Revenue from cloud infrastructure including servers, storage and switches grew 25.1 per cent year on year in the first quarter of this year – the highest rate in over a year according to analyst house IDC and the second highest level of total spending in the past nine quarters.
Cloud IT infrastructure spending climbed to 30 per cent or nearly a third of overall IT infrastructure spending in the first quarter of this year, up from 26.4 per cent last year. Private cloud revenues grew nearly 25 per cent year on year, which was slightly outpaced by public cloud growth at close to 26 per cent.
Kuba Stolarski, research manager, server, virtualization and workload research at IDC said the shift to cloud seems to be the main driver of growth in the IT infrastructure market at the moment.
“Cloud IT infrastructure growth continues to outpace the growth of the overall IT infrastructure market, driven by the transition of workloads onto cloud-based platforms,” Stolarski said.
“Both private and public cloud infrastructures have been growing at a similar pace, suggesting that customers are open to a broad array of hybrid deployment scenarios as they modernize their IT for the 3rd Platform, begin to deploy next-gen software solutions, and embrace modern management processes that enable agile, flexible, and extensible cloud platforms.”
HP, Dell and Cisco landed in the top three spots in IT infrastructure market share with 15.7, 11.9 and 9.3 per cent respectively. Lenovo’s four per cent year on year growth seems down largely to its acquisition of IBM’s x86 server business.
It hasn’t been the best quarter for storage on the other hand. Year on year quarterly growth rates declined slightly for both EMC and NetApp, and interestingly ODM direct sales also declined, suggesting both enterprises and the scale-out market still find big box vendors a competitive option when compared to lower cost Chinese and Taiwanese manufacturers.
