The big three grab two-thirds of $107B cloud market in Q3

As Amazon, Microsoft and Google continue to battle for market share, they now account for 63% of enterprise spending on cloud infrastructure in Q3, according to Synergy Research Group. Amazon leads with 29%, Microsoft has 20% and Google takes the third spot at 13%.

Cloud computing has grown to the point that it is now the largest environment where workloads are being executed. In 2025 it represented 36% of all workloads, an equal share to on-premises workloads, according to Roy Illsley, chief analyst at Omdia.

The worldwide market value for cloud infrastructure is $107 billion in Q3, up 57% from $68 billion eight quarters ago, according to Synergy.

Year by year, the big three gradually take a larger share of the market, making it even harder for smaller cloud providers to gain a foothold. Due to the minuscule percentage changes, these small companies are likely to have a minimal impact on the three leaders.

“Given the massive scale of this market, quarter-to-quarter shifts in market share tend to be minimal, which is why it’s more revealing to examine how positions have evolved over the last few years,” said John Dinsdale, chief analyst at Synergy Research Group.

While Oracle still has a small market share at 3%, it is showing growth which is attributed to its investment in infrastructure over the past four quarters. "Its data center capex is still very low compared with Amazon, Microsoft and Google, but at last it is making some serious investments," said Dinsdale.

Amazon Q3 earnings

According to Amazon's third-quarter earnings call, AWS segment sales increased 20% year-over-year to $33 billion. Andy Jassy, president and CEO of Amazon, said on the call that he continues to see strong demand in AI and core infrastructure and has "been focused on accelerating capacity." However, Amazon's market share is down compared to its 32% total in 2021.

[Amazon's] share is showing gradual erosion as Microsoft and Google continue to close the gap, yet it remains striking how effectively Amazon has maintained its leadership position.

"[Amazon's] share is showing gradual erosion as Microsoft and Google continue to close the gap, yet it remains striking how effectively Amazon has maintained its leadership position," said Dinsdale.

Microsoft Q3 earnings

Total Microsoft Cloud revenue reached $42.4 billion, up 20% year over year. For Microsoft Azure and other cloud services, revenue grew 33%  including 16 percentage points from AI services. The Intelligent Cloud segment generated $26.8 billion in revenue, up 21% year over year.

“From AI infra and platforms to apps, we are innovating across the stack to deliver for our customers," said Satya Nadella, chairman and CEO of Microsoft on the earnings call.

Google Q3 earnings

Google Cloud revenue increased 34% to $15.2 billion in Q3 compared to last year, led by growth across its core products, AI infrastructure and generative AI (GenAI) offerings.

In Q3, revenue from" products built on its GenAI models grew more than 200% year over year," said  Sundar Pichai, CEO of Alphabet and Google, during the earnings call.

While Google is in third place, it is still nearly four times larger than fourth-place Alibaba, at 4%, said Dinsdale.

Kathleen Casey is the site editor for SearchCloudComputing. She plans and oversees the site, and covers various cloud subjects including infrastructure management, development and security.