Android share growing in Australia

Foldable iPhone inevitable, but not coming in 2022

SYDNEY, AUSTRALIA – Smartphone sales in Australia passed 4 million in the first half of 2022, up only 2 per cent from 3.98 million a year ago, with Android gaining share, according to new research by emerging technology analyst firm Telsyte.

The Telsyte Australian Smartphone & Wearable Devices Market Study 2022-2026 found Android sales outpaced iPhones in a sign that consumers are looking for new form factors and holding onto handsets for longer.

 

The average replacement period is now 3.3 years and is even higher for iPhone users as consumers are finding less reasons to upgrade.

Despite this, Telsyte believes technology products such as smartphones and wearables are becoming less susceptible to economic downturns as they are deeply integrated into consumers’ lifestyles and considered ”essential” by many.

While cost-of-living pressures are growing, smartphone dependence is also increasing with nearly half (49%) of users claiming their “main digital device” is a smartphone, especially among 25 to 44-year-olds (60%).

However, supply chain disruptions and chip shortages might influence the overall market, as might price rises.

The study forecasts smartphone sales will increase marginally to reach 4.6 million in the second half of 2022, an increase of only 3.1 per cent over the same period last year.

1 in 3 iPhone buyers interested in foldables

The study found a combination of Google’s competitively priced Pixel 6 and Pixel 6 Pro (launched in October 2021); mid-range devices from brands including Oppo, Motorola and Nokia; and new Galaxy S22 series and foldable devices from Samsung have given Android a boost over the reporting period.

Premium Galaxy S & Z series increased their respective sales shares considerably compared to a year ago. After a solid performance with foldable devices reaching 6 per cent of total Android smartphone sales in second half of 2021, Telsyte expects foldable sales to finish the year strong and increase some 80 per cent for the full year 2022.

Samsung is enjoying a near monopoly in the foldable device market; however, Telsyte anticipates that at least one other Android manufacturer will release a foldable smartphone before the end of 2022.

While consumers’ interest in foldable smartphones is increasing, Telsyte does not expect Apple to release a foldable model in 2022, but might look to the new form factor to encourage users to replace older models faster than they might otherwise.

Telsyte surveys found 1 in 5 (19%) of those interested in buying new a handset was interested in foldables, of which one in three (34%) of those were iPhone users.

“Just as Apple moved into larger screen smartphones in 2014 following their growing appeal, a foldable iPhone is almost inevitable,” Telsyte Managing Director, Foad Fadaghi says.

Higher priced, modest upgrades might underwhelm buyers

While the overall demand for iPhones remains high – and Telsyte expects the trend to continue – economic factors could drive increasing considerations for refurbished, older models, and lower cost base models of the anticipated iPhone 14.

If Apple is to similarly release four models for the upcoming iPhone 14, Telsyte anticipates prices will increase for the iPhone 14 Pro and Pro Max models due to the rising cost of components.

Telsyte’s ongoing measurement indicates fewer than 20 per cent are willing to pay over $1,500 for a new iPhone.

Apple still has the highest repeat purchase intentions in the industry with over 90 per cent of iPhone users intending to purchase another iPhone. However, 45 per cent of users also plan to hold onto their iPhones for at least 4 years or until they are no longer usable.

Smart wearables riding high on fitness and hybrid work trends

Sales do not seem to be slowing down for wearable technology. Some 1.3 million smart wrist wearables (including fitness bands and smartwatches) were sold during the first half of 2022, up 7 per cent from a year ago. Sales of fitness bands and smartwatches both grew at 4 per cent and 9 per cent, respectively.

Australians are showing a keenness to stay on top of their fitness and health, and many are progressing onto their second or third smart wearable.

Telsyte’s study found that 58 per cent of Australians actively want to stay fit and healthy, and integration of health programs into smart wearables and apps is growing in acceptance.

Sales of smart wrist wearables are expected to grow in the second half of 2022 with bundled deals and demand for advanced health and fitness features.

Telsyte believes Google will release its Pixel Watch in Australia, pushing the adoption of Google’s Wear OS smartwatches – a strategic accessory for smartphone vendors to lock in customers and grow spend.

Smartwatches made up 70 per cent of total smart wrist wearables sales, and Apple remained the clear leader in the smartwatch market, followed by Samsung, Fitbit, and Garmin, in a growingly competitive market.

Demand for Samsung’s smartwatches was primarily driven by the latest Galaxy Watch 4 series that switched from Tizen (in Watch 3 series) to Google’s Wear OS, benefiting from the wider range of apps.

 

Smart wireless ‘hearables’ continue to shine

Along with smartwatches, sales of smart hearables have been given a boost through more Australians shifting to the hybrid work model.

The research found 8.4 million (37%) smartphone users were using a smart hearable at the end of June 2022, an increase of 1.8 million users from just a year ago.

The study found more than 1.4 million smart hearables were sold during 1H22, up 8 per cent over the same period last year and almost reaching the all-time high (1.46M) seen in 2020.

Apple and Samsung remained the top two vendors in the smart hearables market with a combined 74 per cent market share.

“Due to the attractive price points, smart hearables continued to be one of the most popular accessories to improve user experience on smartphones and computing devices,” Telsyte senior analyst, Alvin Lee says.

For further information on the study or media enquiries contact:

Foad Fadaghi
Managing Director
Tel: 1800 313 142
Email: ffadaghi@telsyte.com.au

Alvin Lee
Senior Analyst
Tel: 1800 313 142
Email: alee@telsyte.com.au

The Telsyte Australian Smartphone & Wearable Devices Market Study 2022-2026 is a comprehensive study that provides subscribers with:

  • Smartphone market sizing estimates, platform and vendor market shares and forecasts

  • Smart wrist-based wearables market sizing estimates, platform and vendor market shares and forecasts

  • Smart hearables market sizing estimates, platform and vendor market shares and forecasts

  • End user trends across devices, application usage, platforms and operators

  • Purchase intentions and acquisition channels

  • Strategic analysis of recent market trends and developments

Telsyte measures smart wearable devices in the Telsyte Australian Smartphone & Wearable Devices Market Study 2022-2026 as computing accessories:

  • Smart wrist wearables: worn on a user’s wrist typically paired and controlled via a smartphone. Examples includes products from Apple, Asus, Fitbit, Fossil, Garmin, Huawei, iFit, Misfit, Oppo, Samsung, Skagen, SPACETALK, TomTom, Withings and others.

  • Smart hearables: smart earbuds and headphones that support digital assistants and are typically paired with a smartphone. Examples include Apple Airpods, Samsung Galaxy Buds, Microsoft Surface Headphone and Google Pixel Buds.

In preparing this study, Telsyte used:

  • An online survey conducted in August 2022 with a representative sample of 1,186 respondents, 16 years and older.

  • An online survey conducted in December 2021 with a representative sample of 1,060 respondents, 16 years and older.

  • Interviews conducted with executives from service providers, network operators, manufacturers, retailers, financial analysts and channel partners.

  • Financial reports released by service providers, manufacturers and retailers.

  • Ongoing monitoring of local and global market and vendor trends.

  • Analyst reviews of leading smartphone and wearable devices.

Editor’s note:

Telsyte measures sales of devices (“sell out”), not shipments or sales to retailers or carriers (sometimes called “sell-in”). Telsyte believes this is a more accurate measure of performance of products in a marketplace. Telsyte does not rely on disclosure from vendors or general assumptions made for large multinational companies that do not release local market data. Telsyte uses a comprehensive methodology that includes surveys of consumers, discussions with vendors, carriers and their partners, retailers, and financial analysts. In addition, public financial results from manufacturers and carriers are used.  Telsyte tests a wide range of products in real life usage scenarios and conducts satisfaction and repeat purchase surveys with large and representative samples of Australian smart device users. Telsyte is a pioneer in measuring and reporting smartphone sales in Australia and has been providing insights on mobile technologies since 2006.

About Telsyte

Telsyte is Australia’s leading emerging technology analyst firm. Telsyte analysts deliver market research, insights and advisory into enterprise and consumer technologies. Telsyte is an independent business unit of DXC Technology. For more information visit www.telsyte.com.au

The material in this article is copyright protected and not intended to be altered, copied, distributed or used for any commercial or non-commercial purpose, except for news reporting, comment, criticism, teaching and scholarship.

Mobile services bouncing back as handhelds return to growth

Australian MVNOs set to benefit as price hikes loom

SYDNEY, AUSTRALIA – Australia’s mobile services market turned a corner with handheld Services in Operations (SIOs) returning to growth for the first time since the start of the pandemic, according to new research by emerging technology analyst firm Telsyte.

The Telsyte Australian Mobile Services Market Study 2022 tracks SIOs (Services in Operation) in mobile handsets, mobile broadband and mobile IoT for business applications.

The study found the total number of mobile SIOs grew 696,000 (1.9%) to 37 million during the six months to December 2021, with handheld SIOs adding 271,000 connections.

The market recovery follows a handheld segment decline of 1.1 million SIOs during the 18 months between January 2020 and June 2021, as a result of closed international borders and stalling population growth.

Telstra had the highest mobile SIO growth during the 6-month period, followed by MVNO (Mobile Virtual Network Operators). Telstra’s net increase in SIOs was primarily driven by mobile IoT for businesses.

However, if mobile IoT is excluded from the total measurement, MVNOs outperformed the rest of the market because of more competitive mobile plans and offerings.

MVNOs leading the recovery

 

MVNOs now make up 17 per cent of the total SIOs as of the end of December 2021, up from 14 per cent in 2019 (just before the COVID-19 pandemic) and more than tripled in the last 10 years.

A third of the MVNO market is now made up of carrier sub-brands such as Amaysim and Belong. Telsyte believes the multi-brand strategy has become increasingly critical to the carriers’ ability to compete in more price-sensitive segments.

Telstra’s recent announcement of mobile plan price increases, in line with the CPI (Consumer Price Index), signals that low-price sub-brands might be even more critical to the carriers in the next few years.

Telsyte estimates up to one in six mobile service users could be looking at switching providers in 2022 with MVNOs likely to most benefit.

The study found 32 per cent of those thinking of changing their service provider said their current plan was too expensive. Network performance factors including coverage and reliability make up the top three churn factors.

5G, eSIMs gather pace

Telsyte estimates there were six million 5G mobile services in operation at the end of December 2021, a near three-fold jump from a year ago. This was mainly due to the increased availability of 5G handsets in the sub-$600 price range.

Consumers are eyeing 5G with two in five (39%) Australians regarding 5G access as important when choosing a service provider.

Australian 5G mobile users, on average, are using 43 per cent more data than those on 4G. However, the study also found 5G users are yet to take advantage of their larger data allowances and have lower data utilisation compared to 4G (20% on 5G vs. 27% on 4G).

Telsyte expects handset upgrades will continue to ramp up 5G uptake with around 60 per cent of SIOs expected to be on 5G by 2025 (currently at 16%).

In another boost for the market, the availability of eSIMs devices is reaching mainstream levels with 35 per cent of smartphones in use already supporting eSIMs.

“eSIMs are increasingly strategic to service providers for improving customer experience, sustainability and supporting new connected devices” Telsyte Senior Analyst, Alvin Lee, says.

Telsyte anticipates more providers will become ‘eSIM-ready’ later this year as the carriers expand eSIM support to their MVNO partners.

Currently less than one in ten eSIM-capable smartphones are utilising the feature as support is still limited to the main carriers and Felix Mobile, Gomo, Kogan Mobile, Lebara, and Woolworth Mobile.

For further information on the study or media enquiries contact:

Foad Fadaghi
Managing Director
Tel: 1800 313 142
Email: ffadaghi@telsyte.com.au

Alvin Lee
Senior Analyst
Tel: 1800 313 142
Email: alee@telsyte.com.au

The Telsyte Australian Mobile Services Market Study 2022 is a comprehensive study that provides subscribers with:

  • Market sizing and forecasts of the Australian mobile services market

  • Analysis of market share and carrier performance

  • End user trends across devices, application usage, platforms, channels and accessories

  • Tablet and computer purchase intentions and loyalty

  • Tablet audience estimates

  • Strategic analysis of market trends and issues

In preparing this study, Telsyte used:

  • Telsyte’s annual Digital Consumer survey conducted during December 2021 and 1st week of January 2022 with a representative sample of 1,114 respondents, 16 years and older.

  • Interviews conducted with executives from service providers, network operators, manufacturers, retailers, financial analysts and channel partners.

  • Financial reports released by service providers, manufacturers and retailers.

  • On-going monitoring of local and global market and vendor trends.

  • Analyst reviews of leading tablet and computer devices.

About Telsyte

Telsyte is Australia’s leading emerging technology analyst firm. Telsyte analysts deliver market research, insights and advisory into enterprise and consumer technologies. Telsyte is an independent business unit of DXC Technology. For more information visit www.telsyte.com.au

The material in this article is copyright protected and not intended to be altered, copied, distributed or used for any commercial or non-commercial purpose, except for news reporting, comment, criticism, teaching and scholarship.

Apple Silicon boosts Mac sales

Tablet and computer sales cooling after pandemic boost

SYDNEY, AUSTRALIA – Australian’s interest in Apple silicon computers and tablets are helping it gain market share, according to new research by emerging technology analyst firm Telsyte.

The Telsyte Australian Tablet Computer Study 2022 found that more than one in three (36%) Australians planning to purchase a computer in 2022 are considering Apple Silicon M1 devices.

First released in 2020 on Macs, the M1 also features in iPads and The Telsyte Australian Tablet Computer Study 2022 found that close to one in four (23%) iPads sold in 2021 contained the high-performance M1 chip.

Despite having an ARM version, Telsyte estimates less than 5 per cent of Windows compatible computers sold in 2021 featured an ARM processor, but this could increase substantially over the next two years. The advantage of better battery life and portability will appeal to businesses as Microsoft is set to follow Apple down the ARM path with recent announcements

With further software and app improvements to iPads to take full advantage of the M1 chips, Apple could introduce native Pro Mac apps like Final Cut and Logic for iPad Pros or develop a mode that allows iPads to run apps more like MacOS in coming WWDC announcements.

Tablet and computer sales soften as Macs and Chromebooks shine

 

The study found tablet and computer sales softened in 2021 with some 3.4 million tablets and 4.0 million computers sold. This was up 1.4 per cent and down 2.3 per cent respectively from a year ago. However, both figures are still higher than pre-pandemic levels.

The standout performance within the computer market includes Apple Mac computers and Chromebooks (although from a much smaller base), both grew strongly by 17 per cent and 15 per cent respectively.

According to Telsyte’s research, Apple remained the leading vendor in the tablet market with more than half of tablets sold in 2021 being iPads (iPads 53.6%, Android 16.0%, Windows 28.5%, ChromeOS 2.0%) and sales of iPads and Chromebook 2-in-1s grew by 5 per cent and 8 per cent respectively, while the other operating systems have experienced a decline in sales (3% and 2% respectively).

The top three tablet vendors in 2021 remained Apple, Samsung and Microsoft, with over 80 per cent of total sales combined.

Google’s Android and ChromeOS set for a surge

Google has two consumer operating systems – Android and ChromeOS – and affordable Chromebooks are starting to appeal to consumers beyond the education sector.

Telsyte’s research found the growing popularity of Chromebooks (both the 2-in-1 and laptop form factors) is making them increasingly competitive in both the tablet and computers markets, as an affordable computing device that also offers the full desktop web browsing experience.

The study found Lenovo is the leading Chromebook vendor in both the tablet (2-in-1) and computer markets.

Despite easing consumer demand for Android tablets, Telsyte expects Google’s refocus on Android tablets – with better software support from Android 13 – could improve productivity and potentially lift consumer and developer interest.

Android 13 is expected to have further user interface optimisation and gestures to take advantage of larger screens.

According to the study, 2-in-1s continued to dominate tablet sales with over 80 per cent of tablets sold in 2021 being 2-in-1s. Keyboard attachment rates continued to increase across all tablet operating systems, including Android tablets.

For further information on the study or media enquiries contact:

Foad Fadaghi
Managing Director
Tel: 1800 313 142
Email: ffadaghi@telsyte.com.au

Alvin Lee
Senior Analyst
Tel: 1800 313 142
Email: alee@telsyte.com.au

The Telsyte Australian Tablet Computer Market Study 2022 is a comprehensive study that provides subscribers with:

  • Market sizing, platform and vendor market shares and forecasts

  • End user trends across devices, application usage, platforms, channels and accessories

  • Tablet and computer purchase intentions and loyalty

  • Tablet audience estimates

  • Strategic analysis of market trends and issues

In preparing this study, Telsyte used:

  • Telsyte’s annual Digital Consumer survey conducted during December 2021 and 1st week of January 2022 with a representative sample of 1,114 respondents, 16 years and older.

  • Interviews conducted with executives from service providers, network operators, manufacturers, retailers, financial analysts and channel partners.

  • Financial reports released by service providers, manufacturers and retailers.

  • On-going monitoring of local and global market and vendor trends.

  • Analyst reviews of leading tablet and computer devices.

About Telsyte

Telsyte is Australia’s leading emerging technology analyst firm. Telsyte analysts deliver market research, insights and advisory into enterprise and consumer technologies. Telsyte is an independent business unit of DXC Technology. For more information visit www.telsyte.com.au

The material in this article is copyright protected and not intended to be altered, copied, distributed or used for any commercial or non-commercial purpose, except for news reporting, comment, criticism, teaching and scholarship.

Australians open to the metaverse at work

Social and entertainment to follow as more join the community

SYDNEY, AUSTRALIA –More than 9 million Australians are interested in the metaverse for work and entertainment applications, according to new research by emerging technology analyst firm Telsyte.

The Telsyte Australian Digital Consumer Study 2022 found while it is still early days for the “metaverse” with only 21 per cent aware of the concept, there are immediate opportunities for businesses to explore metaverses if it can demonstrate improved productivity, collaboration, and facilitate hybrid workplaces.

The study found 1 in 3 workers indicated they are willing to start using the metaverse if it is a workplace requirement, with 24 per cent of those who regularly work from home believing it is the future of work.

Despite more than half having a preference for decentralised community-driven metaverses, those developed by private companies are more likely to provide the support, security and compliance required by workplace collaboration applications.

According to the research, more than 1 in 3 are interested in metaverses from Google, Microsoft, Samsung and Apple. Facebook ranked fifth at 27 per cent.

 

More metaverse-ready hardware on the way

The metaverse is a virtual interactive space that enables new forms of interactions beyond the current voice and video formats.

Telsyte’s study found there is an emerging market for devices that will enable people to participate in the metaverse. More than half prefer exploring virtual spaces with compatible headsets, rather through displays on personal devices.

More than 1 in 4 (27%) people are interested in buying a metaverse-compatible headset, which is higher than 2017 (a peak year for VR), when around 20 per cent were interested in purchasing a VR headset.

Despite continued technical improvements, the weight and comfort of the metaverse headsets are still seen as important for 60 per cent of Australians.

“Lighter and easier to use headsets are needed before widespread adoption of the metaverse occurs,” Telsyte Managing Director, Foad Fadaghi says.

Metaverse not without health concerns

A metaverse opens a new virtual world of work and entertainment but Australians are concerned about any negative health effects it might bring.

Telsyte’s study found most (54%) people fear the metaverse might have negative health, development, mental consequences for those under 18. Furthermore, people preferring to interact in real life (44%) and not being familiar with the concept (35%) are some of the main inhibitors.

Social and entertainment to follow

The community is primed for the introduction of more immersive video content as video consumption reached new highs in 2021. Australians spent around a third of their awake hours consuming some form of video content, including in the background while performing other tasks.

The study also found those interested in the metaverse believe it is fun (45%), and the future of entertainment (34%) and social (23%).

Telsyte believes the social and community aspects of metaverse will be critical as 38 per cent of Australians say they will be encouraged to try if their family or friends are using it.

Most consumers interested in the metaverse are willing to spend on virtual items, on average willing to part with $273 annually.

Telsyte Australian Digital Consumer Study 2022 shows early adopters are ready for a more virtual lifestyle with interest shown in virtual live events, alongside virtual properties and artwork in the metaverse.

For further information on the study or media enquiries contact:

Foad Fadaghi
Managing Director
Tel: 1800 313 142
Email: ffadaghi@telsyte.com.au

Alvin Lee
Senior Analyst
Tel: 1800 313 142
Email: alee@telsyte.com.au

The Telsyte Australian Digital Consumer Study 2022 is a 193-page comprehensive study that provides subscribers with analyst content and services covering:

  • Key technology, services and lifestyle trends since the pandemic

  • Adoption and 4-year forecast of personal technologies (e.g. smartphones, smartwatches, tablets, 2-in-1s, computers, metaverse headsets, etc)

  • Adoption and 4-year forecast of household technologies (e.g., smart speakers, smart TVs, gaming consoles, Chromecast, Fire TV Stick, Apple TV and other set-top boxes, etc)

  • Post-PC device preferences and intentions

  • Wearable technology preferences and intentions

  • Metaverse awareness, intentions and preferences

  • NBN, 5G and broadband

  • Mobile services

  • Digital video, Pay TV, Streaming video, television (including broadcast video on demand)

  • Social media

  • Technology, social and online apps adoption amongst children under 18s

  • Digital services and gig economy

  • Banking and eCommerce trends

  • Interactive games and cloud gaming

  • Consumer cloud and online security

  • AI & automation

  • Attitudes to lifestyle and technology

In preparing this study, Telsyte used:

  • Telsyte’s annual Digital Consumer survey conducted during December 2021 and 1st week of January 2022 with a representative sample of 1,114 respondents, 16 years and older.

  • Interviews conducted with executives from service providers, network operators, manufacturers, retailers, financial analysts and channel partners.

  • Financial reports released by service providers, manufacturers and retailers.

  • On-going monitoring of local and global market and vendor trends.

About Telsyte

Telsyte is Australia’s leading emerging technology analyst firm. Telsyte analysts deliver market research, insights and advisory into enterprise and consumer technologies. Telsyte is an independent business unit of DXC.technology. For more information visit www.telsyte.com.au

The material in this article is copyright protected and not intended to be altered, copied, distributed or used for any commercial or non-commercial purpose, except for news reporting, comment, criticism, teaching and scholarship.

Australian IaaS market soars beyond $1.3Bn

Hyperscalers continue to dominate

SYDNEY, AUSTRALIA – Australia’s Infrastructure as a Service (IaaS) market continues to grow strongly with cloud driving digital transformation and new product development, according to new research from Australian emerging technology analyst firm, Telsyte.

Australian organisations spent $1.36 billion on IaaS in 2020, up 38 per cent from the $988 million* spent in 2019 and is on track to exceed $3 billion by 2025.

The IaaS market benefited from the pandemic-driven digital transformation rush and 1 in 3 (33%) Australian business leaders said COVID-19 is a driver for digital transformation strategies, and almost half now have a ‘cloud first’ policy.

Telsyte forecasts the total market to reach $1.74 billion in 2021, a year-on-year increase of 28 per cent as half (51%) of businesses that have adopted cloud are planning to increase their cloud spending in 2021.

The Telsyte Australian Hyperscale Cloud Market Study 2021 found the big six global hyperscale clouds – AWS, Azure, Google, IBM, Oracle and Alibaba Cloud – continued to dominate the Australian cloud market with a combined $1.16 billion in IaaS revenue in 2020, or 85 per cent of the market, up from 82 per cent.

Telsyte forecasts hyperscale IaaS will capture nearly 90 per cent of revenue in Australia by 2025.

 

“The hyperscaler public clouds are consolidating their dominance in market by offering more complex services, such as machine learning, automation as well as a growing list of other services,” Telsyte Managing Director, Foad Fadaghi, says.

Multi-cloud usage the norm, cloud sprawl still a challenge

Public clouds are now mainstream amongst Australian businesses. According to Telsyte’s public cloud maturity measures, 39 per cent of organisations are in the development phase, including investigating and developing cloud services as cloud and hosted models replace on-premises applications.

With pure cloud and MSP delivery models making up 55 per cent of application workloads, the majority of those using cloud have opted for hyperscalers’ cloud solutions, which are the most visible starting point.

Amid so many options, Telsyte’s research found businesses on average have 3.3 public cloud services and 3.8 private cloud services in use, with multi-cloud use rising with the size of organisation.

This is slightly down from four in 2020, but cloud “sprawl” is still an issue and hybrid platforms need to have consistent management across infrastructure.

Telsyte found hybrid cloud use is high (65%) as organisations shuffle a mix of workloads, and going forward, hybrid cloud use and intentions are very high (85%) as CIOs select the most appropriate hosting architecture.

Disruptions creating opportunities for managed services

Despite the strong cloud uptake, the study found utilisation remains a challenge. The average utilisation rate is only 31 per cent, creating opportunities for cloud providers and managed services to assist organisations to better-utilise resources.

The top three cloud priorities for businesses include developing new cloud products, migrating more workload to cloud and implementing more security measures on cloud.

The latest research also found the top three challenges businesses are facing when it comes to cloud adoption are security of data, cost of management and the lack of in-house expertise. Telsyte believes cloud managed service providers are in the box seat to help businesses navigate in adoption decisions with growing appetite for cloud.

In fact, over 1 in 4 (29%) of organisations already engage with third parties to manage their cloud services, up 5 per cent from 2019. The same research also found that 82 per cent of businesses see benefits to engage cloud brokers or 3rd parties, especially to up their cloud skills (31%) and manage services (30%).

With 37 per cent of organisations reporting they lack cloud security skills, AI and machine learning is now highly sought after by corporates (30%).

For further information on the study or media enquiries contact:

Alvin Lee
Senior Analyst
Tel: 1800 313 142
Email: alee@telsyte.com.au

Foad Fadaghi
Managing Director
Tel: 1800 313 142
Email: ffadaghi@telsyte.com.au

The Telsyte Australian Hyperscale Cloud Market Study 2021 is a comprehensive study which provides subscribers with:

  • Market sizing and forecasts of the Australian cloud infrastructure services market

  • Analysis of market share and hyperscale performance

  • End-user trends in cloud computing

  • Strategic analysis of market opportunities for cloud infrastructure and MSPs

 In preparing this study, Telsyte used:

  • An online survey of 467 IT decision makers across Australian organisations with 20 or more employees. More than half of respondents were from large organisations (>200 employees)

  • Annual reports released by market participants

  • Interviews and discussions with cloud providers, third party service providers and carriers

  • On-going monitoring of local and global market trends

*Due to the expanded IaaS coverage and a definitional change, Telsyte has revised the 2019 estimates to be comparable with the latest 2020 estimates and forecasts up to 2025 in this release.

About Telsyte

Telsyte is Australia’s leading emerging technology analyst firm. Telsyte analysts deliver market research, insights and advisory into enterprise and consumer technologies. Telsyte is an independent business unit of DXC.technology. For more information visit www.telsyte.com.au

The material in this article is copyright protected and not intended to be altered, copied, distributed or used for any commercial or non-commercial purpose, except for news reporting, comment, criticism, teaching and scholarship.