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Dell-EMC To Leapfrog HPE, Cisco As Cloud IT Infrastructure Market Soars To $29B

As cloud IT infrastructure spending soars, Hewlett Packard Enterprise's leadership position looks to be trumped by a Dell-EMC merger, while Cisco is also seeing massive growth.

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Dell-EMC, HPE, Cisco Battle For Cloud Infrastructure Market

Although Hewlett Packard Enterprise is leading the rapidly growing $29 billion worldwide cloud IT infrastructure market, a combined Dell-EMC merger would leapfrog the leader.

HPE captured more than $4.5 billion in cloud IT infrastructure revenue in 2015, owning 15.7 percent of the total market, according to market research firm IDC's new Worldwide Cloud IT Infrastructure Tracker report. But if Dell, ranked No. 2 in the market, and EMC, ranked No. 4, combined their cloud IT infrastructure revenue for 2015, the total would surpass $5.2 billion.

"HPE is the leader and has been the leader in this combined space, but there's so many moving pieces," said Kuba Stolarski, research director for computing platforms at IDC, in an interview with CRN. "The Dell-EMC merger, looking just at the positions -- a leader in the server space and a leader in storage -- clearly, that gives you a potential synergy from the customer perspective … but there's still a lot of questions remaining."

Networking giant Cisco is also gaining significant momentum in the market and jostling for position, according to Stolarski.

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