Cloud data center capex on the rebound in Q3 - report

Driven by higher spending on new data centers, cloud data center capex bounced back to double-digit growth in the third quarter, according to a report by Dell'Oro Group. Driven by higher spending on new data centers, cloud data center capex bounced back to double-digit growth in the third quarter, according to a report by Dell'Oro Group. "Cloud data center capex for the top-10 cloud service providers returned to growth after two straight quarters of year-over-year declines," said Baron Fung, director at Dell'Oro Group, in a statement. "We project that spending on servers will increase in 2020, as the major Cloud service providers revert to server capacity expansion and fill new data centers scheduled to launch next year." Dell'Oro Group expects the top 10 cloud providers to launch data centers in nearly 40 new regions next year.