Enterprise cloud server hardware market to reach $12.6bn by 2014, says IDC

IDC: "Now is a great time for many IT organizations to begin seriously considering this technology."

Enterprise cloud server hardware market is expected to reach $12.6bn by 2014, as the economic recovery coupled with an aging server installed base and IT managers' desire to tackle increasingly complex virtual and physical infrastructure drives the demand for both public and private cloud computing, according to a new research from IDC.

Server revenue for public cloud computing is expected to reach $718m in 2014 from $582m in 2009, while server revenue for much larger private cloud market is expected to grow from $7.3bn to $11.8b in the same time period, the research found.

According to IDC, the public cloud is open to a largely unrestricted universe of potential users, designed for a market, not for a single enterprise, while private cloud deployment is designed for, and access restricted to, a single enterprise (or extended enterprise), an internal shared resource, not a commercial offering.

The research also found that the public cloud computing has lower ASVs than an average x86-based server and is less likely to be broadly adopted than private. In addition, the survey showed that, almost half of respondents, 44 per cent are considering private clouds.

Katherine Broderick, research analyst for enterprise platforms and datacentre trends at IDC, said: "Now is a great time for many IT organizations to begin seriously considering this technology and employing public and private clouds in order to simplify sprawling IT environments. Many vendors are strategically advancing into the private and public cloud spaces, and these players are widely varied and have differing levels of commitment."