Amazon leads the cloud infrastructure services market
Amazon (AMZN) continues to lead the cloud infrastructure services market. According to a Canalys report, Amazon led the market with a share of 30%, while Microsoft (MSFT), Alphabet (GOOG), and IBM’s (IBM) SoftLayer had a combined share of 30% as of 2Q16.
The report also states that the overall cloud infrastructure services market could grow from $25.1 billion in 2015 to $37.8 billion in 2016, and then to $190 billion by 2020, as the chart above shows. Amazon is looking to maintain its share in this fast-growing market by making it easy for customers to migrate to its cloud solution, AWS (Amazon Web Services). Amazon is banking on its AWS Schema Conversion Tool, which helps customers switch from their old database to AWS. In the last quarter, Amazon partnered with VMware (VMW) to get a foothold in the hybrid cloud market. With Microsoft Azure already a strong player in the space, this partnership could make Amazon more competitive.
Making its cloud solution more secure
To strengthen its position in the cloud market even more, Amazon has developed AWS Shield, a cloud security solution. According to Amazon, security remains the greatest concern for companies moving their data to the cloud. Therefore, Amazon is making cloud security its priority, and the company hopes that this move will differentiate it from competitors.