Government Initiatives and Market Player’s Contribution is Propelling the UK Cloud Infrastructure Services Market

The UK cloud infrastructure services market is anticipated to grow at a CAGR of 10.8% during the forecast period (2024-2031). The market growth is driven by the well-developed economy, established base of business customers, and the lack of infrastructural hurdles. Additionally, the increasing adoption of cloud services is contributing to the market growth during the forecast period. The UK cloud infrastructure services market is segmented by deployment model (public cloud, private cloud, and hybrid cloud) by end-users (BFSI, IT and telecommunication, healthcare, government & defense, retail, and others).

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The key market players in the UK cloud infrastructure services market include Amazon Web Services, CenturyLink, Cisco Systems Inc., DigitalOcean, Google Inc., IBM Corp., Microsoft Corp., Rackspace Holding Inc., Salesforce.com, and AT&T. The market players are contributing significantly to the market growth by the adoption of various strategies including new product launches, mergers and acquisitions, collaborations with the government, funding for start-ups, and technological advancements.  

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Recent Developments  

• In December 2023, the European Commission announced support for an Important Project of Common European Interest (IPCEI) on Next-Generation Cloud Infrastructure and Services. The IPCEI authorizes 7 member states, including, France, Germany, Hungary, Italy, the Netherlands, Poland, and Spain to mobilize up to €1.2 billion in public funding. It additionally initiated €1.4 billion in private investments. The investments are aimed at supporting R&D and initial industrial deployment of European innovations in cloud and edge technologies.
• In September 2023, Oracle announced various partnership agreements to support new workloads on Oracle Cloud Infrastructure (OCI). The agreements include New Compute shapes based on AmpereOne for a sustainable cloud, VMware and Oracle strengthening partnership to simplify cloud procurement, and Oracle Cloud VMWare solution summer 2023 release, among others.
• In August 2023, Google virtual machines powered by Nvidia, and a new edition of Google Kubernetes Engine (GKE).
• In May 2023, IBM unveiled the IBM Hybrid Cloud Mesh at ONUG. It is a SaaS offering designed to enable enterprises to bring management to the hybrid multi-cloud infrastructure. The service automates the process, management, and observability of application connectivity in and between public and private clouds to help modern enterprises operate their infrastructure across hybrid multi-cloud and heterogeneous environments.   
• In August 2022, VMware, Inc. unveiled cloud and edge infrastructure solutions at VMware Explore 2022. The infrastructure enables organizations to run, scale, and secure enterprise workloads across private and public clouds and at the edge.

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