AWS Losing Mindshare, Study Says
While most cloud usage surveys show Amazon Web Services Inc. (AWS), is leading the pack in cloud usage, a new survey shows that AWS is experiencing slower growth.
Although the market share leader is still dominant, the study shows that competitors are catching up to them and winning the battle for attitudes.
“All the cloud players are engaged in a huge battle for market share, mind share, and although AWS remains in a league all its own in terms scale, it cannot claim to be larger than its closest four competitors combined,” stated Bill Mew, Compare the Cloud, in announcing the company’s latest rankings. “This month’s rankings reveal that AWS’s competitors are not only catching up with them in terms market share but also have an outright lead when it comes to mind share.”
The cloud tracking top 50 cloud organizations is called Compare the Cloud. It actually distinguishes between an Amazon cloud and an AWS cloud so it is difficult to compare the numbers.
“Amazon will separate its AWS revenues for the first time in its financial report, [but] until then, we are still reliant upon market share reports,” he stated, referring to a recent survey conducted by Synergy Research Group, which indicated that “AWS Market Share Hits a 5-Year High.”
Mew stated that despite the market share, “The SRG report found AWS’s cloud growth had slowed in competition with Microsoft in the second quarter 2014. Although AWS is still the largest singularity, its competitors’ combined growth has finally disproved AWS’s claim of being larger than all its competitors.
According to the February rankings, Amazon fell one spot from third to fourth place, moving up with Apple. AWS actually climbed four places, landing at No. 5.
IBM also took four places to be No. 2 behind Microsoft, Mew concluded that “The #CloudInfluence war heated up in February as Microsoft & IBM stole a mindshare lead over Amazon in cloud.”
Keith Ward, the editor-in-chief of this site, reviewed the IBM cloud effort in depth yesterday in an article entitled “IBM Continues its Climb to Clouds.” Ward also noted in an article on private cloud adoption that “Azure continues to make solid gains against Amazon Web Services’ (AWS) in public cloud.” He then followed that up by a report from an informal poll that indicated that “Microsoft Azure Nearly Tie AWS in Cloud Usage.” All signs point to AWS facing stiff competition since its launch of its cloud service in 2006.
Mew stated that Amazon prides itself in being a more efficient operation than the traditional players. However, it cannot afford to underestimate these giants or be complacent. “Microsoft, IBM have huge marketing machines and huge ecosystems supporting the products and services they offer. Both giants are focused on AWS’s displacement.”