In 2016, cloud services for the first time surpassed cloud infrastructure in annual sales, driven by spectacular growth from the lower layers of the cloud stack, according to a Synergy Research Group report released Wednesday.
Overall revenues across the six major cloud services and infrastructure segments evaluated by Synergy hit $148 billion in the four fiscal quarters ending in September, up 25 percent from $110 billion in the same period of 2015.
Software-as-a-Service still accounted for the largest services market, delivering more than $40 billion in revenue between Q4 2015 and Q3 2016, even when excluding search, social networking, email and e-commerce offerings.
