Companies like VMware and Dell EMC are heading up the private cloud market, according to Wikibon research.
As companies seek the convenience of cloud operating models, but are dealing with data that cannot be run in the public cloud, private cloud emerges as a viable alternative. While some have proclaimed the death of private cloud in the enterprise, recent Wikibon research seeks to denote the growing segment of True Private Cloud (TPC) and its leaders.
Wikibon, which is the research arm of SiliconANGLE Media and theCUBE, distinguishes TPC from standard private cloud in the completeness of its integration.
"Equally important is the nature of the relationship with the cloud supplier—namely a single point of purchase, support, maintenance, and upgrades (often referred to as a 'single hand to shake, and a single throat to choke')," the report said. "The key benefit of true private cloud is that they provide solutions close to the cost and agility characteristics of public cloud in an on-premises deployment when business, security, and latency requirements dictate."
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Essentially, a Wikibon press release said, TPC better mimics the public cloud while offering customers opportunities to build hybrid infrastructure where they have more control over the data. Last year, revenue in the space grew by 50%, exceeding $20 billion, the release said.
Considering software-led TPC solutions that are available via indirect channels, the top five vendors and their market share were as follows:
- VMware - 24%
- Nutanix - 14%
- HPE - 11%
- Microsoft - 9%
- IBM - 5%
For TPC solution sellers, the top five vendors and their market share broke down like this:
- Dell EMC - 29%
- HPE - 13%
- Cisco/NetApp - 11%
- Nutanix - 7%
- Oracle - 5%
Demand for TPC will be driven by the internet of things (IoT), advanced analytics, social media, and applications that use artificial intelligence (A) to automate certain operations, the report said.
"Together, using these applications, about 4 billion users are generating nearly 3 exabytes of data per day," the report said. "An important portion of that data will move to public clouds, but the vast majority - we estimate more than 90% - will stay local or be discarded."
The big takeaways for tech leaders:
- True Private Cloud is growing in the enterprise as a more integrated rival to standard private cloud that offers more control to users. — Wikibon, 2018
- The top sellers ot True Private Cloud solutions are Dell EMC, HPE, Cisco/NetApp, Nutanix, and Oracle. — Wikibon, 2018
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