Categories: CloudCloud Management

Public Cloud Grew Faster Than Both Private And Hybrid Cloud In 2015

As we settle in to 2016, new research from Synergy Research Group has claimed that 2015 was a year where the growth rate for public Infrastructure and Platform as a Service (IaaS/PaaS) services hit 51 percent, outgrowing the private and hybrid cloud segment.

The news puts cloud providers like Amazon Web Services and Microsoft Azure into a good stead for 2016, as customers are increasingly flocking to the services the aforementioned providers dish out.

Yet private and hybrid cloud providers, such as IBM, aren’t too far behind. Synergy said that the private and hybrid cloud market grew 45 percent in the four quarters up to September 2015.

Expansion

It’s just one week into the new year, and Amazon Web Services has announced the opening of a new cloud region in Korea, the fifth such region in Asia Pacific. The provider also revealed further price cuts to its EC2 service. The public cloud provider is the largest in the world, raking in revenues of more than $6 billion in 2015.

“In many ways 2015 was the year when cloud became mainstream. Across a wide range of cloud applications and services we have seen that usage has now passed well beyond the early adopter phase and barriers to adoption continue to diminish,” said Synergy Research Group’s chief analyst Jeremy Duke.

But does mainstream cloud equate to public cloud? IDC last October predicted that spending on private cloud IT infrastructure grew 15.8 percent year over year, compared to the growth of public cloud IT infrastructure, which stood at 29.6 percent – a market worth $20.5 billion. Looking ahead to 2019, IDC expects service providers will spend $33.6 billion on IT infrastructure for delivering public cloud services, while spending on private cloud IT infrastructure will reach $19.4 billion.

“Numerous IDC surveys indicate growing interest among enterprise customers to cloud deployments across multiple IT domains,” said Natalya Yezhkova, Research Director at IDC.

“End users continue to evaluate various approaches to adopting cloud-based IT: some integrate public cloud service into their IT strategies, others choose to build their own private clouds or use third-party private cloud offerings, and some, seeing benefits in both, implement hybrid cloud strategies.”

Here’s how 2015 looked from Synergy’s perspective:

“Cloud technologies are now generating massive revenues and high growth rates that will continue long into the future, making this an exciting time for IT vendors and service providers that focus on cloud,” said Synergy Research Group Chief Analyst John Dinsdale.

But across all of the predictions and past statistics, it’s clear public cloud is going to be a dominant force in the future cloud landscape. It’s time for the private cloud vendors to innovate, evaluate, and state their case for a private and hybrid future.

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Ben Sullivan

Ben covers web and technology giants such as Google, Amazon, and Microsoft and their impact on the cloud computing industry, whilst also writing about data centre players and their increasing importance in Europe. He also covers future technologies such as drones, aerospace, science, and the effect of technology on the environment.

View Comments

  • Completely agree that it is an exciting time indeed! I didn't think too much of the cloud until my company started using HighQ's Collaborate, and being in a highly regulated industry it was a game changer. We were searching for a new cloud platform for a while and were sceptical to move to a managed cloud in fear of losing control, the irony is that the compete opposite happened. The solutions deployed were not only easy and yet catered to complex problems, but we ended up having more control over our work. Hybrid loud is definitely the more secure option, especially with EKM, but it's not a surprise that the public cloud is growing faster as corporations and professionals will be slower to make choice (hopefully as they should be researching all options) whereas the public cloud now mainly caters to the consumer.

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