Prague, August 7, 2015 – Following a very strong 2014, cloud spending on enterprise infrastructure in Central and Eastern Europe, the Middle East, and Africa (CEMA) declined by 7% in the first quarter of 2015, in contrast to 24% year-on-year growth in 2014. These results are revealed in the Worldwide Quarterly Cloud IT Infrastructure Tracker published by International Data Corporation (IDC). (TZ)
“IDC believes this is a temporary slowdown in market poised for stable, double-digit growth, opposed to traditional hardware markets,” says Jiri Helebrand, a research manager in the Systems and Infrastructure Solutions team at IDC CEMA. Public cloud investments stalled in Central and Eastern Europe, particularly those related to server components of cloud infrastructure. “Subdued overall business in Russia and the uncertainty around data localization law were the main culprits,” adds Helebrand. “However, private cloud deployments are still favored, as they offer higher flexibility, lower CAPEX, and faster implementation than traditional IT infrastructure.”
Cloud infrastructure spending (Ethernet switch, server, and storage) accounted for 12% of total datacenter infrastructure investments in 2014 and 11% in Q1 2015. IDC expects the market to rebound before the end of 2015 and double in size by 2019 as both IT departments and line-of-business executives recognize the potential of cloud.
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