The global revenues of public cloud services market reached $183 billion in 2018, showing a growth of 27.4 percent year over year, according to IDC.
In terms of adoption, the public cloud services have been growing faster when compared to the overall IT industry. Its growth has more than doubled in the last three years.
The top 5 public cloud providers held a share of 46.3% of all the spending growth in 2018. This revenue is even more intense in the combined Infrastructure as a Service (IaaS) and Platform as a Service (PaaS) segments. IDC further revealed that the top 5 cloud providers held a share of 63% in the IaaS and PaaS segments.
“Our latest public cloud data continues to show robust growth – headed toward almost $500 billion by 2023 – and consolidating power positions across the board,” said Frank Gens, senior vice president and chief analyst at IDC.
Software as a Service (SaaS), including system infrastructure software (SIS), was the most deployed cloud segment with 62.4 percent of overall cloud market revenue.
“The continued demand for applications and the shortage of professional developers fueled the demand for PaaS solutions,” said Larry Carvalho, research director, Platform as a Service at IDC.
“Cloud native infrastructure grew demand for platform tools to accelerate application development and deployment powered by abstracted container workloads. Although the Asia/Pacific region had just about 11% of total share, the revenue grew faster than the rest of the world.”
As per IDC, the growth in IaaS segment is driven by the growth among the public cloud leaders in the APAC region, especially China.
The revenue data comes with no surprise given the recent study where the large and dominant providers of cloud market like Amazon Web Services (AWS), Microsoft, Alibaba, Google and IBM were reported to score strong revenue growth across the board.
“Revenue growth for Amazon Web Services and in the APeJ region jointly accounted for 80% of all the spending growth in 2018,” said Deepak Mohan, research director, Cloud Infrastructure Services at IDC.