According to IDC’s Semiannual Public Cloud Services Tracker, the public cloud market size in Taiwan has grown to US$ 870.9 million in 2020, with an annual growth rate of 22.5%. Infrastructure as a Service (IaaS) accounted for 39.9% of the market, and Software as a Service (SaaS) accounted for 52.6%, while Platform as a Service (PaaS) represented 7.5% of it.
As IDC discovered, Amazon Web Services remains the largest market leader in Taiwan, with a market share nearing 50%. It has been the preferred choice of Taiwanese startups and SMEs. Microsoft Azure comes next to AWS, strengthened by its close partnerships with the big corporations in Taiwan. Google, meanwhile, ranks at the third place, and has become a favorite among online gaming and streaming services.
Local Taiwanese public cloud players are still playing catch up: Chunghwa Telecom Co. and Far EasTone Telecommunications Co. are trailing behind at the 4th and 5th place. As local providers of telecommunications services and data centers, they have been in close cooperations with government agencies and local corporations. More competitors are entering the Taiwanese public cloud landscape, however, such as IBM, Alibaba and Oracle.
The rise of edge computing and hybrid cloud, likewise, has seen mainstream cloud service providers services catering to the needs of local data storage, especially from governments, financial service and healthcare sector. AWS’ Outpost, Microsoft’s Azure Stack HCI and Google’s GCP Anthos all serve such needs.