Thursday, 25 June 2020 11:59

Multinationals dominate Australian hyperscale cloud market: survey

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Multinationals dominate Australian hyperscale cloud market: survey Pixabay

Multinational companies are dominating the Australian hyperscale cloud market, according to research from emerging technology analyst firm Telsyte.

The Telsyte Australian Hyperscale Cloud Market Study 2020 found that the six global hyperscale providers had 82% of the market, with combined infrastructure-as-a-service revenue of $740 million in 2019.

The top six hyperscale clouds in Australia were AWS, Azure, IBM, Google, Oracle and Alibaba Cloud.

The total spend on IaaS in 2019 was 907 million and this is expected to increase to $2 billion this year, Telsyte said.

Telsyte said in a statement 45% of organisations were looking to increase cloud infrastructure spending in 2020. “Cloud first” policies were now being adopted by 46% of Australian business, as organisations sought to be more agile and resilient following the pandemic.

cloud telsyte

About three-quarters of organisations were found to be using multiple cloud platforms.

Australian organisations had, on average, four different cloud providers (up from 3.8 in 2019), which is typically a combination of hyperscale, MSP (managed service provider), hosted and on-premises, particularly in larger enterprises.

Telsyte found that businesses without a “organisation-wide” digital strategy were most likely to have 4 or more cloud platforms.

The survey also found that Australian businesses' continued shift to the cloud had highlighted opportunities for MSPs, telcos and other third parties to fill the skills gap.

Nearly one in four (24%) used a third party to manage cloud services and a further 31% said they intended to do so in 2020.


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Sam Varghese

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Sam Varghese has been writing for iTWire since 2006, a year after the site came into existence. For nearly a decade thereafter, he wrote mostly about free and open source software, based on his own use of this genre of software. Since May 2016, he has been writing across many areas of technology. He has been a journalist for nearly 40 years in India (Indian Express and Deccan Herald), the UAE (Khaleej Times) and Australia (Daily Commercial News (now defunct) and The Age). His personal blog is titled Irregular Expression.

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