AWS, which derives its revenue from its IaaS cloud computing offerings, generated nearly $4.8 billion in 2014 — an increase of 50% from 2013. Whereas Google and Microsoft generated just $177 million and $188 million, respectively. This lead, however, comes from the AWS six-year head start in the market.
Smaller declines in personal computer sales around the globe are a welcomed change. Worldwide PC shipments totaled 80.8 million units in the fourth quarter of 2014 (4Q14), that’s a year-on-year decline of -2.4 percent, according to the latest market study by International Data Corporation (IDC).
Google Apps adoption will further impact mobile device purchases. TBR predicts that during 2015 Chromebooks will make progress in segments of the enterprise market. The attraction of the Chromebook goes beyond its low price — it offers a lower TCO than similarly priced Windows PCs. Granted, Windows PCs are more flexible and powerful than Chrome OS PCs, but they are also more expensive to support.
Back in April of 2012, a key trend had emerged — people were choosing lower-cost notebook PCs. The Wintel partnership was concerned. If the trend gained momentum, then profits would surely be impacted. Intel responded with the Ultrabook campaign, in an attempt to “correct” the market.
According to the latest worldwide market study by DisplaySearch, in the third quarter of this year, the global notebook personal computer (PC) market grew 10 percent year-over-year, to reach 49.4 million units. Once again, market demand increased for lower-cost devices.
Once PC vendors let go of their great unfounded hope that high-cost Ultrabooks would deliver a huge windfall in sales, then they were able to focus more on the real demand for low-cost notebook PCs and Chromebooks in the marketplace.
Overall worldwide PC shipments are expected to fall by -3.7 percent in 2014, that’s a slight improvement from the previous forecast of -6 percent, according to IDC. Notebook PCs have made some progress addressing tablet competition with more slim, touch, and low-cost models available.
Growth of Chromebooks is also contributing to the PC outlook.