Spending on compute and storage infrastructure products for cloud infrastructure, including dedicated and shared environments, increased 12.5% year over year in the first quarter of 2021 (1Q21) to $15.1 billion, according to the International Data Corporation (IDC) Worldwide Quarterly Enterprise Infrastructure Tracker: Buyer and Cloud Deployment.
Some highlights:
- Investments in non-cloud infrastructure increased 6.3% year over year in 1Q21 to $13.5 billion.
- Spending on shared cloud infrastructure increased 11.6% year over year in 1Q21, reaching $10.3 billion.
- Shared cloud infrastructure spending is expected to surpass non-cloud infrastructure spending in the near future.
- Spending on dedicated cloud infrastructure increased 14.7% year over year in 1Q21 to $4.8 billion with 45.5% of this amount deployed on customer premises.
- IDC is forecasting cloud infrastructure spending to grow 12.9% to $74.6 billion for 2021, while non-cloud infrastructure is expected to grow 2.7% to $58.5 billion after two years of declines.
- Shared cloud infrastructure is expected to grow by 12.2% year over year to $51.8 billion for the full year. Spending on dedicated cloud infrastructure is expected to grow 14.7% to $22.7 billion for the full year.
- Spending on cloud infrastructure increased across most regions in 1Q21, with the highest annual growth rates in Canada (40.3%), China (PRC) (35.0%), and Asia/Pacific excluding Japan and China (APeJC) (28.8%).
- Western Europe grew 10.8%, the United States grew 4.5%, and Japan declined 1.1%. The smaller regions had mixed results and collectively grew 0.1%.
At the vendor level, all major vendors grew their cloud infrastructure revenue in 1Q21, with the highest growth rates belonging to Lenovo (38.2%) and Huawei (37.9%). Huawei, Lenovo, and HPE/H3C(a) each grew their market share compared to results from the prior year's first quarter.
