News and Research

Cloud Revenues Continue to Grow in Q2 2024

AWS vs Google Cloud vs Azure

August 5, 2024 – The top 3 cloud computing companies, Amazon Web Services (AWS), Microsoft Azure, and Google Cloud, generated a combined total of more than $65 billion in sales during the second quarter of 2024. AWS remains the market leader, capturing 32% of the global cloud market share. Its parent company, Amazon, reported $148 billion in sales for Q2 2024.

Microsoft Azure reported strong double-digit year-over-year growth in its intelligent cloud business, which includes Azure and other cloud services.

Google Cloud also achieved double-digit growth in its cloud revenue, but it remains the smallest of the big three cloud providers.

  • Combined sales of AWS, Microsoft Azure, and Google Cloud in Q2 2024: Over $65 billion
  • AWS cloud market share in Q2 2024: 32%
    Sales of Amazon in Q2 2024: $148 billion
  • Microsoft Intelligent Cloud (which include Azure) revenue in Q2 2024: $28.5 billion
  • The sales of Google Cloud in Q2 2024 was $10.3 billion
 

AWS vs Google Cloud vs Azure

 

Solganick continues to see strong M&A demand from strategic and financial buyers who continue to expand their reach and market share. We are also noting that the larger cloud computing services vendors (i.e. Accenture, PwC, Wipro, Cognizant, Insight, NTT Data, etc.) more often provide hybrid cloud applications and solutions to their enterprise customers. 

The cloud IT services sector has been experiencing a surge in M&A activity driven by several factors:

  • Consolidation: Larger players are acquiring smaller companies to expand their service offerings, geographical reach, and customer base.
  • Technological advancements: Companies are seeking to acquire specialized expertise in emerging technologies like AI, machine learning, and cybersecurity.
  • Market expansion: Companies are looking to enter new markets or strengthen their position in existing ones through acquisitions.

Notable Recent Trends in Cloud IT Services M&A:

  • Cybersecurity: A significant focus on acquiring cybersecurity firms to enhance cloud security offerings.
  • AI and Machine Learning: Investments in companies specializing in AI and ML to drive innovation and automation.
  • Cloud Infrastructure and Services: Consolidation among cloud infrastructure providers and acquisitions of companies offering specialized cloud services.
 

Solganick is active in cloud computing, applications and services mergers and acquisitions.  Please contact us for more information or to inquire about a transaction opportunity.

 

    Frequently Asked Questions

    1 What were the combined revenues and individual performances of the top cloud providers in Q2 2024?

    In Q2 2024, AWS, Microsoft Azure, and Google Cloud collectively generated over $65 billion in sales. AWS led with a 32% market share, while Microsoft Intelligent Cloud reported $28.5 billion and Google Cloud achieved $10.3 billion, all showing double-digit growth.

    2 What are the primary drivers and notable trends in cloud IT services M&A activity?

    M&A activity in cloud IT services is driven by consolidation, technological advancements, and market expansion. Recent trends highlight acquisitions focused on cybersecurity, AI and machine learning expertise, and further consolidation within cloud infrastructure and services.

    3 Which cloud provider holds the largest market share, and what was their parent company's overall sales in Q2 2024?

    Amazon Web Services (AWS) remains the market leader, capturing 32% of the global cloud market share in Q2 2024. Its parent company, Amazon, reported total sales of $148 billion for the same quarter.

    4 How are larger cloud computing services vendors adapting their offerings for enterprise customers?

    Larger cloud computing services vendors, including Accenture and PwC, are increasingly providing hybrid cloud applications and solutions. This approach helps them cater to the complex and varied infrastructure requirements of their enterprise customers.