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

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.


https://www.idc.com/getdoc.jsp?containerId=prUS45636719

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%.


https://www.idc.com/getdoc.jsp?containerId=prUS45487019

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.

https://www.idc.com/getdoc.jsp?containerId=prUS45482519


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).

https://www.idc.com/getdoc.jsp?containerId=prUS45380319

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.


https://www.idc.com/getdoc.jsp?containerId=prUS45340719

Thursday, June 20, 2019

IDC: Cloud infrastructure spending to cool down

Vendor revenue from the sales of IT infrastructure products (server, enterprise storage, and Ethernet switch) for cloud environments, including public and private cloud, grew 11.4% year over year in the first quarter of 2019 (1Q19), reaching $14.5 billion, according to IDC's Worldwide Quarterly Cloud IT Infrastructure Tracker.

IDC lowered its forecast for total spending on cloud IT infrastructure in 2019 to $66.9 billion – down 4.5% from last quarter's forecast – with slower year-over-year growth of 1.6%.

"As the overall IT infrastructure goes through a period of slowdown after an outstanding 2018, the important trends might look somewhat distorted in the short term," said Natalya Yezhkova, research vice president, Infrastructure Systems, Platforms and Technologies at IDC. "IDC's long-term expectations strongly back continuous growth of cloud IT infrastructure environments. With vendors and service providers finding new ways of delivering cloud services, including from IT infrastructure deployed at customer premises, end users have fewer obstacles and pain points in adopting cloud/services-based IT."

Some highlights from IDC:


  • Vendor revenue from hardware infrastructure sales to public cloud environments in 1Q19 was down 13.4% compared to the previous quarter (4Q18) but increased 8.9% year over year to $9.8 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 vendor revenue dropping to $44.5 billion, a 2.2% decrease from 2018. Although it will continue to account for the majority of spending on cloud IT environments, its share will decrease from 69.1% in 2018 to 66.5% in 2019. In contrast, 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 first quarter of 2019, vendor revenues from private cloud environments increased 16.9% year over year reaching $4.7 billion. IDC expects spending in this segment to grow 10.1% year over year in 2019.
  • Overall, the IT infrastructure industry is at a crossroads 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 has since fallen below this important threshold. In 1Q19, cloud IT environments accounted for 48.8% of vendor revenues. 
  • For the full year 2019, spending on cloud IT infrastructure will remain just below the 50% mark at 49.4%. Over the long-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 and storage platforms while compute platforms are expected to decline in 2019. Ethernet switches will be the fastest growing at 20.9%, while spending on storage platforms will grow slightly at 1.9%. Meanwhile, compute platforms will decline by 2.8% in 2019 but will remain the largest category of spending on cloud IT infrastructure at $34.2 billion.
  • Sales of IT infrastructure products into traditional (non-cloud) IT environments remained flat compared to 1Q18. For the full year 2019, worldwide spending on traditional non-cloud IT infrastructure is expected to decline by 3.5%, as the technology refresh cycle that drove market growth in 2018 is winding down. By 2023, IDC expects that traditional non-cloud IT infrastructure will only represent 42.4% of total worldwide IT infrastructure spending (down from 51.9% 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 1Q19. Middle East & Africa was fastest growing at 35.3% year over year, followed by Western Europe at 25.4% year-over-year growth. Other growing regions 1Q19 included Central & Eastern Europe (18.3%), Canada and Japan (both at 14.6%), the United States (10.7%), and China (5.4%). Cloud IT Infrastructure revenues were down slightly year over year in Asia/Pacific (excluding Japan) (APeJ) by 1.2% and in Latin America by 0.2%.

Tuesday, June 18, 2019

IDC: IoT is expected to generate 79.4ZB of data in 2025

A new forecast from International Data Corporation (IDC) estimates that there will be 41.6 billion connected IoT devices, or "things," generating 79.4 zettabytes (ZB) of data in 2025.

IDC projects that the amount of data created by these connected IoT devices will see a compound annual growth rate (CAGR) of 28.7% over the 2018-2025 forecast period.

Some highlights of the recently published Worldwide Global DataSphere IoT Device and Data Forecast 2019-2023 report:

  • Most of the data is being generated by video surveillance applications, but other categories such as industrial and medical will increasingly generate more data over time.
  • The industrial and automotive category will see the fastest data growth rates over the forecast period with a CAGR of 60%. 
  • Drones, while still early in adoption today, show great potential to access remote or hard to reach locations and will also be a big driver of data creation using cameras.

Thursday, June 13, 2019

IDC: Worldwide Spending on IoT to hit $1.1 trillion in 2023

IDC is predicting booming worldwide spending on the Internet of Things (IoT) with spending exceeding $1.0 trillion mark in 2022 and reaching $1.1 trillion in 2023.

A new update to the International Data Corporation (IDC) Worldwide Semiannual Internet of Things Spending Guide shows the compound annual growth rate (CAGR) for IoT spending over the 2019-2023 forecast period will be 12.6%.

"Spending on IoT deployments continues with good momentum and is expected to be $726 billion worldwide this year," said Carrie MacGillivray, group vice president, Internet of Things, 5G, and Mobility at IDC. "While organizations are investing in hardware, software, and services to support their IoT initiatives, their next challenge is finding solutions that help them to manage, process, and analyze the data being generated from all these connected things."

Highlights:

  • Discrete manufacturing, process manufacturing, and transportation will account for nearly a third of worldwide spend total in 2023. 
  • The consumer market will be the second largest source of IoT spending in 2019, led by smart home and connected vehicle use cases. With the fastest five-year growth rate across all industries (16.8% CAGR), the consumer market is forecast to overtake discrete manufacturing to become the largest source of IoT spending by 2023.
  • Hardware spending is dominated by module/sensor purchases. 
  • Software will be the fastest growing technology category with a five-year CAGR of 15.3% with a focus on application and analytics software purchases.
  • More than three quarters of all spending on IoT platform software – middleware that provides the device management, connectivity management, data management, visualization, and applications enablement for connecting IoT endpoints – will go toward software packages that integrate and support devices, applications, data schemas, and standards of a single industry. 
  • By the end of the forecast, nearly one-third of IoT software spending will go toward public cloud deployments, compared to less than 20% spent on cloud deployments in 2018.
  • The United States and China will account for roughly half of all IoT spending throughout the forecast, followed by Western Europe and Asia/Pacific (excluding Japan and China). 

Sunday, June 9, 2019

IDC: Server market revenue up 4% in 1Q19

The worldwide server market increased 4.4% year over year to $19.8 billion during 1Q19, according to IDC's Worldwide Quarterly Server Tracker.

Worldwide server shipments declined 5.1% year over year to just under 2.6 million units in 1Q19.

Some highlights from IDC:

  • The overall server market slowed in 1Q19 after experiencing six consecutive quarters of double-digit revenue growth although pockets of robust growth remain. 
  • Volume server revenue increased by 4.2% to $16.7 billion, while midrange server revenue grew 30.2% to $2.1 billion. 
  • High-end systems contracted steeply for a second consecutive quarter, declining 24.7% year over year to $976 million.

"Demand from both enterprise buyers and hyperscale companies purchasing through ODMs was less voracious than in previous quarters; coupled with a difficult compare period from a year ago, this impacted the pace of market growth during the first quarter," said Sebastian Lagana, research manager, Infrastructure Platforms and Technologies at IDC. "This was most evident in declining unit shipments during the quarter, although year-to-year average selling price (ASP) increases supported revenue growth for many vendors. As long as demand for richly configured servers supports further ASP growth, the market will offset slight declines in unit volume."

https://www.idc.com/getdoc.jsp?containerId=prUS45151319

IDC: Enterprise storage capacity shipments grow 14% in Q1, sales dip

Vendor revenue in the worldwide enterprise storage systems market decreased 0.6% year over year to $13.4 billion during the first quarter of 2019 (1Q19), according to the International Data Corporation (IDC) Worldwide Quarterly Enterprise Storage Systems Tracker.

Total capacity shipments were up 14.1% year over year to 114.2 exabytes during the quarter.

Some highlights from IDC:
  •  datacenters declined 5.3% year over year in 1Q19 to $2.95 billion. This represents 22.1% of total enterprise storage investments during the quarter. 
  • Sales of server-based storage decreased 6.6% year over year to just over $3.6 billion in revenue. This represents 26.6% of total enterprise storage investments. 
  • The external storage systems market revenue totaled nearly $6.9 billion during the quarter, up 5.0% from 1Q18.

"First quarter 2019 results are an acceleration of the slowdown we noted last quarter, with declining ODM and internal (server-based) storage the primary drivers of market contraction." said Sebastian Lagana, research manager, Infrastructure Platforms and Technologies. "OEM vendors selling dedicated storage arrays still generated growth during the quarter, although slowing flash-centric array growth indicates that the opportunity for existing install-base upgrades is beginning to wane."



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Sunday, June 2, 2019

IDC: Switching market grows 7.8%, routing up 8.2%

According to IDC, the Worldwide Ethernet switch (Layer 2/3) market grew revenues 7.8% in Q1 2019 to $6.8 billion, while the worldwide enterprise and service provider (SP) router market saw revenues increase 8.2% year over year to $3.6 billion.

"Organizations across the globe are looking to digitally transform themselves in an effort to meet market and competitive needs and improve user experiences. As they do so, enterprises are realizing the critical role the network plays in their broader IT transformation initiatives," said Rohit Mehra, vice president, Network Infrastructure, at IDC. "This has led to continued, and growing, investment in Ethernet switching, routing, software-defined networks (SDN), and SD-WAN platforms and architectures that support the increasing demands of an always-connected world."



Some highlights of the newly updated IDC Quarterly Ethernet Switch Tracker and IDC Quarterly Router Tracker:


  • From a geographic perspective, the 1Q19 Ethernet switch market had a strong quarter across the globe. The Asia/Pacific (excluding Japan) (APeJ) region grew 8.6% year over year. Notable gains in the region included China, which grew 11.7% year over year, and Taiwan, which increased 15.3%. Meanwhile, Japan's Ethernet switch market rose 1.3%.
  • The Middle East and Africa (MEA) region saw growth of 9.5% year over year, led by Egypt, which rose 17.3%. Europe saw more modest growth with Western Europe growing 3.5% and Central and Eastern Europe remaining stagnant with 0.3% year-over-year growth. Notable markets in Western Europe included the United Kingdom, which was down 1.2% from a year earlier, while Germany was up 2.3% and Italy grew 15.5% year over year. In Central and Eastern Europe, Russia declined 13.4% year over year. In the Americas, the United States grew 11.9% while Canada increased 2.6% year over year. Latin America was down 4.5% overall with Brazil's 8.5% year-over-year decline offset by 11.0% growth in Mexico.
  • Port shipments for 100Gb switches rose 85.3% year over year to 3.6 million. 100Gb revenues grew 59.0% year over year in 1Q19 to $1.2 billion, making up 17.3% of the market's revenue. 
  • 25Gb ports also saw impressive growth, increasing 133.3% to $304.0 million, with port shipments growing 104.8% year over year. 
  • 40Gb switches continue to be falling out of favor with revenues declining 21.3% year over year. 
  • Lower-speed campus switches, a more mature part of the market, showed moderate growth. 10Gb port shipments rose 8.6% year over year to make up 28.7% of the market's revenue. 
  • The worldwide enterprise and service provider router market grew 8.2% on a year-over-year basis in 1Q19 with the major service provider segment, which accounts for 75.3% of revenues, increasing 7.1% and the enterprise segment of the market growing 11.9%. 
  • From a regional perspective, the combined service provider and enterprise router market increased 12.0% in APeJ with the enterprise segment up 17.7%. Japan's total market grew 27.1% year over year. Central and Eastern Europe regional revenues rose 19.7% year over year, while the Western Europe combined enterprise and service provider market grew 3.7% year over year. The Middle East & Africa region was up 12.6% fueled by a 15.7% increase in service provider revenues. In the U.S., the enterprise segment was up 15.7% but the service provider revenues fell 5.8%, causing the total market to decline 0.5% year over year. Canada's market rose 28.5% year over year and the Latin American market grew 9.0%.
  • Cisco finished 1Q19 with an 8.3% year-over-year increase in overall Ethernet switch revenues and market share of 53.7%. In the hotly contested 25Gb/100Gb segment, Cisco is the market leader with 39.4% of the market's revenue. Cisco's combined service provider and enterprise router revenue rose 15.3% year over year, with enterprise router revenue increasing 16.1% and service provider revenues growing 14.8%. Cisco's combined SP and enterprise router market share increased to 42.4%, up from 37.4% in 4Q18.
  • Huawei's Ethernet switch revenue rose 18.9% on an annualized basis, giving the company market share of 8.9%, up from 8.1% a year earlier. The company's combined service provider and enterprise router revenue rose 5.7% year over year with a market share of 24.5%.
  • Arista Networks saw Ethernet switch revenues increase 24.0% in 1Q19, bringing its share to 7.5% of the total market, up from 6.5% a year earlier. The company continues to cater to the higher end of Ethernet switch speeds, with 100Gb revenues accounting for 67.6% of the company's total revenue, indicating the company's focus on hyperscale and cloud providers.
  • HPE's Ethernet switch revenue declined 5.6% year over year, giving the company a market share of 5.3%.
  • Juniper's Ethernet switch revenue declined 23.4% in 1Q19, bringing its market share to 2.6%. Juniper saw an 8.2% decline in combined enterprise and service provider router sales, bringing its market share in the router market to 10.4%.

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Wednesday, May 15, 2019

IDC: Worldwide semiconductor revenue to dip 7.2% in 2019

International Data Corporation (IDC) is predicting that worldwide semiconductor revenue will decline to $440 billion in 2019, down 7.2% from $474 billion in 2018. This follows three consecutive years of growth, with year-over-year growth of 13.2% in 2018.

Other key findings from IDC's Semiconductor Application Forecaster (excluding memory) include:

  • While the computing industry experienced strong growth in 2017 and 2018, the SAF forecasts semiconductor revenue for the computing industry segment to decline 5.1% this year but will show a positive CAGR of 1.3% for the 2018-2023 forecast period. Two bright spots for the computing segment are x86 servers and SSDs, growing with an 11.3% and 9.8% CAGR respectively for 2018-2023.
  • Semiconductor revenue for the mobile wireless communications segment will grow 1.8% year over year this year with a CAGR of 4.8% for 2018-2023. Semiconductor revenue for 4G mobile phones will experience a slowdown as 5G phones begin to ramp up in 2020, becoming mainstream by the middle of the next decade. RF subsystem in mobile devices will continue to drive the majority of the revenue growth as the subsystem continues to support more complexity, additional antennas, and the increase in bands on every phone.
  • The consumer semiconductor segment will grow at a 6.4% CAGR for 2018-2023 as consumer IoT devices and home automation continue to gain traction and scale. Connected devices will continue to drive more sensors and processing at the edge.

"The current market downturn is being driven by a broad weakness in demand specifically centered in China and an ingestion of excess inventories in some of the major markets including automotive, mobile phones, and cloud infrastructure," said Mario Morales, program vice president, Semiconductors at IDC. "We expect the market to bottom by end of the third quarter this year as we work through inventories and demand begins to gradually return. Cloud infrastructure investment, 5G mobile devices, WiFi 6 adoption, Smart NICs, automotive sensors, powertrain technologies, AI training accelerators, and edge inference SoCs will be instrumental in our growth expectations for 2020 and beyond."

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Tuesday, April 30, 2019

IDC: Smartphone market continues to decline

2019 will be another down year for worldwide smartphone shipments, as vendors shipped a total of 310.8 million units in 1Q19, marking a 6% drop year-over-year and the sixth consecutive quarter of decline, according to newly published figures from IDC.

Some highlights from IDC

  • Samsung saw volumes drop 8.1% in 1Q19 with shipments of 71.9 million. The newly launched Galaxy S10 series did sell well during the quarter, and the 5G variant is now shipping in Korea, with additional markets launching soon.
  • Huawei increased shipments and market share, moving its way into a clear number two spot.
  • Huawei saw year-over-year growth of 50.3% in 1Q19 with volumes of 59.1 million units and a 19.0% market share. 
  • Apple's Q1 shipments dropped to 36.4 million units representing a staggering 30.2% decline from last year. 
  • Xiaomi also experienced a decline in 1Q19 with volumes of 25.0 million, which was down 10.2% year over year. 
  • vivo returned to the top 5 of the smartphone market with volumes of 23.2 million and a market share of 7.5%, tying it with OPPO for the number 5 position. 
  • OPPO shipped 23.1 million smartphones in 1Q19, enough to capture a 7.4% market share, although volumes were down 6.0% from 1Q18.

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Thursday, March 28, 2019

IDC: Cloud IT infrastructure Revenues dropped in 4Q18

Vendor revenue from sales of IT infrastructure products (server, enterprise storage, and Ethernet switch) for cloud environments, including public and private cloud, grew 28.0% year over year in the fourth quarter of 2018 (4Q18), reaching $16.8 billion, according to a new repor from IDC.

IDC reported that annual spending (vendor revenue plus channel mark-up) on public and private cloud IT infrastructure totaled $66.1 billion in 2018, slightly higher (1.3%) than forecast in Q3 2018. IDC also raised its forecast for total spending on cloud IT infrastructure in 2019 to $70.1 billion – up 4.5% from last quarter's forecast – with year-over-year growth of 6.0%.

Some highlights from IDC:

  • Quarterly spending on public cloud IT infrastructure was down 6.9% in Q418 compared to the previous quarter but it still almost doubled in the past two years reaching $11.9 billion in 4Q18 and growing 33.0% year over year, while spending on private cloud infrastructure grew 19.6% reaching $5.75 billion. 
  • Public cloud represented 69.6% of cloud IT infrastructure spending in 2018.
  • Spending on public cloud infrastructure growing at an annual rate of 50.2%. 
  • Spending on private cloud grew 24.8% year over year in 2018.
  • In 4Q18, quarterly vendor revenues from IT infrastructure product sales into cloud environments fell and once again were lower than revenues from sales into traditional IT environments, accounting for 48.3% of the total worldwide IT infrastructure vendor revenues, up from 42.4% a year ago but down from 50.9% last quarter. For the full year 2018, spending on cloud IT infrastructure remained just below the 50% mark at 48.4%. Spending on all three technology segments in cloud IT environments is forecast to deliver slower growth in 2019 than in previous years. Ethernet switches will be the fastest growing at 23.8%, while spending on storage platforms will grow 9.1%. Spending on compute platforms will stay at $35.0 billion but still slightly higher than expected in IDC's previous forecast.
  • The rate of annual growth for the traditional (non-cloud) IT infrastructure segment slowed down from 3Q18 to below 1% but the segment grew 11.1% quarter over quarter. For the full year, worldwide spending on traditional non-cloud IT infrastructure grew by 12.2%, exactly as forecast, as the market has started going through a technology refresh cycle, which will wind down by 2019. By 2023, we expect that traditional non-cloud IT infrastructure will only represent 40.5% of total worldwide IT infrastructure spending (down from 51.6% in 2018). This share loss and the growing share of cloud environments in overall spending on IT infrastructure is common across all regions.

"The unprecedented growth of the infrastructure systems market in 2018 was shared across both cloud and non-cloud segments," said Kuba Stolarski, research director, Infrastructure Systems, Platforms and Technologies at IDC. "As market participants prepare for a very difficult growth comparison in 2019, compounded by strong, cyclical, macroeconomic headwinds, cloud IT infrastructure will be the primary growth engine supporting overall market performance until the next cyclical refresh. With new on-premises public cloud stacks entering the picture, there is a distinct possibility of a significant surge in private cloud deployments over the next five years."

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Monday, March 18, 2019

IDC: Worldwide server market remains robust

Vendor revenue in the worldwide server market increased 12.6% year over year to $23.6 billion during the fourth quarter of 2018 (4Q18), according to a new report from IDC. Worldwide server shipments increased 5.0% year over year to just under 3.0 million units in 4Q18.

"Reduced demand from hyperscale companies created downward pressure on worldwide server market growth rates during the quarter," said Sebastian Lagana, research manager, Infrastructure Platforms and Technologies at IDC. "This was offset by increased server sales to enterprise customers and higher average selling prices (ASPs). Enterprises are buying richly configured servers to support resource intensive workloads, resulting in higher ASPs and pushing revenue growth higher than growth from unit shipments."



Highlights:

  • The overall server market continues to experience robust demand with 4Q18 marking the fifth consecutive quarter of double-digit revenue growth and its highest total revenue in a single quarter ever. 
  • Volume server revenue increased by 17.8% to $19.0 billion, while midrange server revenue grew 30.3% to $2.5 billion. High-end systems declined 28.3% to $2.1 billion.
  • Tied for the number one position in the worldwide server market during 4Q18 were Dell Inc., at 18.7% revenue share, and HPE/New H3C Group, with 17.8% revenue share, growing 20.4% and 10.5% year to year respectively. 
  • IBM was the third-ranked server supplier during the quarter capturing 8.3% of total server revenues. IBM's performance during the quarter excludes sales generated through the company's recently established partnership with Inspur Power Systems. 
  • Inspur/Inspur Power Systems and Lenovo tied for fourth with revenue shares of 6.6% and 6.2% respectively. Inspur/Inspur Power Systems increased its revenue 70.7% year over year and Lenovo increased its revenue 33.8% year over year. The ODM Direct group of vendors accounted for 20.1% of total revenue, up 11.6% year over year to $4.7 billion. This was an uncharacteristically low growth rate for this group of companies. 
  • Dell led the worldwide server market in terms of unit shipments, accounting for 19.4% of all units shipped during the quarter. 

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Tuesday, January 22, 2019

IDC: LTE Router/Gateway market to hit $1.9 billion in 2022

The LTE router/gateway market will grow from approximately $804.2 million in 2018 to $1.9 billion in 2022 at a compound annual growth rate (CAGR) of 27.4%, according to a new report from IDC. Regionally, North America will remain the largest consumer of LTE routers/gateways, but Asia/Pacific, including Japan and China, will grow the fastest over the forecast period supported by continued expansion and/or densification of macro LTE networks in the region.

"The enterprise LTE appliance market is seeing rapid uptake globally, prompting incumbent suppliers and new players to seek differentiation to demonstrate value. Some are focusing on the software layer, or wireless SD-WAN, while others are leaning on their technology heritage in addressing IoT requirements. Whatever the strategy, branch, mobile, and IoT are emerging as the three main use cases for LTE routers and gateways," said Patrick Filkins, senior research analyst, IoT and Mobile Network Infrastructure.

IDC highlights three main use cases that LTE router/gateway suppliers are moving to address:

  • Branch connectivity: Products designed for stationary, onsite functionality are often integrated with LTE, WiFi, and wired functionality. In addition, solutions often incorporate enhanced security features (e.g., firewall, threat management). An overarching software-defined component, often delivered from the cloud, can be incorporated to deliver enhanced management and coordination.
  • Mobile connectivity: Mobile LTE routers are often affixed to vehicles, rail systems, or other "on the move objects" that require connectivity. An emerging use case is for public safety networks, including first-responder networks, where cellular connectivity can meet the stringent demand for mission-critical communications.
  • Internet of Things/M2M: These solutions, which can be gateways, often offer a base feature such as protocol conversion but may incorporate the advanced features included in branch and mobile solutions as well.


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IDC: 5G network infrastructure market to grow at 118% CAGR

The worldwide 5G network infrastructure market is expected to grow from approximately $528 million in 2018 to $26 billion in 2022, according to IDC's inaugural forecast for this market segment, and representing a compound annual growth rate (CAGR) of 118%.

The 5G network infrastructure market includes 5G RAN, 5G NG core, NFVI, routing and optical backhaul.

IDC expects 5G RAN to be the largest market sub-segment through the forecast period, in line with prior mobile generations.

In addition to 5G NR and 5G NG core, procurement patterns indicate communications service providers (SPs) will need to invest in adjacent domains, including backhaul and NFVI, to support the continued push to cloud-native, software-led architectures.

"Early 5G adopters are laying the groundwork for long-term success by investing in 5G RAN, NFVI, optical underlays, and next-generation routers and switches. Many are also in the process of experimenting with the 5G NG core. The long-term benefit of making these investments now will be when the standards-compliant SA 5G core is combined with a fully virtualized, cloud-ready RAN in the early 2020s. This development will enable many communications SPs to expand their value proposition and offer customized services across a diverse set of enterprise verticals through the use of network slicing," says Patrick Filkins, senior research analyst, IoT and Mobile Network Infrastructure.

The report, Worldwide 5G Network Infrastructure Forecast, 2018-2022 (IDC #US44392218), presents IDC's inaugural forecast for the 5G network infrastructure market. Revenue is forecast for both the 5G RAN and 5G NG Core segments and each of the three related sub-segments (NFVI, Routing Backhaul, and Optical Backhaul). The report also provides a market overview, including drivers and challenges for communications service providers and advice for technology suppliers.

Thursday, January 10, 2019

IDC: Cloud infrastructure spending surged 47% yoy in 3Q18

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% year over year in the third quarter of 2018 (3Q18), reaching $16.8 billion, according to the International Data Corporation (IDC) Worldwide Quarterly Cloud IT Infrastructure Tracker.

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%.

"The first three quarters of 2018 were exceptional for the IT Infrastructure market across all deployment environments and the increase in IT infrastructure investments by public cloud datacenters was especially strong driven by the opening of new datacenters and infrastructure refresh in existing datacenters," said Natalya Yezhkova, research director, IT Infrastructure and Platforms. "After such a strong year we expect some slowdown in 2019 as the overall market cools down and some cloud providers work through adjustments in their supply chain. However, IDC expects the shift in IT infrastructure spending toward cloud environments will continue."

Some highlights from IDC:

  • 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% year over year, while spending on private cloud infrastructure grew at half of this rate, 28.3%, 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% with spending on public cloud infrastructure growing at an annual rate of 44.7%. Spending on private cloud will grow 23.3% year over year in 2018.
  • In 3Q18, for the first time, quarterly vendor revenues from IT infrastructure product sales into cloud environments surpassed revenues from sales into traditional IT environments, accounting for 50.9% of the total worldwide IT infrastructure vendor revenues, up from 43.6% a year ago. However, for the full year 2018, spending on cloud IT infrastructure will remain below the 50% mark at 47.4%. Spending on all three technology segments in cloud IT environments is forecast to deliver double-digit growth in 2018. Compute platforms will be the fastest growing at 59.1%, while spending on Ethernet switches and storage platforms will grow 18.5% and 20.4%, respectively.
  • The rate of growth for the traditional (non-cloud) IT infrastructure segment slowed down from the first half of the year to 14.8%, which is still exceptional for this market segment. For the full year, worldwide spending on traditional non-cloud IT infrastructure is expected to grow by 12.3% as the market goes through a technology refresh cycle, which will wind down by 2019. By 2022, we expect that traditional non-cloud IT infrastructure will only represent 42.4% of total worldwide IT infrastructure spending (down from 52.6% in 2018). This share loss and the growing share of cloud environments in overall spending on IT infrastructure is common across all regions.
  • All regions grew their cloud IT Infrastructure revenues by double digits in 3Q18. Revenue growth was the fastest in Asia/Pacific (excluding Japan) (APeJ) at 62.6% year over year, with China growing at an even higher rate of 88.7%. Other regions among the fastest growing in 3Q18 included Japan (48.2%), USA (44.2%), and Canada (43.4%).
  • Long-term, IDC expects spending on cloud IT infrastructure to grow at a five-year compound annual growth rate (CAGR) of 13.3%, reaching $88.6 billion in 2022 and accounting for 57.6% of total IT infrastructure spend. Public cloud datacenters will account for 66.3% of this amount, growing at an 13.6% CAGR. Spending on private cloud infrastructure will grow at a CAGR of 12.6%.


See also