IDC: Compute And Storage Cloud Infrastructure Spending Continued To Grow As Prices Soared In 1Q 2023
HPCWire, Wednesday, July 5,2023
According to the International Data Corporation (IDC) Worldwide Quarterly Enterprise Infrastructure Tracker: Buyer and Cloud Deployment, spending on compute and storage infrastructure products for cloud deployments, including dedicated and shared IT environments, increased 14.9% year over year in the first quarter of 2023 (1Q23) to $21.5 billion.
Spending on cloud infrastructure continues to outpace the non-cloud segment with the latter declining 0.9% in 1Q23 to $13.8 billion. The cloud infrastructure segment saw unit demand down 11.4%, but average selling prices (ASPs) grew 29.7%, driven by inflationary pressure as well as a higher concentration of GPU-accelerated systems being deployed by cloud service providers.
Spending on shared cloud infrastructure reached $15.7 billion in the quarter, increasing 22.5% compared to a year ago. IDC expects to see continuous strong demand for shared cloud infrastructure, which is expected to surpass non-cloud infrastructure in spending in 2023.