According to International Data Corporation’s (IDC) Worldwide Quarterly Cloud IT Infrastructure Tracker, total cloud IT infrastructure spending (server, disk storage, and ethernet switch) grew by 14.4% year over year to $8.0B in the fourth quarter of 2014 (4Q14), accounting for approximately 30% of all IT infrastructure spend, up from about 27% one year ago. Private cloud infrastructure spending grew by 18.3% year over year to $2.9B, while public cloud infrastructure spending grew to $5.0B, 12.3% higher than one year ago.

“A key driver of this acceleration is organizations’ development and use of new Internet of Things services that require levels of agility and scale that only cloud solutions can deliver.”

For the full year 2014, cloud IT infrastructure spending totaled $26.4B, up 18.7% year over year from $22.3B; private cloud spending was just under $10.0B, up 20.7% year over year, while public cloud spending was $16.5B, up 17.5% year over year.

“The transition to cloud-oriented infrastructure and data platform architectures within enterprises’ datacenters continues to accelerate, yet the expansion of public cloud infrastructure in service providers’ datacenters around the world is an even larger driver of IT spending,” observed Richard Villars, vice president, Datacenter and Cloud research at IDC. “A key driver of this acceleration is organizations’ development and use of new Internet of Things services that require levels of agility and scale that only cloud solutions can deliver.”

For this second quarterly release of Cloud IT market results, IDC has expanded its worldwide coverage to include detail for 8 regions: Asia/Pacific (ex. Japan), Canada, Central & Eastern Europe, Japan, Latin America, Middle East & Africa, USA, and Western Europe. In 4Q14, USA had the highest share of overall cloud IT infrastructure spending with 64%, followed by Asia/Pacific (ex. Japan) with 17% and Western Europe with 12%. Western Europe had the highest growth in cloud IT infrastructure spending with 30% year over year growth.

 

Top 5 Corporate Family, Worldwide Cloud IT Infrastructure Vendor Revenue, Fourth Quarter of 2014 (Revenues are in Billions)

Vendor

 

4Q14 Revenue

 

4Q14 Market
Share

 

4Q13 Revenue

 

4Q13 Market
Share

 

4Q14/4Q13
Revenue
Growth

1. HP

 

$1.2

 

16.2%

 

$1.2

 

19.8%

 

-6.6%

2. Dell

 

$0.7

 

9.6%

 

$0.6

 

9.3%

 

17.3%

3. EMC

 

$0.6

 

8.8%

 

$0.5

 

7.8%

 

27.5%

4. Cisco

 

$0.6

 

7.8%

 

$0.5

 

7.5%

 

17.9%

5. IBM

 

$0.4

 

5.0%

 

$0.7

 

10.6%

 

-46.3%*

ODM Direct

 

$2.1

 

29.9%

 

$1.6

 

24.8%

 

37.2%

Others

 

$1.6

 

22.7%

 

$1.3

 

20.2%

 

27.6%

                   

 

Total

 

$7.2

 

100%

 

$6.3

 

100%

 

13.7%

 

IDC's Worldwide Quarterly Cloud IT Infrastructure Tracker, April 2015

*IBM’s divestiture of its x86 business to Lenovo on October 1, 2014 has a negative impact on year over year comparisons for 4Q14.

 

Top 5 Corporate Family, Worldwide Cloud IT Infrastructure Vendor Revenue, Calendar Year 2014 (Revenues are in Billions)

Vendor

 

2014 Revenue

 

2014 Market
Share

 

2013 Revenue

 

2013 Market
Share

 

2014/2013
Revenue
Growth

1. HP

 

$3.7

 

15.7%

 

$3.5

 

17.4%

 

6.3%

2. Dell

 

$2.6

 

10.7%

 

$2.4

 

11.8%

 

7.2%

2. Cisco

 

$2.1

 

8.7%

 

$1.7

 

8.5%

 

21.2%

4. EMC

 

$1.9

 

8.0%

 

$1.4

 

7.1%

 

34.3%

5. IBM

 

$1.7

 

7.3%

 

$2.2

 

10.7%

 

-18.9%*

ODM Direct

 

$6.6

 

27.8%

 

$4.8

 

23.9%

 

37.3%

Others

 

$5.2

 

21.7%

 

$4.2

 

20.7%

 

4.7%

                   

 

Total

 

$23.9

 

100%

 

$20.2

 

100%

 

17.9%

 

IDC's Worldwide Quarterly Cloud IT Infrastructure Tracker, April 2015

*IBM’s divestiture of its x86 business to Lenovo on October 1, 2014 has a negative impact on year over year comparisons for 2014.

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.

 

This article was originally posted “Report: Worldwide Cloud IT Infrastructure Market Grows by 14.4% In Q4” from Cloud Strategy Magazine.