Cloud computing revenues passed $ 50 billion for the first time last quarter

Cloud computing revenues passed $ 50 billion for the first time last quarter

The three major cloud infrastructure providers accumulate 64% profits from total cloud computing revenue of $53.5 billion.

In the fourth quarter of 2021, companies globally spent $53.5 billion on cloud infrastructure, surpassing the highest revenue milestone for the first time in history. The closing revenue amount at the end of 2021 is $191.7 billion. However, the three major cloud infrastructures continue to attract the majority of industry profits.

The cloud computing field has never been this profitable, the analysts from Canalys found. As is common for a maturing market, however, YoY growth has been declining since 2018.

The three sharks of cloud infrastructure

The three big players in the area of cloud infrastructure shared most of the revenue. Amazon Web Services (AWS) had 33%, Microsoft Azure had 22%, and Google Cloud gathered 9% in revenue last quarter. This means 36 percent went to the other providers. In terms of growth, the picture is the other way around. Google Cloud grew fastest at 63% per year, followed by Azure at 46% and AWS at 40%.

Metaverse brings people to cloud

As many high-tech companies wonder about the motivator behind this revenue jump, Canalys points out that the intense interest and use of metaverse and virtual reality are responsible for cloud services spending. Moreover, they will also be the revenue-driving force in the next decade.

While the metaverse is still under construction, Canalys believes that the virtual world will rapidly take over the gaming universe, social media, workplace collaboration, education, real estate, ecommerce, and digital commerce

So, this is excellent news for cloud providers as their revenue rates are about to shoot over the years.