news A study by analyst firm Gartner has found that 8.5% of global public companies use cloud email from Microsoft’s Office 365 service, with just 4.7% using Google Apps for Work.
The remaining 87% of companies surveyed have on-premises, hybrid, hosted or private cloud email provided by smaller vendors.
Overall, the firm found that the cloud email market is still in the early stages of adoption with 13% of identified publicly listed companies using Microsoft or Google – the two main cloud email vendors.
Gartner’s study was based on an automated examination of a large number of publicly available email routing records. The firm used email server addresses in the domain records of nearly 40,000 public companies worldwide, to discover which point to cloud email services from the two tech giants.
“Although it is still early days for cloud email adoption, both Microsoft and Google have achieved significant traction among enterprises of different sizes, industries and geographies,” said Nikos Drakos, Research Vice President at Gartner.
“Companies considering cloud email should question assumptions that public cloud email is not appropriate in their region, size or industry. Our findings suggest that many varied organizations are already using cloud email, and the number is growing rapidly,” he said.
Among the organisations using cloud email from Google and Microsoft, Microsoft is ahead in most industries, the data showed – particularly in regulated areas such as utilities, energy and aerospace.
Where Google is ahead, it is in industries with more competition and less regulation, such as software publishing, retail, advertising, media, education and travel.
“Among public companies using cloud-based email, Microsoft is more popular with larger organizations and has more than an 80% share of companies using cloud email with revenue above $10 billion,” said Jeffrey Mann, Research Vice President at Gartner. “Google’s popularity is better among smaller companies, approaching a 50% share of companies with revenue less than $50 million.”
In some industries – such as travel and hospitality, professional services and consumer products – the highest usage is among the companies with the biggest revenue. More than a third of companies in these industries with revenue above $10 billion use cloud email from one of these two vendors, said Gartner.
Back in September, Macquarie University revealed it had decided to abandon Google’s hosted email and calendaring platform and make the switch to Microsoft’s Office 365 platform.
The move resulted from a controversial decision by Google to shift the university’s data from its previous datacentre location in Europe and move it to the United States.
At the time, Macquarie had had concerns regarding the storage of its data in the United States, due to legislation such as the Patriot Act, which could give US law enforcement authorities access to its data.