Alibaba Cloud closing the gap with rivals


According to the latest report from GlobalData, Alibaba Cloud is described as a force to be reckoned with and is definitely closing the gap with its rivals as the company is expanding outside China.

Alibaba Cloud has been on the rise recently, and while the company has been focused solely on China, where it is the market leader, its recent push into Asia-Pacific region, with key partnership with Hewlett Packard Enterprise (HPE), VMware, Intel, and others, could put a lot of pressure on other rivals like Amazon Web Services (AWS), Google, Microsoft and IBM.

According to the report, Alibaba Cloud is predicted to have a compound annual growth rate (CAGR) of 27.7 percent to $55.3 billion by 2020, which is a significant boost from $16.2 billion in 2017.

In the report from GlobalData, Alibaba Cloud is said to hold almost half of all China’s infrastructure-as-a-service (IaaS) market, doubling its annual revenue to $2.1 billion in FY18.

“China has nearly three times the number of internet users compared to the US, which speaks volumes around its ability to scale. Alibaba Cloud is now betting big on some emerging markets such as India, Malaysia and Indonesia while competing with others in developed markets such as Hong Kong, Japan, Singapore and Australia,” said GlobalData Technology Analyst, Siow Meng Soh.

Soh also added that telecoms and IT service providers will be looking to partner with top cloud infrastructure providers, which will put Alibaba Cloud on top of their list, making the company “a rising cloud provider and a force to be reckoned with”.

The report also suggests that while Alibaba Cloud has already established some key partnerships, including ones with Singtel Group and Vodafone Group, the company has also beaten the competition to market with software-defined wide area network (SD-WAN) services.


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Slobodan Simic is foremost an IT enthusiast who discovered his knack for writing, which lead to becoming both an IT journalist and later an Editor for a number of publications. He has been covering anything from the consumer- and professional-oriented hardware to software markets and networks. With a focus on chasing down leads, making sure that fresh content is ready for publishing, as well as keeping up with the evergrowing and evolving IT world, writing has become more of his passion rather than just a job.