News

AWS Enjoys Five-Year-High Market Share

• By David Ramel
• 02/02/2015

Synergy Research Group today released data showing Amazon Web Services Inc. (AWS) fought off rising growth from Microsoft Azure to notch a five-year high in market share among cloud infrastructure service providers.

In the fourth quarter of last year, AWS garnered 30 percent of the worldwide market on the strength of 25 percent revenue growth from the third quarter.

That growth put AWS at No. 1 for the year:

The sizeable lead over Microsoft comes even after the Redmond software giant recorded the highest revenue growth year-on-year, with Google coming in second.

"All three cloud operators outperformed the total market growth and gained market share," the research company said. "IBM growth was broadly in line with the market so its overall market share held steady, while it continued to lead in the private and hybrid service segment."

Synergy estimated the burgeoning market -- counting private and hybrid clouds and Infrastructure-as-a-Service (IaaS) and Platform-as-a-Service (PaaS) offerings -- are approaching a $5 billion milestone.

"Many actual or perceived barriers to cloud adoption have now been removed and the worldwide market is on a strong growth trajectory," said company exec John Dinsdale. "The momentum that has been built up at AWS and Microsoft is particularly impressive. They have an ever-broadening portfolio of services and they are also benefitting from a slowdown in the super-aggressive price competition that was a feature of the first half of 2014."