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Friday, 21 November 2014 19:49

G-Cloud sales hit £345m but local government uptake remains low

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G-Cloud spending for October 2014 is down for the first time in four months and local Government uptake remains low

The Governments G-Cloud procurement portal figures for October 2014 show weak sales of £26 million the lowest sales since May. The main contribution to the drop in sales is from Specialist cloud services and Cloud infrastructure as service sales which both fell in October.  

Central government still purchases the majority of services through G-Cloud, making up 79% of the total. The rest of the public sector lags behind significantly, contributing £71m, or 21%, to the total G-Cloud sales. Local government makes up just six percent of overall sales at £20.8m.

The public sector continues to favour specialist cloud services over software, platform or infrastructure-as-a-service products, having purchased £21m worth of specialist services in October.


As you would expect most of the largest orders through the portal are for Central Government. The largest order was for specialist cloud services totalling £1.4 million To BAE systems for Fleet business improvement, followed by £588k to Vodafone for SaaS services and £544k for IBM Cloud Application Design, Delivery and Integration (DDI) services to the Home Office.

Of the total 1390 purchases through G-Cloud in October IBM accounted for £1.52 million (5.78%) of the total £26 million spend. Other businesses doing well include Methods Consulting £1.44 million (5.48%) BAE systems £1.41 million (5.35%), Kainos Software £1.04 million (3.95%) and Unisys £1.02 million (3.90%). Other notable Government cloud providers include Skyscape £768k and Eduserv £488k. So where are the big three? Amazon Web Services and Google do not appear in the G-Cloud list however Microsoft does and accounts for sales of just £404k in October.



The biggest spender in the G-cloud portal was the Home Office with a £4.54 million spend followed by the Ministry of Justice £1.56 and £1.4 million from Fleet Business Improvement. The largest spending local authority was Bristol City Council with contracts totalling £493k, followed by the London Borough of Hounslow £290k and Peterborough City Council £137k.

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