According to Synergy Research Group, AWS maintained its 40% market share in 2016, while the next three biggest providers (Microsoft, Google and IBM) saw their combined share grow by 5% to around 23% of the market.
This share increase came from the rest of the market, with the ext ten largest providers falling 1% to a combined 18% share, while the combined smaller providers dropped 4% to 18% as well.
The Infrastructure as a Service (IaaS) and the Platform as a Service (PaaS) market is growing, having topped $7 billion in 2016 with an annual growth rate of almost 50%. Including private cloud services, quarterly cloud revenues are now more than $9 billion.
“While a few cloud providers are growing at extraordinary rates, AWS continues to impress as a dominant market leader that has no intention of letting its crown slip,” said John Dinsdale, a chief analyst and research director at Synergy Research Group.
“Achieving and maintaining a leadership position in this market takes huge ongoing investments in infrastructure, a continued expansion in the range of cloud services offered, strong credibility with the large enterprise sector, consistently strong execution, and the wholehearted and long-term backing of senior management. AWS is checking all of those boxes and any serious challengers need to do likewise.”