Reseller News

​APAC region rules the roost as worldwide cloud IT infrastructure receives market boost

“Both private and public clouds will continue to see growing demand from customers..."

Vendor revenue from sales of infrastructure products (server, storage, and Ethernet switch) for cloud IT, including public and private cloud, grew by 25.7 percent year over year to US$6.9 billion in the second quarter of 2015 (2Q15).

According to recent IDC findings, the overall share of cloud IT infrastructure sales climbed to 31.4 percent in 2Q15, up from 26.0 percent a year ago.

Revenue from infrastructure sales to private cloud grew by 19.5 percent to US$2.8 billion, and to public cloud by 30.4 percent to US$4.1 billion.

In comparison, revenue in the traditional (non-cloud) IT infrastructure segment decreased by -3.5 percent year over year in the second quarter, with declines in all three technology segments (servers, storage and Ethernet switch).

All three technology markets showed strong year-over-year growth in both private and public cloud segments, with Ethernet switches experiencing the highest growth in private cloud at 30.1 percent and servers with the highest growth in public cloud at 36.6 percent.

“Cloud IT deployments continue to drive overall IT infrastructure growth, as customers modernise their workload portfolios onto a broad array of hybrid deployment scenarios,” says Kuba Stolarski, Research Director for Servers and Hyperscale Infrastructure, IDC.

“As cloud service providers continue to expand their data centre footprints to meet growing cloud services demand, customers increasingly rely on a variety of as-a-service offerings and traditional hosting to help meet the performance, manageability, time to deployment, and TCO requirements of their organisations.

“Both private and public clouds will continue to see growing demand from customers who look to optimise their workload deployments based on their own uniquely varied requirements.”

At the regional level, vendor revenues from cloud IT infrastructure sales grew fastest in Japan at 64.8 percent year over year, Asia/Pacific (excluding Japan) at 49.9 percent, Canada at 40.0 percent, and USA at 23.5 percent.

Central and Eastern Europe declined at -18.0 percent year over year, as the region continues to go through political and economic turmoil, which impacts overall IT spending.