The hosting services market was valued at around $78 billion during 2015 and is expected to reach revenues of almost $146 billion by 2020.
Procurement market intelligence analysts have announced the top five leading suppliers for hosting services in their latest research report. Data security and scalability challenges are prompting several large organizations to implement measures to enhance server security and improve scalability by adopting next-gen technologies. Global service providers are adopting virtualization and cloud platforms to improve scalability, cost-effectiveness, and retention of clients in the highly competitive market.
This category spend intelligence report is based on the synthesis, analysis, and interpretation of information about the global hosting services market collected from specialized sources. The analysts have derived insights using a mix of primary and secondary research with an aim to provide a holistic picture of the market.
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Competitive vendor landscape
The emphasis on enhancing security of servers and data generated across sites across the globe. This is prompting suppliers in the market to make investments in the enhancement of the technological capabilities to cater to buyers’ requirements. Supplies are providing value added and complementary services such as domain registration, website building, and content management in an attempt to create brand awareness and expand their consumer base.
According to Angad Singh, a category specialist at Technavio, “Buyers increasingly prefer engaging with suppliers in the market that can help secure and scale-up servers based on the website traffic. The suppliers adopt and implement new technologies that can help keep network latency to a minimum and improve the handling of website traffic in an attempt to make the website secure and scale up the traffic. Suppliers are also forming collaborations and strategic partnerships with several vendors to enhance their product/service offerings.”
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Top five suppliers in the hosting services market space
GoDaddy
GoDaddy has a vast consumer base of around 13 million customers from across the globe. The company’s product offerings include various add-on services, such as domain registration, web building, and online marketing. The company supports hosting on Linux and Windows platforms. During 2016, GoDaddy was ranked 98th on the Fortune 100 list of best companies to work at.
Key services – WordPress hosting, Domain registration and auction, Web designing, Cloud hosting, Dedicated hosting, and Managed hosting.
AWS
Amazon Web Services, or AWS, provides almost 70 services for its clients to choose from. Some of AWS’ key offerings include cloud computing, networking, and storage, as well as database developer tools and other related tools. The company also provides SDKs for platforms such as Java, Ruby, PHP, Net, and Node.js. In 2016, the company obtained an updated version of a counter threat platform from SecureWorks to protect clients’ data and applications hosted on its servers.
Key services – Disaster recovery, Back and recovery, Managed hosting, and Dedicated hosting.
OVH
Ovh.com operates 250,000 servers spread across 17 data centers and serves almost 930,000 customers across the globe. The company’s dedicated cloud has ISO/IEC 27001:2005, SOC1 type I, and SOC 2 typEF1 compliance certifications. During 2016, OVH received the global service business provider innovation award at the VMware Summit.
Key services – E-mails and messaging, VPS hosting, and Data storage and backup.
Rackspace
Rackspace is one of the largest managed cloud provider and supports the world’s leading clouds such as Microsoft Azure. The company’s talent pool consists of 200+ Microsoft-certified professionals, 165+ Cisco-certified professionals, 160+ Red Hat-certified engineers, and 149+ VMWare-certified professionals. The company’s consumer base comprises of around 300,000 companies. In 2016, the company announced its partnership with Equinix, wherein the latter would host Rackspace-managed OpenStack platforms through its worldwide locations.
Key services – Dedicated hosting, VPS hosting, Storage and backup, E-mail hosting, and Web content management
A more detailed analysis is available in the procurement market intelligence report titled, ‘Global Hosting Services – Procurement Market Intelligence 2016’.
