Published On: Fri, Jul 28th, 2017

AWS won’t be ceding the large marketplace share lead anytime soon

Now that all a vital cloud players have reported their earnings, we have seen some eye-popping expansion numbers, quite from Microsoft. Yet in annoy of that, AWS maintains a poignant marketplace share lead, according to a latest research from Synergy Research Group, expelled final night after Amazon reported a earnings.

AWS, a cloud arm of reported a $4.1 billion quarter yesterday that puts it resolutely on a $16 billion yearly run rate. Not too bad for a side business.

That series was good for a 42 percent year over year expansion rate, that kick analysts expectations, for whatever that is worth. What’s transparent is that AWS continues to beget tons of income for Amazon while progressing a outrageous marketplace share advantage.


You might consternation how AWS can have such a outrageous lead, while some of a competitors continue to news dizzying growth. The answer is that it’s most easier to post large expansion numbers from a tiny marketplace share than it is to say that kind of expansion once we grasp AWS’s marketplace share size.

That was a indicate that Synergy Chief Analyst John Dinsdale done in a firm’s latest report. “While Microsoft Azure and Google Cloud Platform are doubling in size, IBM continues to browbeat in hosted private cloud and AWS is still over 3 times a distance of a nearest competitor,” he pronounced in a statement.

AWS, of course, has always had a advantage of a large conduct start in a cloud market. They began charity cloud infrastructure services like storage and discriminate over a decade ago, prolonged before a foe got off a ground, or during slightest took it seriously.

That conduct start continues to offer them well. Even as other companies in this space like Google and Microsoft (and yes, even Oracle and Alibaba) have begun to compensate most closer courtesy to this market, AWS has confirmed a large marketplace share advantage.

That’s partly since it was initial and partly since even as a foe heats up, a marketplace event is so outrageous that there is copiousness of room for mixed players and mixed winners.

Notice that AWS sits alone on a right side of a graph and all other comers are distant behind in annoy of ostentatious expansion rates. (This draft is from Synergy’s Apr 2017 report.)

All of this shows that there is copiousness of room for a lot of companies to make a lot of income in a cloud, even with smaller slices of marketplace share. That means, even those companies that came to a marketplace late have an opportunity, and that has to be good news for those who are chasing a leader.

Featured Image: Alex Wong/Getty Images

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