Worldwide cloud market share numbers and rankings are in for Amazon Web Services, Alibaba, Google, IBM and Microsoft as these five cloud leaders, combined, captured over 70 percent of the global market during the second quarter of 2023.
“As Amazon and Google share nudged up a bit in Q2, Microsoft share nudged down,” said John Dinsdale, chief analyst at Synergy Research Group, in an email to CRN. “The relative scale of their cloud operations is now Microsoft being twice the size of Google, with Amazon being almost equal to the other two combined.”
Amazon, Google and Microsoft all recently reported their cloud financial earnings for Q2 2023 with the three tech giants generating a total of roughly $54 billion in cloud sales combined. AWS, Google Cloud and Microsoft have been the biggest cloud computing companies for years, as the three battle for market leadership position for customers and channel partner mindshare.
Before breaking down Synergy’s global cloud market share numbers for Amazon, Google, IBM, Microsoft and Alibaba, it is important to note how fast the market grew in Q2 2023, according to new data from Synergy Research Group.
Enterprise spending on cloud infrastructure services reached nearly $65 billion in Q2 2023, representing a sales increase of 18 percent or about $10 billion year over year. Synergy says cloud infrastructure services revenues include Infrastructure as-a-Service (IaaS), Platform as-a-Service (PaaS) and hosted private cloud services. Public IaaS and PaaS service account for the bulk of the market, both growing by 19 percent in Q2 2023 year over year.
Although the growth rate in cloud spending continues to slightly nudge down quarter after quarter, this is the “law of large numbers,” as cloud sales has spiked over the past several years, Dinsdale said. “The current economic climate has crimped some growth in cloud spending, but the market continues to expand at a healthy rate despite those short-term challenges.