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Worldwide Cloud IT Infrastructure Spend Grows 23.0% to $7.6 Billion in the Third Quarter, According to IDC

(PresseBox) (Framingham, Mass., ) 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 by 23.0% year over year to $7.6 billion in the third quarter of 2015 (3Q15).

The overall share of cloud IT infrastructure sales climbed to 33.8% in 3Q15, up from 28.7% a year ago. Revenue from infrastructure sales to private cloud grew by 18.8% to $2.9 billion, and to public cloud by 25.9% to $4.6 billion. In comparison, revenue in the traditional (non-cloud) IT infrastructure segment decreased by -3.2% year over year in the third quarter, with declines in all three technology segments (server, storage and Ethernet switch). All three technology markets showed strong year-over-year growth in both private and public cloud segments, with server experiencing the highest growth in private cloud at 24.3% and Ethernet switch with the highest growth in public cloud at 37.8%. Public cloud spending on storage grew 26.7% year on year.

"IDC continues to see healthy double-digit growth in cloud IT deployments in the market with an increasing preference for public cloud infrastructure," said Kuba Stolarski , Research Director for Computing Hardware and Platforms at IDC. "Customers are modernizing their infrastructures, having a progressively larger number of viable options for cloud deployments either on or off premises. These customers depend on a mix of as-a-service offerings and traditional infrastructure to help meet the IT transformation requirements of their organizations. As public cloud offerings continue to evolve and improve in reliability and security, customers are becoming more comfortable with the flexibility that they get by deploying certain workloads in these elastic environments."

At the regional level, vendor revenues from cloud IT infrastructure sales grew fastest in Japan at 47.1% year over year, followed by Asia/Pacific (excluding Japan) at 35.3%, Western Europe at 22.1%, Canada at 22.0%, and the United States at 20.1%. Central and Eastern Europe declined at -10.2% year over year as the region continues to go through political and economic turmoil, which impacts overall IT spending.

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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 also provide a five-year forecast by the technology market.

Taxonomy Notes:

IDC defines cloud services more formally through a checklist of key attributes that an offering must manifest to end users of the service. Public cloud services are shared among unrelated enterprises and consumers; open to a largely unrestricted universe of potential users; and designed for a market, not a single enterprise. The public cloud market includes variety of services designed to extend or, in some cases, replace IT infrastructure deployed in corporate datacenters. It also includes content services delivered by a group of suppliers IDC calls Value Added Content Providers (VACP). Private cloud services are shared within a single enterprise or an extended enterprise with restrictions on access and level of resource dedication and defined/controlled by the enterprise (and beyond the control available in public cloud offerings); can be onsite or offsite; and can be managed by a third-party or in-house staff. In private cloud that is managed by in-house staff, "vendors (cloud service providers)" are equivalent to the IT departments/shared service departments within enterprises/groups. In this utilization model, where standardized services are jointly used within the enterprise/group, business departments, offices, and employees are the "service users."

For more information about IDC's Worldwide Quarterly Cloud IT Infrastructure Tracker, please contact Lidice Fernandez at 305-351-3057 or lfernandez@idc.com .

About IDC Trackers

IDC Tracker products provide accurate and timely market size, vendor share, and forecasts for hundreds of technology markets from more than 100 countries around the globe. Using proprietary tools and research processes, IDC's Trackers are updated on a semiannual, quarterly, and monthly basis. Tracker results are delivered to clients in user-friendly excel deliverables and on-line query tools. The IDC Tracker Charts app allows users to view data charts from the most recent IDC Tracker products on their iPhone and iPad . The IDC Tracker Chart app is also available for Android Phones and Android Tablets .

Companies Covered


Regions Covered

Asia Pacific, Central and Eastern Europe, United States, Western Europe

Topics Covered

Ethernet switch, Hardware, Routers, Value added content

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About IDC Central Europe GmbH

International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. With more than 1,100 analysts worldwide, IDC offers global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries. IDC's analysis and insight helps IT professionals, business executives, and the investment community to make fact-based technology decisions and to achieve their key business objectives. Founded in 1964, IDC is a subsidiary of IDG , the world's leading technology media, research, and events company. To learn more about IDC, please visit www.idc.com . Follow IDC on Twitter at @IDC .

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