Cloud IT Infrastructure Revenues surpass Traditional IT Infrastructure Revenues in Q3 2018

BW ONLINE BUREAU | January 14, 2019

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According to the International Data Corp. (IDC) Worldwide Quarterly Cloud IT Infrastructure Tracker, vendor revenue from sales of IT infrastructure products (server, enterprise storage, and Ethernet switch) for cloud environments, including public and private cloud, grew 47.2 percent year over year in the third quarter of 2018 (3Q18), reaching $16.8 billion. IDC also raised its forecast for total spending (vendor revenue plus channel mark-up) on cloud IT infrastructure in 2018 to $65.2 billion with year-over-year growth of 37.2 percent. Quarterly spending on public cloud IT infrastructure has more than doubled in the past two years reaching $12.1 billion in 3Q18 and growing 56.1 percent year over year, while spending on private cloud infrastructure grew at half of this rate, 28.3 percent, reaching $4.7 billion.   Since 2013, when IDC started tracking IT infrastructure deployments in different environments, public cloud has represented the majority of spending on cloud IT infrastructure and in 2018 IDC expects this share will peak at 68.8 percent with spending on public cloud infrastructure growing at an annual rate of 44.7 percent. Spending on private cloud will grow 23.3 percent year over year in 2018.

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