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IDCcloudinfrastructurespendResearch published by analyst house IDC suggests increased uptake of cloud and big data technologies is significantly disrupting infrastructure sales in EMEA with sales of cloud infrastructure expected to exceed $4bn by the end of 2014, with the expectation that spending will increase 19 per cent annually.

According to IDC, 15 per cent of the overall infrastructure spend in EMEA will be related to cloud environments in 2014, up from 8 per cent in 2011. $3.4bn was spent on hardware going to cloud environments in EMEA in 2013, up 21 per cent from 2012.

The firm said that in Northern Europe spending on hosted private and public cloud deployments has accelerated over the past two years, driven mostly by large multinational providers primarily rather than smaller regional players.

“Along with big data, social, and mobility, cloud represents one of the four pillars of IDC’s 3rd Platform vision — a new paradigm of IT usage that is revolutionizing the way technology is adopted in commercial and consumer environments,” said Giorgio Nebuloni, research manager in IDC EMEA’s enterprise server group.

“The rise of cloud has triggered a revolution in the hardware market. While white-box and few large OEMs fight to absorb the surge in demand for public cloud, most incumbent hardware players invest heavily in offerings enabling on-premises and hosted private cloud environments, such as integrated systems, high-end networks, and high-performance storage.”

While cloud seems to be hitting the mainstream the industry server revenues for big players like IBM, Oracle and Cisco continue to decline. But increased adoption of cloud services has also accelerated the rise of Chinese original design manufacturers (ODM) as cloud providers seek lower cost avenues for achieving scale.

The trend has also seen vendors and cloud service providers alike seek to optimise their hardware for cloud and big data applications. The past two years have seen open source hardware projects like Open Compute and the OpenPower Foundation pick up strong momentum, and have also been punctuated with reports suggesting cloud giants like Google and Amazon are even mulling their own chip designs.

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