  • TelecomTV Perspectives
  • DSP Leaders Forum
  • Open Service Provider
  • The Great Telco Debate
Get In Touch
info@telecomtv.com
+44 (0) 207 448 1070

Request a Media Pack

Follow
  • © Decisive Media Limited 2019. All rights reserved. All brands and products are the trademarks of their respective holder(s).
  • Legal Notices