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How much did the world spend on public cloud services? International Data Corporation (IDC) estimated worldwide public cloud services revenue at $233.4 billion in 2019, up 26.0% from 2018. The figure was published in August 2020 and covers infrastructure as a service (IaaS), platform as a service (PaaS), and software as a service (SaaS)—so it is a historical market-revenue estimate, not a current-year spending total.
What the $233.4 billion figure measures
IDC’s Worldwide Semiannual Public Cloud Services Tracker measured worldwide provider revenue from three public-cloud categories during calendar year 2019. The headline’s word “spending” describes the customer outlay represented by that market, while IDC’s underlying release reports market revenue.
- IaaS: On-demand computing, storage and related infrastructure services.
- PaaS: Managed platforms used to build, deploy and run applications.
- SaaS: Cloud-delivered applications and SaaS system infrastructure software.
IDC compared 2019 revenue with $185.2 billion in 2018. The 26.0% year-over-year increase therefore reflects IDC’s annual market estimate, not a forecast for 2020 or a measurement of every form of cloud-related technology spending.
2019 market breakdown
IDC’s table shows how revenue, share and growth differed across the three segments.
#1 Best Overall
| Segment | 2019 revenue | Share of 2019 total | Year-over-year growth |
|---|---|---|---|
| Infrastructure as a service (IaaS) | $49.0 billion | 21.0% | 38.4% |
| Platform as a service (PaaS) | $35.9 billion | 15.4% | 38.8% |
| Software as a service (SaaS), including SaaS applications and SaaS system infrastructure software | $148.5 billion | 63.6% | 19.8% |
SaaS was the largest category
SaaS generated $148.5 billion and represented 63.6% of the reported 2019 market, making it by far the largest segment in IDC’s breakdown. Its growth rate was lower than the rates for IaaS and PaaS, but its much larger installed revenue base kept it dominant by total dollars.
IaaS and PaaS grew faster
IaaS grew 38.4% year over year and PaaS grew 38.8%. Those rates exceeded SaaS’s 19.8%, indicating faster expansion in infrastructure and application-development platforms during the period covered by the tracker. Growth percentages should not be read as market-share figures: they describe change from 2018, whereas the shares in the table describe each segment’s portion of 2019 revenue.
Rank #2
How concentrated was the provider market?
IDC said AWS, Microsoft, Salesforce, Google and Oracle together captured more than one third of worldwide public cloud services revenue in 2019. IDC also reported that the five providers’ combined revenue grew 36% year over year.
That is a group-level statement. It does not establish an equal split among the five companies or provide an individual market share for any one provider.
Rank #3
Who published the estimate, and when?
The related ITPro Today archive entry, credited to Sean Michael Kerner, is dated August 30, 2020. The substantive numbers come from IDC’s announcement dated August 18, 2020, which cites the Worldwide Semiannual Public Cloud Services Tracker. Because the archive listing does not include the full article text, additional commentary should be attributed to IDC rather than inferred from the headline or credited to Kerner.
Why the date and scope matter
It is not a current market total
The estimate describes 2019 activity and was released in 2020. Public-cloud revenue has continued to change, so the figure should not be presented as 2020, 2026 or “today’s” worldwide spending. A current comparison would require a later IDC tracker release or another clearly dated market study.
It covers public cloud services, not all cloud economics
The total is limited to IDC’s IaaS, PaaS and SaaS definitions. It does not automatically include every private-cloud deployment, internal data-center investment, consulting engagement, telecommunications charge or other adjacent technology purchase.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.IDC’s pandemic-era context
In the August 2020 announcement, Rick Villars, group vice president, Worldwide Research at IDC, said: “Cloud is expanding far beyond niche e-commerce and online ad-sponsored searches. It underpins all the digital activities that individuals and enterprises depend upon as we navigate and move beyond the pandemic.”
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Outbyte PC Repair FREERepair Windows errors before they cause bigger problemsFix Now →Outbyte Driver Updater FREEFix the driver behind crashes, sound loss and screen glitchesFind Drivers →That statement belongs to the announcement’s 2020 context. It explains IDC’s interpretation of cloud’s strategic reach at the time; it is not a later update to the 2019 revenue estimate.
Quick Recap
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What readers should take from the number
- Historical scope: $233.4 billion is IDC’s worldwide 2019 public-cloud-services revenue estimate, published in 2020.
- Included services: The tracked market comprises IaaS, PaaS and SaaS, with SaaS including applications and system infrastructure software.
- Different growth profiles: SaaS led revenue and share, while IaaS and PaaS posted higher year-over-year growth rates in IDC’s 2019 table.
- Provider concentration: The five named companies accounted for more than one third together, but IDC’s statement does not specify equal or individual shares.
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