Cloud infrastructure spending more than doubles in the third quarter of 2024

Spending on compute and storage infrastructure for cloud deployments has surged to unprecedented heights, with 115.3% year-over-year increase in the third quarter of 2024. The spending reached a staggering $57.3 billion, highlighting the dominance of cloud infrastructure over non-cloud systems as enterprises accelerate their investments in AI and high-performance computing (HPC) projects, IDC said in a report.

Cloud infrastructure’s remarkable growth contrasts with a 28.6% year-over-year increase in non-cloud infrastructure spending, which reached $19.6 billion in the same quarter. According to IDC, the cloud segment benefited from growing adoption of advanced AI-enabled accelerated servers despite challenges like soaring average selling prices (ASPs).