- August 28, 2020
Major IaaS vendors have already released their 2Q results. The revenue growth of Alibaba cloud reaccelerated to 54% YoY from 50% YoY in 1Q, thanks to that China was the first to recover from the pandemic. While the other three – Azure, GCP, and AWS’s revenue growth fell to 47% YoY, 43% YoY, and 29% YoY in 2Q from 59% YoY, 52% YoY, and 33% YoY last quarter, respectively. Although we mentioned in 1Q that COVID-19 accelerated the adoption of cloud computing, the upside brought by this catalyst was offset by spending cuts of some industries, such as hospitality and travel, due to the prolonged and widespread lockdowns. In terms of revenue, AWS is still leading the industry with an annual revenue run rate of US$43.2bn, followed by followed by Azure, GCP (incl. G Suite), and Alibaba Cloud at a run rate of US$23.6bn, US$12.0bn, US$7.0bn, respectively.
