Microsoft now 'clear number two' in cloud infrastructure space

Software giant pulls clear of IBM, Google and Salesforce following 154 per cent growth in Q1

Microsoft's brand and marketing muscle has helped it established itself a "clear number two" in the cloud infrastructure market behind Amazon.

According to Synergy Research Group, Microsoft pulled away from the chasing pack in Q1 after its cloud infrastructure services revenue (including IaaS, PaaS and private and hybrid cloud) rocketed by 154 per cent year on year.

The overall market grew by 50 per cent to $3.5bn (£2bn), with trailing 12-month revenue of $12bn.

Amazon retained its yellow-jersey position through its AWS brand, after growth of 67 per cent saw it post revenue surpassing that of its four closest competitors combined.

But Microsoft jinked clear of the peloton after those around it failed to match its growth, with IBM growing 80 per cent, Salesforce 37 per cent and Google 60 per cent.

"Microsoft's cloud growth really is impressive" said John Dinsdale, chief analyst at Synergy. "A combination of marketing muscle and credibility with the target audience is helping it to make great strides. Nonetheless, Amazon's revenues are still more than three times those of Microsoft and it will remain in a league of its own for the foreseeable future."

Rival analyst Forrester recently revised upwards its growth expectations for the cloud market, with the cloud platform market AWS dominates set to generate the highest revenue growth of all.

AWS' revenues are now "well in excess" of $1bn a quarter, with the vast majority of the total coming from cloud infrastructure services, Synergy said.