According to IDC, Q2 2016 EMEA public and private cloud infrastructure spending (covering server, disk storage and ethernet switch) reaches $1.4 billion, a 37.4% Y-o-Y increase.
As a result, the cloud-related share of total EMEA infrastructure revenue from servers, disk storage and ethernet switches totals 22.5% in Q2 2016. Cloud represents around 23.8% of total EMEA storage capacity for the quarter, a -4.6% Y-o-Y decline. Looking at the market in euros, EMEA reports strong Y-o-Y user value growth (34.2%) across private and public cloud.
"IDC expects this market to reach a value of $10.5 billion by 2020 (from a five year forecast), or 36.5 % of the total market expenditure," the analyst says. "Fueled by increasing maturity and adoption rates of many new cloud-dependent technologies, such as the Internet of Things, cloud continues to represent an area of tremendous growth for the European infrastructure sector."
The analyst points out multicloud as a "very successful" deployment model throughout the region, and expects 70% of W. European enterprises to adopt some form of multicloud by end 2016. Driving adoption are the regulatory differences between EU countries, although the situation should change at least partly once the EU General Data Protection Regulation comes in effect on May 2018.
CEMA cloud infrastructure revenues are up by 18.8% Y-o-Y to $198.04 million thanks to increased spending on both public and private cloud breaking a year-long losing streak. This is due to the resumption of investment in IT infrastructure on the back of the stabilisation of the geopolitical situation surrounding Russia, leading to strong revenue growth in CEE. As a result, cloud infrastructure spending in CEMA makes 17% of Q2 2016 overall IT infrastructure spending, with public cloud accounting for around 46% of the share.
"Private cloud deployments drove growth as organisations that are consolidating their IT infrastructure appreciate the ease of integration with existing systems as well as ease of procurement over traditional IT infrastructure," IDC concludes.