Significant competition to proprietary technology players
Earlier in this series, we saw that Rackspace, Cisco (CSCO), and HPE (HPE) have moved away from OpenStack. At one point of time, OpenStack Space saw a flurry of acquisitions. OpenStack witnessed a rapid adoption. It offers a free alternative and significant competition to proprietary IaaS (infrastructure-as-a-service) companies such as Amazon (AMZN), Microsoft (MSFT), and Google (GOOG).
Revenue poised to exceed $4 billion by 2019
Despite leading players’ exit from the OpenStack space, several industry leaders remain hopeful for OpenStack’s future. 451 Research estimates that OpenStack-related revenue will exceed $4 billion by 2019.
IBM (IBM) and Red Hat (RHT) continue to back OpenStack. The latest version of OpenStack was recently shipped. Retail companies such as Walmart (WMT), Comcast (CMSCA), Time-Warner (TWX), American Express (AMEX), and Wells Fargo (WFC) continue to bank on OpenStack for their own private clouds.