Showing posts with label IDC. Show all posts
Showing posts with label IDC. Show all posts

Thursday, April 2, 2020

IDC: Cloud infrastructure spending rose 12% in 4Q19

Total end-user spending on IT infrastructure products (server, enterprise storage, and Ethernet switch) for cloud environments, including public and private cloud, recovered in the fourth quarter of 2019 (4Q19) after two consecutive quarters of decline, growing 12.4% year over year in Q4 2019 to $19.4 billion, according to IDC's Worldwide Quarterly Cloud IT Infrastructure Tracker.

"While the beginning of 2020 was marked by supply chain issues that should be resolved before the end of the second quarter, the negative economic impact will hit enterprise customers' CAPEX spending," said Kuba Stolarski, research director, Infrastructure Systems, Platforms and Technologies at IDC. "As enterprise IT budgets tighten through the year, public cloud will see an increase in demand for services. This increase will come in part from the surge of work-from-home employees using online collaboration tools, but also from workload migration to public cloud as enterprises seek ways to save money for the current year. Once the coast is clear of coronavirus, IDC expects some of this new cloud service demand to remain sticky going forward."



IDC's new five-year forecast predicts cloud IT infrastructure spending* will reach $100.1 billion in 2024 with a compound annual growth rate (CAGR) of 8.4%. Non-cloud IT infrastructure spending will decline slightly to $65.3 billion with a -0.7% CAGR. Total IT infrastructure is forecast to grow at a 4.2% CAGR and produce $165.4 billion in spending in 2024.

Some highlights from IDC

The overall IT infrastructure market continued to struggle after its strong performance in 2018, up 3.3% to $38.1 billion in 4Q19 but declining 1.1% to $134.4 billion for the full year. Non-cloud IT infrastructure fell 4.6% to $18.7 billion for the quarter and declined 4.1% to $67.7 billion for the year.
Spending on cloud IT infrastructure in 4Q19 was driven by the public cloud segment, which grew 14.5% year over year to $13.3 billion; private cloud grew 8.2% to $6.1 billion.
IDC expects cloud IT infrastructure will stay above 50% of the IT Infrastructure market at both the quarterly and annual levels, reaching 60.5% annually in 2024.
Across the three IT infrastructure technology domains, storage platforms saw the fastest year-over-year growth in 4Q19 at 15.1% with spending reaching $6.6 billion. Compute platforms grew 14.5% year over year with $10.8 billion in spending while Ethernet switches declined 3.9% to $2.0 billion.
For the full year 2019, Ethernet switches led with year-over-year growth of 5.0% and $8.2 billion in spending, followed by storage platforms with 1.9% growth and spending of $23.1 billion, and compute platforms with growth of 1.5% and spending of $35.5 billion.
IDC's forecast for 2020, after taking into consideration the repercussions of the COVID-19 pandemic and its ensuing economic crisis, is for $69.2 billion in cloud IT infrastructure spending*, a 3.6% predicted annual increase over 2019. Non-cloud IT infrastructure spending is expected to decline 9.2% to $61.4 billion in 2020. Together, overall IT infrastructure spending is expected to decline 2.9% to $130.6 billion.

IDC cuts worldwide IT spending forecast by 2.7% due to COVID-19

Worldwide IT spending is now expected to decline 2.7% in constant currency terms this year as COVID-19 impacts the global economy and forces many organizations around the world to respond with contingency planning and spending cuts in the short term, according to IDC. In line with previous economic recessions, IT spending on hardware, software, and IT services is likely to decline by more than real GDP overall, as commercial IT buyers and consumers implement rapid cuts to capital spending in line with declining revenues, profits, market valuations, and employee headcounts.

"Overall IT spending will decline in 2020, despite increased demand and usage for some technologies and services by individual companies and consumers," said Stephen Minton, program vice president in IDC's Customer Insights & Analysis group. "Businesses in sectors of the economy that are hardest hit during the first half of the year will react by delaying some purchases and projects, and the lack of visibility related to medical factors will ensure that many organizations take an extremely cautious approach when it comes to budget contingency planning in the near term."

Spending on server/storage and network hardware will also decline overall despite strong demand for cloud services as enterprise customers delay purchases during the initial rapid response phase of the current crisis. Total infrastructure spending (including cloud) will increase by 5.3%, but all of this growth will come from enterprise spending on infrastructure as a service (IaaS) and cloud provider spending on servers. Meanwhile, overall server/storage hardware spending will be down by 3.3% and enterprise network equipment spending will decline by 1.7%.

"Hardware spending in general is always identified for rapid spending cuts during any economic crisis, as a means for enterprises to quickly protect short-term profitability," said Minton. "In previous economic crashes, IT hardware has tended to overshoot the economic cycle on both the downside and in the recovery phase. That's because underlying demand drivers don't change overnight, but the timing of purchases is shifted and delayed, and this can now be done even more quickly than in the past. What's different now is that cloud is a bigger factor than it was in any previous global recession, and this should mean that overall spending is less volatile than in the last two major IT spending downturns."

More: https://www.idc.com/getdoc.jsp?containerId=prUS46186120

Monday, March 30, 2020

IDC: COVID-19 impacts Server and Storage sales

The COVID-19 pandemic will impact spending on IT infrastructure.

According to the IDC Worldwide Quarterly Server Tracker and Worldwide Quarterly Enterprise Storage Systems Tracker, under the current probable scenario server market revenues will decline 3.4% year over year to $88.6 billion and external enterprise storage systems (ESS) revenues will decline 5.5% to $28.7 billion in 2020.

The server market is expected to decline 11.0% in Q1 and 8.9% in Q2 and then return to growth in the second half of the year. The external ESS market is forecast to decline 7.3% in Q1 and 12.4% in Q2 before returning to slight growth by the end of 2020 with further recovery expected in 2021.

"The impact of COVID-19 will certainly dampen overall spending on IT infrastructure as companies temporarily shut down and employees are laid off or furloughed," said Kuba Stolarski, research director, IT Infrastructure at IDC. "While IDC believes that the short-term impact will be significant, unless the crisis spirals further out of control, it is likely that this will not impact the markets past 2021, at which point we will see a robust recovery with cloud platforms very much leading the way."

In the longer term both markets will return to growth. The server market is expected to deliver a compound annual growth rate (CAGR) of 4.9% over the 2019-2024 forecast period with revenues reaching $116.6 billion in 2024. Meanwhile the external ESS market will see a five-year CAGR of 1.3% growing to $32.4 billion in 2024.

"The IT infrastructure markets are already going though a transformation and shifts in end user spending will bring an even faster changing IT buyer landscape," said Natalya Yezhkova, research vice president, IT Infrastructure. "While the current crisis brings tensions and uncertainty to the market, it also will push organizations to expedite adoption of technologies and IT delivery models that help with optimization of IT infrastructure resources."




Wednesday, March 18, 2020

IDC: The impact of COVID-19 on the semiconductor sector

International Data Corporation (IDC) has published a report that analyzes the impact of the COVID-19 pandemic on the global semiconductor market and presents several possible outcomes.

"The emergence of COVID-19 has brought with it travel bans and quarantines; massive slowing of the supply chain; uncertainty in the stock market; falling business confidence, and growing panic among the population," said Mario Morales, program vice president, Semiconductors and Enabling Technologies at IDC. "Despite the growing uncertainty and panic, technology suppliers must continue to focus on their long-term investments, maintain engagement with partners and prospects, and look to specific markets for stability. Emerging technologies like 5G, the Internet of Things, high-performance computing, and intelligent edge will be fundamental to an overall recovery by the technology sector."

The report provides a framework to evaluate the market impact through four scenarios that assess the range of possible outcomes. Each scenario is based on varying assumptions and severity of the impact to business for technology suppliers. For each scenario, a range of critical factors are assessed with a resulting updated forecast, presented with leading indicators to help clients navigate this emergency.

Some highlights:

  • There is nearly an 80% chance for significant contraction in worldwide semiconductor revenues in 2020, instead of a previously expected minor overall growth of 2%.
  • There is still a one-in-five chance that a fast, strong bounce back from COVID-19 in 2020 is possible.
  • On a global level, the COVID-19 crisis is just beginning, with too many variables to immediately craft a single forecast in response.
  • The impact to technology supply chains in China are significant, but the timing of the recovery is uncertain.



Saturday, March 14, 2020

IDC: Worldwide server market grew 7.5% in 4Q19

Vendor revenue in the worldwide server market grew 7.5% year over year to $25.4 billion during the fourth quarter of 2019 (4Q19), according to the International Data Corporation (IDC) Worldwide Quarterly Server Tracker. Worldwide server shipments grew 14.0% year over year to just over 3.4 million units in 4Q19.

"While the server market recaptured growth during the fourth quarter, it was a bit of a mixed bag as robust hyperscaler demand benefited the ODM Direct vendor group, which combined with strong non-x86 server purchases to drive the broader market," said Sebastian Lagana, research manager, Infrastructure Platforms and Technologies at IDC. "While the OEM x86 market was tepid, it's worth noting that 4Q18 was one of the most challenging comparison periods in history, during which many OEMs generated double-digit growth and large revenue bases."



Some highlights:

  • The number one position in the worldwide server market in 4Q19 was shared by the combined HPE/New H3C Group and Dell Technologies with revenue shares of 16.3% and 15.7% respectively. 
  • HPE/New H3C Group revenues were down 3.4% year over year while Dell Technologies declined 9.9%. 
  • The third ranking server supplier during the quarter was IBM, generating 9.1% revenue share on growth of 17.6%. 
  • Inspur/Inspur Power Systems was fourth with 6.8% revenue share and year-over-year growth of 12.1%. 
  • Lenovo and Huawei were statistically tied* for the fifth position in the market with market shares of 5.6% and 5.1% respectively. 
  • Lenovo's revenues were down 2.6% year over year while Huawei grew its revenues 1.8% in 4Q19. 
  • The ODM Direct group of vendors accounted for 25.5% of total revenue and was up 37.9% year over year to $6.47 billion. 
  • Dell Technologies led the worldwide server market in terms of unit shipments, accounting for 16.1% of all units shipped during the quarter.

Wednesday, March 11, 2020

IDC: Worldwide Ethernet switch sales dipped 2% in 4Q19

The worldwide Ethernet switch market (Layer 2/3) recorded $7.6 billion in revenue in the fourth quarter of 2019 (4Q19), a decline of 2.1% year over year, according to the International Data Corporation (IDC) Worldwide Quarterly Ethernet Switch Tracker and Worldwide Quarterly Router Tracker. For the full year 2019, the market recorded $28.8 billion in revenue for a year-over-year growth rate of 2.3%. Meanwhile, the worldwide total enterprise and service provider (SP) router market recorded $4.2 billion in revenue in 4Q19, a decrease of 7.7% on a year-over-year basis. For the full year 2019, the router market finished at $15.5 billion, essentially staying flat with an increase of 0.4% over 2018. These results are according to

"The Ethernet switch and router markets showed weakness in the final quarter of 2019, driven by a variety of factors. Macro-economic issues continued to impact the global economy from the ongoing trade war between the U.S. and China to growing clarity about Brexit. While the rise and spread of the novel coronavirus, COVID-19, did not impact these 4Q19 results, it will not ease these pressures in the early part of 2020 where we expect this softness to continue," said Rohit Mehra, vice president, Network Infrastructure at IDC. "Despite these headwinds, enterprises are still prioritizing investments in digital platforms in order to transform their businesses and keep pace with competitors, which will ultimately continue to buoy spending in the networking market over the long term."

Some highlights from IDC:

  • Growth in the Ethernet switch market continues to be driven by high speed switching platforms. 
  • 100Gb Ethernet switch revenues grew 24.7% year over year in the quarter and made up 18.3% of the market, down just slightly from 19.6% in the prior quarter. 
  • 100GbE shipments reached 5.8 million ports and $1.4 billion in revenue in 4Q19. 
  • 25GbE switch ports continue to see strong growth with port shipments rising 57.1% year over year in the quarter and up 7.4% sequentially. 
  • 10GbE port shipments grew 7.0% year over year while revenues decreased 13.0%. 10GbE made up 27.3% of all 2019 Ethernet switching revenues. 
  • 1Gb remains the primary connectivity technology for enterprise campus and branch deployments, driving 1Gb port shipments to 133.6 million in 4Q19, growing 4.1% year over year, and making up 67.8% share of all ports shipped in the quarter and 40.3% of Ethernet switching revenues.
  • The combined enterprise and service provider router market had mixed results across the world, with APeJ falling 12.4% year over year in 4Q19 and down 1.1% for the full year. 



Company highlights

  • Cisco's 4Q19 Ethernet switch revenues were down 6.4% year over year giving the company a 50.9% market share. For the full year 2019, Cisco switching revenues were flat, rising 0.1% over 2018. In the hotly contested 25GbE/100GbE segment, Cisco remains the market leader with 39.7% share in 4Q19. Cisco's combined service provider and enterprise router revenue fell 18.5% year over year in 4Q19 and was off 3.4% for the full year giving the company 37.2% share in 2019.
  • Huawei's Ethernet switch revenue grew 8.9% year over year in 4Q19 and was up 7.8% in 2019 compared to 2018. This gives Huawei 9.6% market share for the full year. Huawei's enterprise and SP router revenue fell 4.1% year over year in 4Q19 but rose 4.1% for the full year, giving the company 29.8% market share in 2019.
  • Arista Networks' Ethernet switching revenue fell 11.1% year over year in 4Q19 but rose 9.8% for the full year. 100GbE revenues for Arista cooled somewhat in 4Q19 falling 19.7% compared to 3Q19. Arista's market share in the broader Ethernet switch industry stood at 7.0% at the end of 2019, up from 6.5% year over year.
  • Hewlett Packard Enterprise's (HPE) Ethernet switch revenues were off 15.9% year over year in 4Q19. This contributed to a decline of 9.1% in annual revenues in 2019, putting the company's full-year market share at 5.4% compared to 6.1% at the end of 2018.
  • Juniper's Ethernet switch revenues rose 11.7% year over year in 4Q19 but were off 7.2% for the full year. Juniper's 4Q19 router revenues declined 4.6% year over year and were off 11.7% for the full year. The company finished 2019 with 13.2% market share in the service provider routing market, down from 14.7% in 2018.

Tuesday, February 11, 2020

IDC: 5G could boost 2020 IT spending

Worldwide IT spending is set to increase by 5% in constant currency this year as software and services investment remains stable while smartphone sales recover on the back of a 5G-driven upgrade cycle in the second half of the year, according to an update to the International Data Corporation (IDC) Worldwide Black Books.

"Much of this year's growth is dependent on a positive smartphone cycle as the year progresses, but this is under threat from disruption caused by the Coronavirus crisis," said Stephen Minton, program vice president in IDC's Customer Insights & Analysis group. "Our current forecast is for broadly stable tech spending in 2020, but PC sales will be way down on last year, while server/storage investments will not recover to the levels of growth seen in 2018 when hyperscale service providers were deploying new datacenters at an aggressive pace."

Some highlights from IDC:

  • Excluding smartphones, IT spending will dip from 7% growth in 2019 to 4% in 2020. 
  • Software growth will decelerate slightly from last year's 10% to less than 9% and IT services growth will dip from 4% to 3%.
  • Most of the slowdown will be due to the PC market where the end of the recent buying cycle (partly driven by Windows 10 upgrades) will see PC sales decline by 6% this year compared to 7% growth in PC spending last year.
  • Hyperscale service provider IT spending will recover to 9% growth this year, up from just 3% in 2019, but this is short of the pace of two years ago. 
  • Cloud infrastructure and digital services providers will also continue to increase their IT budgets in order to meet strong end-user demand for cloud and digital services, which will continue to expand at a double-digit rate of growth as enterprise buyers increasingly shift their IT budgets to the as-a-service model.

Wednesday, January 15, 2020

IDC: Vendor revenue for cloud infrastructure dipped in 3Q19

Vendor revenue from sales of IT infrastructure products (server, enterprise storage, and Ethernet switch) for cloud environments, including public and private cloud, declined 1.8% year over year in the third quarter of 2019 (3Q19), according to IDC's Worldwide Quarterly Cloud IT Infrastructure Tracker. The decline was softer than the dip experienced in 2Q19, and leading IDC to slightly increase its forecast for total spending on cloud IT infrastructure in 2019 to $65.4 billion, which represents flat performance compared to 2018.

IDC said the decline in cloud IT infrastructure spending was driven by the public cloud segment, which was down 3.7% year over year, reaching $11.9 billion; sequentially from 2Q19, this represents a 24.4% increase. As the overall segment is generally trending up, it tends to be more volatile quarterly as a significant part of the public cloud IT segment is represented by a few hyperscale service providers.

Some highlights:
  • Vendor revenue in the public cloud IT segment is expected to reach $44 billion in sales for the full year 2019, a decline of 3.3% from 2018. 
  • Vendor revenue in the private cloud IT segment increased 3.2% year over year, reaching nearly $5 billion. IDC expects spending in this segment to grow 7.2% year over year in 2019 to $21.4 billion.
  • The IT infrastructure industry is approaching the point where spending on cloud IT infrastructure consistently surpasses spending on non-cloud IT infrastructure. In 3Q19, cloud IT environments accounted for 53.4% of vendor revenues. However, for the full year 2019, spending on cloud IT infrastructure is expected to stay just below the 50% mark at 49.8%. This year (2020) is expected to become the tipping point with spending on cloud IT infrastructure staying in the 50+% range.
  • Vendor revenue for Ethernet switches is the only segment expected to deliver visible year-over-year growth in 2019, up 11.2%, while spending on compute platforms will decline 3.1% and spending on storage will grow just 0.8%. Compute will remain the largest category of cloud IT infrastructure spending at $34.1 billion.
  • Sales of IT infrastructure products into traditional (non-cloud) IT environments declined 7.7% from a year ago in 3Q19. 
  • For the full year 2019, worldwide spending on traditional non-cloud IT infrastructure is expected to decline by 5.3%. 
  • By 2023, IDC expects that traditional non-cloud IT infrastructure will only represent 41.9% of total worldwide IT infrastructure spending (down from 51.6% in 2018). 
  • Geographically, declines in the U.S., Western Europe, and Latin America were driven by overall market weakness; in these and some other regions 3Q19 softness in cloud IT infrastructure spending was also affected by comparisons to a strong 3Q18. In Asia/Pacific (excluding Japan), the second largest geography after the U.S., spending on cloud IT infrastructure increased 1.2% year over year, which is low for this region. However, it is in comparison with strong double-digit growth in 2018. Other growing regions in 3Q19 included Canada (4.9%), Central & Eastern Europe (4.6%), and Middle East & Africa (18.1%).


https://www.idc.com/getdoc.jsp?containerId=prUS45899920

Monday, December 16, 2019

IDC: 1.1 billion 5G connections in 2023

IDC is predicting that the number of 5G connections will grow from roughly 10.0 million in 2019 to 1.01 billion in 2023. By 2023, IDC expects 5G will represent 8.9% of all mobile device connections.

"While there is a lot to be excited about with 5G, and there are impressive early success stories to fuel that enthusiasm, the road to realizing the full potential of 5G beyond enhanced mobile broadband is a longer-term endeavor, with a great deal of work yet to be done on standards, regulations, and spectrum allocations," said Jason Leigh, research manager for Mobility at IDC. "Despite the fact that many of the more futuristic use cases involving 5G remain three to five years from commercial scale, mobile subscribers will be drawn to 5G for video streaming, mobile gaming, and AR/VR applications in the near term."

Sunday, December 8, 2019

IDC: Ethernet switch market rose 0.1% in 3Q 2019

The Worldwide Ethernet switch market (Layer 2/3) recorded $7.32 billion in revenue in the third quarter of 2019 (3Q19), an increase of 0.1% year over year, according to IDC's Worldwide Quarterly Ethernet Switch Tracker and Worldwide Quarterly Router Tracker. Worldwide total enterprise and service provider (SP) router market revenues grew 0.8% year over year in 3Q19 to $3.74 billion.



Some highlights:


  • The Middle East and Africa region grew 9.3% with the region's largest market, the United Arab Emirates, growing 6.9% year over year while Israel's market grew 18.8%. 
  • Across Europe, growth was stagnant. The Central and Eastern Europe (CEE) region lost 9.0% compared to a year earlier with Russia dropping 13.9% year over year. 
  • The Western Europe market fell 6.1% with Germany losing 5.6% year over year. Denmark was a bright spot in the region with 18.6% year-over-year growth.
  • The Asia/Pacific (excluding Japan) (APeJ) region grew 1.3% year over year. In China, the market grew 4.6% year over year while the Philippines rose 25.9%. Japan was off 3.8% compared to its growth in 3Q18. In Latin America, the market dropped 4.4% year over year, while the U.S. market grew 2.6% annually and Canada declined 4.9% year over year.
  • Port shipments for 100Gb switches rose 57.2% year over year to 5.6 million. 100Gb revenues grew 32.8% year over year in 3Q19 to $1.44 billion, making up 19.6% of total market revenue compared to 14.8% a year earlier. 
  • 25Gb switches also saw impressive growth with revenues increasing 69.3% to $463.4 million and port shipments growing 68.0% year over year. 
  • Lower-speed campus switches, a more mature part of the market, saw moderate growth in port shipments but declining revenue, pointing to a decrease in average selling prices (ASPs). 
  • 10Gb port shipments rose 7.9% year over year, but revenue declined 8.7% to deliver 26.3% of total market revenue. 1Gb switches grew 3.9% year over year in port shipments but declined 7.4% in revenue. 1Gb now accounts for 39.2% of the total Ethernet switch market revenue.



  • The worldwide enterprise and service provider router market increased 0.8% on a year-over-year basis in 3Q19 with the major service provider segment, which accounts for 75.5% of revenues, decreasing 0.1% and the enterprise segment of the market growing 3.6%. 
  • From a regional perspective, the combined service provider and enterprise router market fell 1.5% in APeJ with the enterprise segment growing 1.5% and the service provider segment declining 2.2% year over year. 
  • Japan's total market grew 3.9% year over year. Revenues in Western Europe were off 7.3% year over year while CEE revenues for the combined enterprise and service provider market grew 3.5% year over year. 
  • The Middle East & Africa region was up 8.9%. In the U.S., the enterprise segment was up 7.3% while service provider revenues grew 1.8%, giving the combined markets 3.2% year-over-year growth. In Latin America, the market grew 11.7%.
  • Cisco finished 3Q19 with a 5.6% year-over-year decline in overall Ethernet switch revenues and market share of 51.3%. In the hotly contested 25Gb/100Gb segment, Cisco was the market leader with 38.2% revenue share. Cisco's combined service provider and enterprise router revenue declined 10.6% year over year with enterprise router revenue increasing 3.4% and SP revenues falling 18.1%. Cisco's combined SP and enterprise router market share increased to 37.9%, up from 36.8% in 2Q19.
  • Huawei's Ethernet switch revenue rose 4.4% on an annualized basis, giving the company market share of 8.9%. The company's combined SP and enterprise router revenue rose 20.6% year over year, giving the company a market share of 28.1%.
  • Arista Networks saw Ethernet switch revenues increase 14.3% in 3Q19, bringing its share to 7.6% of the total market, up from 6.6% a year earlier. 100Gb revenues accounting for 68.8% of the company's total revenue, indicating the company's focus on hyperscale and cloud providers.
  • HPE's Ethernet switch revenue declined 7.0% year over year, resulting in overall market share of 5.3%.
  • Juniper's Ethernet switch revenue rose 4.5% year over year in 3Q19, bringing its market share to 3.2%. Juniper saw a 17.9% decline in combined enterprise and SP router sales, bringing its market share in the router market to 10.9%.


"Dynamics in the Ethernet switch and routing markets continue to evolve," said Petr Jirovsky, research director, IDC Networking Trackers. "In Ethernet switching, the seemingly insatiable demand for higher-speed networking platforms continue to drive investments. Meanwhile, lower-speed campus switching continues to moderate as enterprises build out connectivity platforms to support mobile workers and the Internet of Things. In the routing segment, the enterprise continues to buoy the broader market as enterprises and service providers augment their networks to support improved cloud connectivity."

https://www.idc.com/getdoc.jsp?containerId=prUS45711319

IDC: WLAN market dips in 3Q 2019

The combined enterprise and consumer wireless local area network (WLAN) market segments fell 3.6% year over year in the third quarter of 2019 (3Q19) with worldwide revenues of $3.8 billion, according to IDC's Worldwide Quarterly WLAN Tracker. The enterprise segment fell 1.1% year over year in 3Q19 to $1.62 billion.

"The enterprise WLAN market is transitioning as vendors and customers begin to adopt the latest Wi-Fi standard. In the third quarter of 2019, IDC tracked the initial shipments of 802.11ax, also known as Wi-Fi 6, which includes numerous features for enterprises and Internet of Things use cases," said Brandon Butler, senior research analyst, Enterprise Networks. "IDC expects the continued adoption of Wi-Fi 6 to be a major driver of growth for the enterprise WLAN market in the fourth quarter of 2019 and throughout 2020."



Some highlights:

  • Wi-Fi 6 took some share from shipments of previous generation 802.11ac products. 802.11ac products accounted for 84.8% of dependent access point shipments in the enterprise segment and 86.2% of dependent access point revenues. Wi-Fi 6 products made up 3.1% of dependent access point shipments and 6.1% of revenues.
  • The consumer WLAN market fell 5.3% year over year to $2.18 billion. 
  • Shipments of 802.11ac products accounted for 57.0% of units shipped, and 78.1% of revenues. The previous-generation 802.11n standard accounted for 42.8% of shipments, but only 20.8% of revenues.
  • The Asia/Pacific region, excluding Japan, was up 3.3% annually in 3Q19, with China growing 6.9% year over year while the Korean market fell 16.2%. Japan's market dropped 19.8% compared to a year earlier.
  • The Central and Eastern Europe region was off 1.7% compared to a year earlier, with Russia dropping 6.6%. 
  • Romania was a bright spot in the region with 11.9% growth. 
  • The Western Europe region fell 4.5% year over year. Germany fell 3.5% while the United Kingdom was down 10.0%. The Middle East and Africa region grew 8.0% year over year with growth of 6.7% from the United Arab Emirates and 25.5% from Qatar.
  • The Latin America region fell 12.1% with Mexico off 17.3% year over year. The U.S. market rose 0.1% on an annualized basis and was up 0.5% sequentially from the second quarter of 2019.
  • Cisco's worldwide enterprise WLAN revenue fell 4.9% year over year, but grew 1.9% compared to the previous quarter. The company's market share dropped slightly from 44.9% in 2Q19 to 44.2% in 3Q19.
  • HPE-Aruba's revenues increased 1.3% year over year and rose 4.6% sequentially. The company's market share grew to 14.1% in 3Q19 from 14.0% a quarter earlier.
  • Ubiquiti's revenues rose 9.4% annually and 8.6% sequentially, with the company's market share growing to 7.1%, from 6.8% a quarter earlier.
  • Huawei's quarterly revenues rose to 11.2% year over year and were up 3.7% sequentially, giving the company 5.4% market share.
  • CommScope(formerly ARRIS/Ruckus) was off 20.3% year over year and was down 6.7% compared to 2Q19. That caused the company's market share to drop from 5.8% in the second quarter to 5.2% in 3Q19.

https://www.idc.com/getdoc.jsp?containerId=prUS45706619

Thursday, December 5, 2019

IDC: Server market dips 6.7% in 3Q 2019

Vendor revenue in the worldwide server market declined 6.7% year over year to $22.0 billion during the third quarter of 2019 (3Q19), according to IDC's Worldwide Quarterly Server Tracker.  Worldwide server shipments declined 3.0% year over year to just under 3.1 million units in 3Q19.


"While the server market did indeed decline last quarter, next-generation workloads and advanced server innovation (e.g., accelerated computing, storage class memory, next-generation I/O, etc.) keep demand for enterprise compute at near historic highs," said Paul Maguranis, senior research analyst, Infrastructure Platforms and Technologies at IDC. "In fact, 3Q19 represented the second-biggest quarter for global server unit shipments in more than 16 years, eclipsed only by 3Q18."

Some highlights:

  • Dell Technologies and the combined HPE/New H3C Group ended 3Q19 in a statistical tie* for the number one position with 17.2% and 16.8% revenue share, respectively. 
  • Revenues for Dell Technologies declined 10.8% year over year 
  • Revenues for HPE/New H3C Group was down 3.2% year over year. 
  • The third-ranking server company during the quarter was Inspur/Inspur Power Systems, which captured 9.0% market share and grew revenues 15.3% year over year. 
  • Lenovo and Cisco ended the quarter tied* for the fifth position with 5.4% and 4.9% revenue share, respectively. 
  • Lenovo saw revenue decline by 16.9% year over year and Cisco saw its revenue grow 3.1% year over year.
  • The ODM Direct group of vendors accounted for 26.4% of total revenue and declined 7.1% year over year to $5.82 billion. 
  • Dell Technologies led the worldwide server market in terms of unit shipments, accounting for 16.4% of all units shipped during the quarter.

Thursday, November 7, 2019

IDC: 358.3 million smartphone shipments in Q3, up 1% yoy

A total of 358.3 million smartphones were shipped during Q3, which was up 8.1% from the previous quarter and up 0.8% from a year ago, according to the International Data Corporation (IDC) Worldwide Quarterly Mobile Phone Tracker.

Some highlights from IDC

Samsung gained share in 3Q19 with annual growth of 8.3% on the back of the Galaxy Note 10 launch in August and increased A series volumes, with a total of 78.2 million smartphones shipped.

Huawei shipped higher volumes than expected as it shifted focus to its domestic market, particularly in lower-tier cities, and increased inventories given the unknown future with Google Mobile services. While a sentiment of nationalism has helped to bolster Huawei in China, solid relationships with the local channel players has been key, offering favorable distributor terms and a well-rounded product portfolio. Nevertheless, there will be challenges ahead with 4G inventory to clear while consumers wait for affordable 5G products to hit the market.

Apple shipped 46.6 million iPhones in 3Q19, which was a slight decline year over year but still better than most expectations. Apple continues to sell some refurbished iPhones via its own channels, which sustain and possibly grow the installed base, but also impact iPhone revenues. Newer iPhones, specifically the iPhone 11s and XR, did very well this quarter, capturing strong share in important markets like the U.S. and Western Europe.

Xiaomi for the first time saw less than a third of its shipments delivered domestically in China, which was second to India in volume. Domestically, despite its launch of the CC series to appeal to young female consumers, shipments declined under pressure from Huawei. The runway was clearer for Xiaomi in India, however, where it strengthened its offline presence by expanding its sales network via the Mi Store and Mi Preferred Partners.

A total of 358.3 million smartphones were shipped during Q3, which was up 8.1% from the previous quarter and up 0.8% from a year ago, according to the International Data Corporation (IDC) Worldwide Quarterly Mobile Phone Tracker.

Some highlights from IDC

Samsung gained share in 3Q19 with annual growth of 8.3% on the back of the Galaxy Note 10 launch in August and increased A series volumes, with a total of 78.2 million smartphones shipped. The lower-end to midrange A series in particular helped to fill in the gaps left behind by Huawei.

Huawei shipped higher volumes than expected as it shifted focus to its domestic market, particularly in lower-tier cities, and increased inventories given the unknown future with Google Mobile services. While a sentiment of nationalism has helped to bolster Huawei in China, solid relationships with the local channel players has been key, offering favorable distributor terms and a well-rounded product portfolio. Nevertheless, there will be challenges ahead with 4G inventory to clear while consumers wait for affordable 5G products to hit the market.

Apple shipped 46.6 million iPhones in 3Q19, which was a slight decline year over year but still better than most expectations. Apple continues to sell some refurbished iPhones via its own channels, which sustain and possibly grow the installed base, but also impact iPhone revenues. Newer iPhones, specifically the iPhone 11s and XR, did very well this quarter, capturing strong share in important markets like the U.S. and Western Europe.

Xiaomi for the first time saw less than a third of its shipments delivered domestically in China, which was second to India in volume. Domestically, despite its launch of the CC series to appeal to young female consumers, shipments declined under pressure from Huawei. The runway was clearer for Xiaomi in India, however, where it strengthened its offline presence by expanding its sales network via the Mi Store and Mi Preferred Partners.

OPPO also focused its attention outside of China as it approached the tipping point of nearly half of its shipments outside of China with domestic shipments focused on the Reno series and the A9. India experienced the strongest momentum internationally where the Reno series helped complete its product portfolio with higher-end offerings while the online-exclusive K series strengthened its online presence.


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Thursday, September 26, 2019

IDC: Cloud IT Infrastructure Revenues Decline in Q2

Vendor revenue from sales of IT infrastructure products (server, enterprise storage, and Ethernet switch) for cloud environments, including public and private cloud, declined 10.2% year over year in the second quarter of 2019 (2Q19), reaching $14.1 billion, according to the International Data Corporation (IDC) Worldwide Quarterly Cloud IT Infrastructure Tracker.

IDC also lowered its forecast for total spending on cloud IT infrastructure in 2019 to $63.6 billion, down 4.9% from last quarter's forecast and changing from expected growth to a year-over-year decline of 2.1%.




Some highlights from IDC:

  • Vendor revenue from hardware infrastructure sales to public cloud environments in 2Q19 was down 0.9% compared to the previous quarter (1Q19) and down 15.1% year over year to $9.4 billion. This segment of the market continues to be highly impacted by demand from a handful of hyperscale service providers, whose spending on IT infrastructure tends to have visible up and down swings. 
  • After a strong performance in 2018, IDC expects the public cloud IT infrastructure segment to cool down in 2019 with spend dropping to $42.0 billion, a 6.7% decrease from 2018. 
  • Spending on private cloud IT infrastructure has showed more stable growth since IDC started tracking sales of IT infrastructure products in various deployment environments. In the second quarter of 2019, vendor revenues from private cloud environments increased 1.5% year over year reaching $4.6 billion. IDC expects spending in this segment to grow 8.4% year over year in 2019.
  • Overall, the IT infrastructure industry is at crossing point in terms of product sales to cloud vs. traditional IT environments. In 3Q18, vendor revenues from cloud IT environments climbed over the 50% mark for the first time but fell below this important tipping point since then. In 2Q19, cloud IT environments accounted for 48.4% of vendor revenues. For the full year 2019, spending on cloud IT infrastructure will remain just below the 50% mark at 49.0%. Longer-term, however, IDC expects that spending on cloud IT infrastructure will grow steadily and will sustainably exceed the level of spending on traditional IT infrastructure in 2020 and beyond.
  • Spending on the three technology segments in cloud IT environments is forecast to deliver growth for Ethernet switches while compute platforms and storage platforms are expected to decline in 2019. Ethernet switches are expected to grow at 13.1%, while spending on storage platforms will decline at 6.8% and compute platforms will decline by 2.4%. Compute will remain the largest category of spending on cloud IT infrastructure at $33.8 billion.
  • Sales of IT infrastructure products into traditional (non-cloud) IT environments declined 6.6% from a year ago in Q219. For the full year 2019, worldwide spending on traditional non-cloud IT infrastructure is expected to decline by 5.8%, as the technology refresh cycle driving market growth in 2018 is winding down this year. By 2023, IDC expects that traditional non-cloud IT infrastructure will only represent 41.8% of total worldwide IT infrastructure spending (down from 52.0% in 2018). This share loss and the growing share of cloud environments in overall spending on IT infrastructure is common across all regions.
  • Most regions grew their cloud IT Infrastructure revenues in 2Q19. Middle East & Africa was fastest growing at 29.3% year over year, followed by Canada at 15.6% year-over-year growth. Other growing regions in 2Q19 included Central & Eastern Europe (6.5%), Japan (5.9%), and Western Europe (3.1%). Cloud IT Infrastructure revenues were down slightly year over year in Asia/Pacific (excluding Japan) (APeJ) by 7.7%, Latin America by 14.2%, China by 6.9%, and the USA by 16.3%.

Sunday, September 8, 2019

IDC: Ethernet Switch Market up 4.8% in 2Q19

The worldwide Ethernet switch market (Layer 2/3) recorded revenues of $7.07 billion in the second quarter of 2019 (2Q19), an increase of 4.8% year over year, according to IDC's newly updated Worldwide Quarterly Ethernet Switch Tracker and Worldwide Quarterly Router Tracker. Worldwide total enterprise and service provider (SP) router market revenues grew 3.4% year over year in 2Q19 to $3.96 billion.

Ethernet Switch Market Highlights

  • Port shipments for 100Gb switches rose 58.3% year over year to 4.4 million. 
  • 100Gb revenues grew 42.9% year over year in 2Q19 to $1.28 billion, making up 18.1% of the market's revenue, compared to 13.2% of the market's revenue a year earlier. 
  • 25Gb switches also saw impressive growth, increasing 84.8% to $364.1 million, with port shipments growing 74.5% year over year. 
  • 10Gb port shipments rose 2.6% year over year, to make up 27.9% of the market's revenue. 
  • 1Gb switches grew 6.6% year over year in port shipments, making up 40.0% of the market's total revenues.
  • The Central and Eastern Europe (CEE) region grew 10.8% year over year, with Russia – the region's largest market – growing 9.2% and Poland growing 29.6%. The Middle East and Africa (MEA) region also had strong growth at 10.2%; Qatar led the region's increase with 70.3% growth. Western Europe rose 1.1%, with the Netherlands growing 18.6% within the region.
  • The USA market grew 10.7% while Canada's market grew 3.8%. The Latin America region was off 1.2% after Brazil fell 8.3%.
  • The Asia/Pacific (excluding Japan) (APeJ) region fell 4.2% year over year. 
  • China's market declined 4.7% year over year while Australia's market dropped 16.0%.

Router Market Highlights

  • The worldwide enterprise and service provider router market grew 3.4% on a year-over-year basis in 2Q19, with the major service provider segment, which accounts for 75.9% of revenues, increasing 2.0% and the enterprise segment of the market growing a healthy 8.0%. 
  • The combined service provider and enterprise router market increased 2.7% in APeJ, with the service provider segment increasing 3.8%. 
  • Japan's total market grew 7.0% year over year. 
  • Revenues in Western Europe rose 5.2% year over year, while the CEE combined enterprise and service provider market grew 15.2% year over year. 
  • The MEA region was up 7.4%. 
  • In the USA, the enterprise segment was up 18.8%, but service provider revenues fell 6.4%, causing the total market to decline 0.8% year over year. Canada's market rose 9.2% year over year and the Latin American market grew 8.1%.

Vendor Highlights

  • Cisco finished 2Q19 with an 6.8% year-over-year increase in overall Ethernet switch revenues and market share of 51.1%.  In the hotly contested 25Gb/100Gb segment, Cisco is the market leader with 38.8% of the market's revenue. Cisco's campus/branch Ethernet switch revenue increased 14.3% year over year. Meanwhile, Cisco's datacenter switching revenue declined 3.2% year over year in 2Q19. Cisco's combined service provider and enterprise router revenue rose 6.6% year over year, with enterprise router revenue increasing 16.2% and SP revenues growing 1.1%. Cisco's combined SP and enterprise router market share increased to 36.8%, up from 35.7% in 2Q18.
  • Huawei's Ethernet switch revenue rose 18.9% on an annualized basis, giving the company market share of 9.7%. The company's combined SP and enterprise router revenue rose 1.5% year over year with a market share of 31.1%.
  • Arista Networks saw Ethernet switch revenues increase 15.4% in 2Q19, bringing its share to 7.3% of the total market, up from 6.6% a year earlier. 100Gb revenues accounted for 65.4% of the company's total revenue, indicating the company's focus on hyperscale and cloud providers and select large enterprise segments.
  • HPE's Ethernet switch revenue declined 6.3% year over year, giving the company a market share of 5.8%.
  • Juniper's Ethernet switch revenue declined 19.6% in 2Q19, bringing its market share to 2.9%. Juniper saw a 15.0% decline in combined enterprise and SP router sales, bringing its market share in the router market to 10.5%.


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Wednesday, September 4, 2019

IDC: Worldwide server market drops 11.6% in 2Q19

After a torrid stretch of prolonged market growth that drove the server market to historic heights, IDC has found that the global server market declined in 2Q19 for the first time since the fourth quarter of 2016. Vendor revenue in the worldwide server market declined 11.6% year over year to just over $20.0 billion during the second quarter of 2019 (2Q19).



Worldwide server shipments declined 9.3% year over year to just under 2.7 million units in 2Q19.

"The second quarter saw the server market's first contraction in nine quarters, albeit against a very difficult compare from one year ago when the server market realized unprecedented growth," said Sebastian Lagana, research manager, Infrastructure Platforms and Technologies. "Irrespective of the difficult compare, factors impacting the market include a slowdown in purchasing from cloud providers and hyperscale customers, an off-cycle in the cyclical non-x86 market, as well as a slowdown from enterprises due to existing capacity slack and macroeconomic uncertainty."

Some highlights:

  • The number one position in the worldwide server market during 2Q19 was shared* by Dell Technologies and the combined HPE/New H3C Group with revenue shares of 19.0% and 18.0% respectively. 
  • Dell Technologies declined 13.0% year over year, while HPE/New H3C Group was down 3.6% year over year. 
  • The third position went to Inspur/Inspur Power Systems, which increased its revenue by 32.3% year over year. 
  • Lenovo and IBM tied for the fourth position with revenue shares of 6.1%, and 5.9% respectively. 
  • Lenovo saw revenue decline by 21.8% year over year while IBM saw its revenue contract 27.4% year over year. 
  • The ODM Direct group of vendors accounted for 21.1% of total revenue and declined 22.9% year over year to $4.23 billion. 
  • Dell Technologies led the worldwide server market in terms of unit shipments, accounting for 17.8% of all units shipped during the quarter.

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Wednesday, July 31, 2019

IDC: Worldwide public cloud service revenue hit $183B in 2018

The worldwide public cloud services market grew 27.4% year over year in 2018 with revenues totaling nearly $183 billion, according to results from the 2H 2018 release of the International Data Corporation (IDC) Worldwide Semiannual Public Cloud Services Tracker.

The growth rate was down slightly from 2018 but is still more than 4.5 times that of the IT industry overall.

"Our latest public cloud data continues to show robust growth – headed toward almost $500 billion by 2023 – and consolidating power positions across the board," said Frank Gens, senior vice president and chief analyst at IDC. "The most intense and strategic consolidation – in the combined IaaS and PaaS segments – is being driven by developers' and enterprises' bets on which vendors will sustainably deliver tech innovation for the next decade and beyond."

"Software as a Service (SaaS) continued to be the most highly deployed cloud segment, representing a commanding 62.4% of the total cloud market revenues, including system infrastructure software (SIS). Adoption of cloud enterprise business applications like ERP, SCM, and HCM also accelerated across all segments with most buyers taking a SaaS-first or SaaS-also posture for new applications," said Frank Della Rosa, research director, Software as a Service at IDC.

Another key finding from IDC:


  • The top 5 public cloud service providers accounted for 46.3% of all spending growth in 2018 and 35% of all 2018 spending, up 3 points from 2017. This continues a consolidation trend in the overall public cloud services market among the leaders, most pronounced in the combined Infrastructure as a Service (IaaS) and Platform as a Service (PaaS) segments, in which the top 5 vendors accounted for a 63% share of spending.

IDC: Smartphone shipments drop 2.3% in Q2

Worldwide smartphones shipments declined 2.3% year over year in the second quarter of 2019, according to preliminary data from the International Data Corporation (IDC) Worldwide Quarterly Mobile Phone Tracker. China and the United States experiencing the sharpest quarterly declines.

Smartphone vendors shipped a total of 333.2 million phones in 2Q19, which was up 6.5% over the previous quarter.

"Despite a lot of uncertainty surrounding Huawei the company managed to hold its position at number two in terms of market share," said Ryan Reith, program vice president with IDC's Worldwide Mobile Device Trackers. "When you look at the top of the market – Samsung, Huawei, and Apple – each vendor lost a bit of share from last quarter, and when you look down the list the next three – Xiaomi, OPPO, and vivo – all gained. Part of this is related to the timing of product launches, but it is hard not to assume this trend could continue."

Some highlights:

  • the top 5 vendors accounted for 69% of the total market volume
  • the top 10 vendors accounted for 87%
  • Samsung maintained the top position in the market for 2Q19 and returned to annual growth of 5.5% with a total of 75.5 million smartphones shipped. 
  • Huawei saw its shipment volumes decline 0.6% when compared to 1Q19, which could be regarded as better than expected given U.S.-China trade tensions. 
  • Shipment volumes in China hit an all-time high and accounted for 62% of Huawei's 2Q19 total with 36.4 million units. 
  • Apple shipped 33.8 million new iPhones during 2Q19, which was down significantly from the same quarter a year ago. 
  • Xiaomi experienced a small year-over-year decline during the quarter with a total of 32.3 million smartphones shipped.
  • OPPO performed well in China and India, which together accounted for nearly three-quarters of its shipments in 2Q19. 


Wednesday, July 24, 2019

IDC: SD-WAN market to hit $5.25 billion by 2023

The SD-WAN infrastructure market will grow at a 30.8% compound annual growth rate (CAGR) from 2018 to 2023 to reach $5.25 billion, according to IDC's SD-WAN Infrastructure Forecast.

The SD-WAN infrastructure market to be highly competitive, according to IDC, with sales increasing by 64.9% in 2018 to $1.37 billion.

IDC finds that Cisco holds the largest share of the SD-WAN infrastructure market, fueled by its extensive routing portfolio that is used in SD-WAN deployments, as well as its Meraki portfolio and its SD-WAN management platform powered by technology it acquired from Viptela in August 2017. VMware, with its SD-WAN service powered by VeloCloud (which VMware acquired in December 2017), holds the second-largest market share in the SD-WAN infrastructure market, followed by Silver Peak, Nokia-Nuage, and Riverbed.

"SD-WAN continues to be one of the fastest-growing segments of the network infrastructure market, driven by a variety of factors. First, traditional enterprise WANs are increasingly not meeting the needs of today's modern digital businesses, especially as it relates to supporting SaaS apps and multi- and hybrid-cloud usage. Second, enterprises are interested in easier management of multiple connection types across their WAN to improve application performance and end-user experience," said Rohit Mehra, vice president, Network Infrastructure. "Combined with the rapid embrace of SD-WAN by leading communications service providers globally, these trends continue to drive deployments of SD-WAN, providing enterprises with dynamic management of hybrid WAN connections and the ability to guarantee high levels of quality of service on a per-application basis."

IDC's Market Share and Market Forecast reports focus specifically on the SD-WAN infrastructure market, which includes both hardware and software used in SD-WAN deployments. IDC defines SD-WAN as a dynamic, policy-enabled hybrid WAN that uses at least two or more connection methods (such as MPLS, broadband internet, 3G/4G, etc.) and includes a centralized application-based policy controller that provides intelligent path selection, along with an optional forwarder for routing capability. The SD-WAN infrastructure Market Share and Forecast reports do not include managed services related to SD-WAN, such as setup or operational support, nor do they include connectivity costs.

The IDC SD-WAN Infrastructure Forecast provides an outlook for this market across major regions for the period extending to 2023, including historical numbers through 2017 and forecast numbers from 2019 to 2023. It also provides regional geographic segmentation of the SD-WAN infrastructure market, including market sizes and CAGRs for each major region (North America, EMEA, APJ, Latin America).

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Sunday, July 7, 2019

IDC: Worldwide public cloud spending to double by 2023

IDC is predicting that worldwide spending on public cloud services and infrastructure will more than double over the 2019-2023 period.

The latest update to IDC's Worldwide Semiannual Public Cloud Services Spending Guide forecasts a five-year compound annual growth rate (CAGR) of 22.3%, public cloud spending, taking the market from $229 billion in 2019 to nearly $500 billion in 2023.

"Adoption of public (shared) cloud services continues to grow rapidly as enterprises, especially in professional services, telecommunications, and retail, continue to shift from traditional application software to software as a service (SaaS) and from traditional infrastructure to infrastructure as a service (IaaS) to empower customer experience and operational-led digital transformation (DX) initiatives," said Eileen Smith, program director, Customer Insights and Analysis.



Some highlights from IDC:

  • Software as a Service (SaaS) will be the largest category of cloud computing, capturing more than half of all public cloud spending in throughout the forecast. SaaS spending, which is comprised of applications and system infrastructure software (SIS), will be dominated by applications purchases. The leading SaaS applications will be customer relationship management (CRM) and enterprise resource management (ERM). SIS spending will be led by purchases of security software and system and service management software.
  • Infrastructure as a Service (IaaS) will be the second largest category of public cloud spending throughout the forecast, followed by Platform as a Service (PaaS). IaaS spending, comprised of servers and storage devices, will also be the fastest growing category of cloud spending with a five-year CAGR of 32.0%. PaaS spending will grow nearly as fast (29.9% CAGR) led by purchases of data management software, application platforms, and integration and orchestration middleware.
  • Three industries – professional services, discrete manufacturing, and banking – will account for more than one third of all public cloud services spending throughout the forecast. While SaaS will be the leading category of investment for all industries, IaaS will see its share of spending increase significantly for industries that are building data and compute intensive services. For example, IaaS spending will represent more than 40% of public cloud services spending by the professional services industry in 2023 compared to less than 30% for most other industries. Professional services will also see the fastest growth in public cloud spending with a five-year CAGR of 25.6%.
  • On a geographic basis, the United States will be the largest public cloud services market, accounting for more than half the worldwide total through 2023. Western Europe will be the second largest market with nearly 20% of the worldwide total. China will experience the fastest growth in public cloud services spending over the five-year forecast period with a 49.1% CAGR. Latin America will also deliver strong public cloud spending growth with a 38.3% CAGR.
  • Very large businesses (more than 1000 employees) will account for more than half of all public cloud spending throughout the forecast, while medium-size businesses (100-499 employees) will deliver around 16% of the worldwide total. Small businesses (10-99 employees) will trail large businesses (500-999 employees) by a few percentage points while the spending share from small offices (1-9 employees) will be in the low single digits. All the company size categories except for very large businesses will experience spending growth greater than the overall market.


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See also