"Recent years have seen the rise of network organizations � groups of "unbundled" companies collaborating across the value chain to deliver products and services to customers. By owning fewer assets and leveraging the resources of partner companies, network "orchestrators" such as Cisco, CNET, Schwab, and eBay require less capital, return higher revenues per employee, and spread the risks (and benefits) of a volatile market across the network."
The global cloud computing market is undergoing new significant growth, driven by the rapid adoption of artificial intelligence (AI) and the demand for flexible, scalable infrastructure. The recent market study by International Data Corporation (IDC) provides compelling evidence of this transformation, highlighting the accelerating growth in cloud infrastructure spending and the pivotal role of AI in shaping the industry's future trajectory. Shared Infrastructure Market Development The study reveals a 36.9 percent year-over-year worldwide increase in spending on compute and storage infrastructure products for cloud deployments in the first quarter of 2024, reaching $33 billion. This growth substantially outpaced non-cloud infrastructure spending, which saw a modest 5.7 percent increase to $13.9 billion during the same period. The surge in cloud infrastructure spending was partially fueled by an 11.4 percent growth in unit demand, influenced by higher average selling prices, primari