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Microsoft, Google gain cloud ground on Amazon

Monday, February 12, 2018

Amazon Web Services’ (AWS) domination of the global public cloud market is coming under increasing pressure from competitors Microsoft and Google, according to data released last week by analysts from KeyBanc. In Q4 last year AWS had 62% market share, down from 68% in the same period in 2016; Microsoft Azure’s share jumped from 16% to 20% over the same period, while Google’s rose from 10% to 12%.

The KeyBanc report includes an estimate that Azure’s contribution to Microsoft’s revenues grew by nearly 100%; Amazon’s own figures suggest that AWS grew by 42% in revenue terms in the third quarter of last year.

While these figures suggest that Microsoft and Google are pulling away from the “rest of the rest” in the public cloud market, one provider with the financial clout to make a serious bid to close the gap is China-bases Alibaba, which announced last week that its cloud business grew 104% in the last quarter. By some measures this makes Alibaba the fastest growing major cloud provider in the world at present – though like its nearest competitors it still has a long way to go before it threatens AWS’ throne.

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