Microsoft gains market share as the rate of growth in cloud spending slows

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According to new Synergy Research Group data, Q4 enterprise spending on cloud infrastructure services surpassed $61 billion globally. Despite this, Microsoft managed to gain market share from Amazon.

Microsoft increased its share to 23%, up from 21% the previous quarter, while Amazon decreased its share from 34% to 33% and Google remained stable at 11%. The Big Three cloud providers accounted for 66% of total cloud revenue worldwide.

Among the largest cloud providers, Microsoft saw a significant increase in its global market share, which now stands at 23%, up from an average of 21% in the previous four quarters. Meanwhile, market leader Amazon maintained its long-standing market share range of 32-34%, while Google’s share remained at 11%, unchanged from the previous quarter but a percentage point higher than a year ago. The three leaders accounted for 66% of the global market, up from 63% a year ago.

Spending on cloud infrastructure services increased by $10 billion year on year, surpassing $61 billion in the third quarter. However, the quarterly growth rate has dropped to 21% from 34% at the start of the year. Microsoft secured a 23% market share, gaining ground on market leader AWS and increasing by two percentage points over the previous two quarters. AWS’ share was 33%, down one percentage point from the previous quarter.

The sources for this piece include an article in CIODive.

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