Based on the research and analysis of the public cloud market, Frost&Sullivan (hereinafter referred to as "Sullivan") released the latest Research Report on China's Public Cloud Market. In 2018, the market size of China's public cloud was 53.13 billion yuan, and in the first half of 2019 alone, it reached 41.51 billion yuan. In the next five years, driven by the development and application of new technologies such as AI/IoT/5G/big data/blockchain and favorable policies, the size of China's public cloud market will further grow. Sullivan predicted that the market size of China's public cloud is expected to reach 525.65 billion yuan in 2023.
The public cloud market is growing rapidly, with obvious head effect
In the first half of 2019, Alibaba Cloud, Tencent Cloud, Tianyi Cloud, Huawei Cloud and AWS ranked top five in China's public cloud market share, with market shares of 28.5%, 14.0%, 6.5%, 6.2% and 5.4% respectively. The top five manufacturers accounted for more than 60% of the total market share.
China's public cloud market share, 2019H1 research&2019H2 forecast
Source: Sullivan Institute
Market share of the top five service providers of IaaS layer in China's public cloud market, 2019H1 research&2019H2 forecast
Source: Sullivan Institute
AI, IoT, 5G, big data technology drives the development of diversified cloud services
The rapid development of 5G will accelerate the Internet industry to achieve business innovation and promote the prosperity of VR, AR cloud games, high-definition video and other new formats; More diversified industry formats will lead to diversified demand for public cloud services, which will lead to further growth of the public cloud market. On the one hand, the acceleration of 5G commercial process expedites the multiple growth of edge and client data. The traditional data center needs to accelerate the iterative upgrading to meet its higher requirements for IT infrastructure and promote the increase of demand for public cloud; On the other hand, 5G will accelerate the interconnection of everything. With the R&D and application of new technologies such as IoT, big data, artificial intelligence, AR/VR, new Internet formats such as AR cloud games, high-definition video, live broadcast, and information flow, the application scenarios of public cloud services will continue to expand, driving the public cloud industry towards diversification.
The government and large enterprises speed up their cloud deployment, and hybrid cloud becomes the future trend
At present, the government and enterprises are stepping into the deep water area, and the integration of new technologies and industries is becoming more and more close. Hybrid cloud will become the trend of the times. By choosing a hybrid cloud, relevant institutions and enterprises can meet both business needs and regulatory requirements. In addition, in the face of the complex international situation and network security situation, data security protection and independent and controllable software and hardware have become the focus of attention of domestic institutions and enterprises. At present, among domestic manufacturers, the role of cloud manufacturers represented by Tianyi Cloud and Huawei Cloud in promoting the process of independent and controllable government at all levels can not be ignored. In July 2019, the latest Public Cloud Service Security Assessment Method jointly issued by the State Internet Information Office, the National Development and Reform Commission, the Ministry of Industry and Information Technology and the Ministry of Finance vigorously promoted the research and development of cloud security technology, the improvement of the assessment system for cloud service providers, and the establishment of cloud service security assurance system. In the evaluation of the "first level certification of public cloud capabilities", only Alibaba Cloud, Huawei Cloud and Tencent Cloud obtained qualification certification, which shows the exemplary role of giant manufacturers in the field of cloud services.
Partner ecosystem becomes an indispensable link in the public cloud service industry chain
At present, all cloud manufacturers have begun to focus on cloud intelligent data bases, and provide services for partners by building an independent and diversified partner ecosystem, making partner business innovation more focused, more intelligent, more flexible, and more efficient. Recently, Alibaba Cloud made it clear that "not to do SaaS, but to be integrated", and further focused on the products, technology and innovation of the cloud platform. By providing partners with complete cloud infrastructure, cloud platform and data processing system, Alibaba Cloud has become part of the ecological partner solutions, thus helping partners to do more SaaS and serve the end customer. Tencent Cloud has always adhered to the principle of "co construction and co creation", and cultivated the ecosystem through acquisition, equity investment and other means. Huawei Cloud has promised its ecological partners "three don'ts" - no application, no data and no equity investment. It is committed to becoming the base and core of digital China through "ubiquitous connectivity+digital platform+omnipotent intelligence".
