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Cloud Infrastructure Sales in Good Shape in the 3rd Quarter Of 2021

After declining slightly in the second quarter of 2021, global cloud infrastructure sales have returned to growth. They increased by 6.6% between July and September according to the firm IDC.

According to IDC, global spending on cloud infrastructure (servers and storage) represented $18.6 billion in the third quarter of 2021, appreciating 6.6% year-on-year. At the same time, they resumed with growth interrupted between last April and June (-1.9%), after seven consecutive quarters of growth and a peak in the second quarter of 2020 (+38.4%). The non-cloud infrastructure market continued its third quarter of growth, capturing 7.3% of additional investments, or $14.6 billion.

Most of the money invested in cloud infrastructure has been directed towards shared environments. Their amount increased by 8.6% to $13 million in the third quarter of 2021. In comparison, the value of purchases dedicated to dedicated environments increased by 13.4% to $5.6 billion. IDC expects the shared cloud infrastructure segment to overtake the non-cloud infrastructure segment in value this year.

Forecast of the evolution of IT infrastructure deployments (servers and storage) by environment worldwide until 2025. Source: IDC

Most demand comes from service providers

For the whole of 2021, the research firm expects the global cloud infrastructure market to reach $71.8 billion, which would represent a growth of 8.3% compared to 2020. 49 $.7 billion (+7.2%) should come from the shared cloud infrastructure segment, compared to $22.2 billion (+10.7%) for the dedicated cloud infrastructure segment. The increase in non-cloud infrastructure sales should be limited to 1.9% for $58.4 billion in revenue.

Whether intended for cloud or non-cloud environments, IT infrastructure equipment purchases are dominated by service providers. Spending by the latter in this area reached $18.9 billion (+10.2%) in the third quarter of 2021 or 57% of the market. They should represent $72.6 billion in 2021 and therefore grow by 7.4% compared to 2020.

Originally published at Entrepreneur News and Startup Guide.



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Aashish Sharma

Aashish Sharma is a Founder and Blogger at https//www.entrepreneuryork.com, specializing in Social Media and Digital Marketing.