Cloud Infrastructure’s Increasingly Exclusive Club, Leaves Only A Few with the Cash to Get In

Cloud Computing News

Cloud-Infrastructure’s-Increasingly-Exclusive-Club-Leaves-Only-A-Few-with-the-Cash-to-Get-In Cloud Infrastructure’s Increasingly Exclusive Club, Leaves Only A Few with the Cash to Get InWith the revenues of the latest quarter pertaining to the cloud data out, It seems very interesting to analyse the recent ups and downs in the cloud industry. With the new data out from Synergy Research showing a growing hyperscale, the cloud industry is now setting new records for the hyperscale operators this third quarter of 2018.

Hyperscaler capex has shown more than 26 billion dollars this quarter, with a total rise of 53 percent when compared to the last year’s third quarter. It is no wonder that this quarter’s figures have attained the second highest revenue of all times. With the first quarter in the leading, Synergy credits the Google with its ‘one-off’ 2 billion dollar purchase of Manhattan’s Chelsea Market building in the month of March. Keeping aside some of the minor blips, there has been a steady upward curve where spending almost reached double that of three years ago. For the big five – Google, Microsoft, Facebook, Apple, and Amazon these are just a few heady days. Alibaba, IBM, and Tencent are positioned in the second tier after they leapt in terms of capex spend in the latest quarter. With business at the hyperscale operators booming, the last four quarter and their year on year revenue have grown with an average of 24 percent with an n ever-growing percentage of investments and revenues in the capex.

Lots of cloud infrastructure research shows the trends constant with the figures going up. AWS is leading across the board, with Microsoft in the second, Google in the third and Alibaba at the fourth positions. So clearly competing against the biggest for a slice of their pie, just doesn’t seem to be an option.