Below you can find the list of the 5 Most Valuable Cloud Computing Companies. For our detailed discussion of the Cloud computing industry and its growth catalysts, go to 15 Most Valuable Cloud Computing Companies.
5. Alibaba Group Holding Ltd. (NYSE: BABA)
Market cap: $713.18 billion
The e-commerce giant Alibaba Group is also included in the 15 most valuable cloud computing companies. Alibaba Cloud offers an array of cloud computing services including database, storage, networking, security, analytics, artificial intelligence, and hybrid cloud. Alibaba Cloud also provides a one-stop IoT management platform for enterprises. Earlier in February, Alibaba said its Cloud revenue jumped 50% in the most recent quarter to reach $2.47 billion
In 2019, Alibaba and Salesforce announced a strategic partnership wherein Alibaba became an exclusive provider of Salesforce software and services in Asian markets such as China, Taiwan, Macau, and Hong Kong. Shares of BABA rallied 23% over the past twelve months.
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4. Tencent Holdings Limited (OTCMKTS: TCEHY)
Market cap: $909.29 billion
The largest internet company in China, Tencent Holdings offers high-performance cloud computing services through Tencent Cloud. Tencent Cloud provides low-cost yet accessible cloud computing, storage, database, and security to global business enterprises.
Tencent Cloud achieved a reputable name in the gaming industry as it offers top-class cloud infrastructure and an optimal gaming ecosystem trusted by leading gaming companies such as Garena, Supercell, Shiro Games, and PUBG Mobile.
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3. Alphabet Inc (NASDAQ: GOOG)
Market cap: $1.41 trillion
Alphabet has one of the fastest-growing Cloud divisions in the world, trailing only Amazon and Microsoft. Alphabet is investing heavily into its Cloud division to beat Amazon and Microsoft, which is resulting in operating losses. In the fourth quarter of 2020, the company’s Cloud revenue jumped a whopping 47% on a year-over-year basis to $3.84 billion. Google Cloud posted operating losses of $1.24 billion in the fourth quarter, more than the $1.19 billion loss posted in the same period a year ago. Google is ramping up its efforts to dominate the Cloud industry. In 2018, it appointed former Oracle executive Thomas Kurian to spearhead the growth efforts.
Some of the biggest companies in the world are using Google Cloud’s services, including Paypal Holdings Inc (NASDAQ: PYPL), The Home Depot (NYSE: HD) and Etsy Inc. (NASDAQ: ETSY).
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2. Amazon.com Inc (NASDAQ: AMZN)
Market cap: $1.64 trillion
Amazon is the second most valuable cloud computing company with a market cap of $1.64 trillion. However, in terms of market share, it is the biggest Cloud company in the world. Amazon’s Cloud business, AWS, has over 34% of the total public Cloud market. In the fourth quarter, AWS revenue jumped 28% and reached $12.7 billion, up from from $9.95 billion a year earlier. AWS accounted for about 10% of the total sales of Amazon.
AWS’s biggest clients are Netflix (NASDAQ: NFLX), Baidu (NASDAQ: BIDU), Facebook (NASDAQ: FB), and ESPN. According to a CNBC report, Apple (NASDAQ: AAPL) spends over $30 million per month on AWS cloud computing services.
1. Microsoft Corporation (NASDAQ: MSFT)
Market cap: $1.82 trillion
Topping the list of the most valuable cloud computing companies is Microsoft Azure. Azure offers a wide range of services, including service platform (PaaS), service infrastructure (IaaS), and managed database service capabilities. In 2020, Microsoft’s Cloud revenue jumped 31% to reach $59.5 billion, beating AWS growth levels. Recently, Microsoft revealed Azure Quantum to the public. Azure Quantum is a cloud-based platform that utilizes quantum hardware and software tools from partners such as Honeywell Quantum Solutions, IonQ and 1QBit.
The biggest companies that spend the most budget on cloud computing services by Azure are Verizon (NYSE: VZ), Lumen Technologies (NYSE: LUMN) and News Corp (NASDAQ: NWS). Shares of MSFT gained close to 40% over the past twelve months.
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