The International Data Corporation (IDC) recently released their Worldwide Quarterly Cloud IT Infrastructure Tracker.
The main finding? Vendor revenue from sales of infrastructure products (server, storage, and Ethernet switch) for cloud IT, including public and private cloud, grew by 9.2 percent year over year to $32.6 billion in 2016, with vendor revenue for the fourth quarter (4Q16) growing at 7.3 percent to $9.2 billion.
Regionally, vendor revenue from cloud IT infrastructure sales grew fastest in Japan with a whopping 42.3 percent YoY in the fourth quarter of 2016, followed by Middle East & Africa at 33.6 percent, Canada at 16.6 percent, Western Europe at 15.6 percent, Asia/Pacific (excluding Japan) at 14.5 percent, Central and Eastern Europe at 11.6 percent, Latin America at 9.9 percent and the United States at 0.1 percent.
Some of the other findings included:
Research director for Computing Platforms at IDC, Kuba Stolarski says growth in the cloud IT infrastructure market slowed to single digits in 2016 as hyperscale data centre growth continued its pause.
"Network upgrades continue to be the focus of public cloud deployments, as network bandwidth has become by far the largest bottleneck in cloud datacenters,” says Stolarski.
“After some delays for a few hyperscalers, datacenter buildouts and refresh are expected to accelerate throughout 2017, built on newer generation hardware, primarily using Intel's Skylake architecture."