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July 2, 2016 12:00 am

Microsoft Will Be Largest Infrastructure As A Service Vendor By 2019, Says Morgan Stanley Survey

An anonymous reader writes from a report via GeekWire: According to Morgan Stanley's 2016 CIO Survey of 100 CIOs (75 CIOs based in the U.S., and 25 based in Europe), Microsoft's Azure will overtake Amazon Web Services (AWS) by 2019 to become the largest Infrastructure as a Service (IaaS) and Platform as a Service (PaaS). The survey finds that roughly 31 percent of the CIOs will be using Azure for IaaS, compared to roughly 30 percent using AWS. Today, roughly 21 percent are using AWS and 12 percent are using Azure. According to the survey, Azure is already leading AWS in PaaS, used by about 18 percent of the respondents, versus AWS's 16 percent. Azure's lead will grow slightly by 2019, growing 9.8 percent versus 6.4 percent. Nearly 30 percent of all applications will be migrated to the public cloud by the end of 2017, up from 14 percent today, the survey said. On-premises apps will decline to 58 percent, from 71 percent today. Predictably, hardware vendors, including conventional and flash storage makers, will continue to suffer as their market is eaten by the cloud. Hardware spending growth is down this year to 3.2 percent, from 3.4 percent last year. Microsoft recently announced it will be entering the legal marijuana industry. It will partner with Los Angeles-based startup Kind on a system for tracking the legal growing and sale of marijuana, with Microsoft powering the software through its Azure cloud computing service.

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