Written by Nick Wood
Global spending on cloud infrastructure services weighed in at $73.5 billion, up 16% on last year.
This is according to research firm Canalys, which said the impact of spending cuts in the enterprise IT market is starting to ease, while growing interest in AI is beginning to offset the slowdown in other areas.
Growth was consistent with Q2, when spending also grew 16% year-on-year, topping out at $72.4 billion. This suggests the cloud market is entering a stable phase, said Canalys.
The big three hyperscalers – Amazon Web Services (AWS), Microsoft Azure and Google Cloud – accounted for 65% of total spending, and grew by 20%, slightly outpacing the rest of the market.
AWS is still the biggest single provider, with a market share of 31 percent, followed by Microsoft with 25%. Google claims 10% putting it some distance behind the top two. Its growth rate also slowed considerably to 10% from 31% in Q2. Conversely, Microsoft accelerated to 25% from 19%.
All three, noted Canalys have been busy ramping up their generative AI activities. Microsoft in particular caused a stir with the official launch of its AI assistant, Copilot, while all three of them have also launched AI partner programmes.
