Which are the biggest cloud computing companies in the world right now? Cloud has been the buzz word all through the 2020 pandemic. The rising popularity of the technology has actually urged IBM (NYSE:IBM) to split its business to have a split off company to focus exclusively on cloud. This decision wasn’t prompted overnight, but the outcome of the gradual slump of its software segment, coupled with the significant growth of the cloud segment. The company plans to launch a separate company for information technology infrastructure services with a new name by the end of 2021. This comes as a landmark decision in the 109 year old IBM legacy.
So what has prompted IBM to make such an iconic decision? It is obvious that cloud computing is the next big thing in data storage technology. According to IBM executive chairman Ginni Rometty, the decision comes in wake of preparing and positioning the company for a “new era of hybrid cloud”
As corporates were forced to get into remote working mode overnight, the pressure was on the businesses to restructure their IT infrastructure to support the working environment that the world wasn’t prepared enough for, but has been forced to go through for months on end now. Survival of firms, of all shapes and sizes, was based on how fast they could adapt and transition into “cloud” if they had been putting off this forever. It is however, the cloud technology that has helped millions of corporates to survive this crisis, to help continue Business As Usual. Employees have been heavily dependent on collaborating on cloud platforms during the work from home phase.
However, even without any indication of the pandemic, cloud computing has been touted as the next stage technology for quite some time now. It has been the trending technology that corporate houses are eager to ride to streamline their data practices. The market has been growing and is expected to reach $832.1 billion in 2025, at a CAGR of 17.5% when the pandemic had not been in picture. With the growing market, companies in the segment have been gaining momentum and reaping the benefits. In the technology business, cloud computing might just be the most lucrative segment currently.
It is expected that even when the pandemic is past, the cloud computing market will continue to grow with the boost that it has received during this period. The market has grown 35% already. Zoom Communications (NASDAQ:ZM) has seen a 88% year-over-year increase in revenue in its very first year as a public company. The digital communication trend is not expected to die down anytime soon. Cloud companies might be frontrunners in the global recovery. The market is bound to grow well into 2021, as digital communication and cloud data centers will remain the preferred way the world stays connected. This makes it the perfect time to invest in some of the Top 10 Cloud Computing Stocks To Buy that we have recommended.
The cloud computing services span from Infrastructure as a Service (IaaS) , Platform as a Service (PaaS) to Software as a Service (SaaS). And even within each of these service categories, cloud solutions can be private, public or hybrid. This makes this a wide market, where companies might focus their energies on specific areas within the cloud umbrella.
The leaders in the technology market – Amazon, Microsoft and Oracle, are delving into the cloud market with their segments focused on cloud technology. However, newer players like HashiCorp, a company set up in 2012, are adding interesting dynamics to the multi-billion dollar market, as one of the open source companies providing free cloud tools to individual developers and start-ups. The company has launched several cloud tools that are gaining traction, which has proved to be a rewarding commercial model for the company. The market is therefore an interesting mix of giants and upcoming innovative enterprises that are both dynamic and promising. There is an intensified competition with the player vying for the market share. However, who’s exactly leading as the biggest cloud computing companies in the world? Most of us might not be aware of the biggest players, apart from the few top giants. In our list, we try to uncover the biggest companies in the cloud market by ranking them through revenue values of their respective cloud segments in the previous year. Are you ready to find out?
Here’s the list!
15. Dropbox (NASDAQ:DBX)
Cloud Revenue – $1,600 million
American file hosting service provider, Dropbox, offers a smart workspace integrating file sharing services with other collaborative tools to enable teams to have more enhanced sharing. The company has a business model wherein free storage is offered to customers with extra storage and additional features being provided as a paid service. The company had close to 15 million paid users in 2019.