Enterprise spending on cloud services in the second quarter jumped 29% compared to the same period last year, representing $54.7 billion spent on the cloud, according to Synergy Research Group (SRG).

The firm noted that macroeconomics played a bigger role this quarter than actual cloud usage. "When country market numbers are aggregated in US dollars, the yearly growth rate dropped by over six percentage points due to foreign exchange movements, with over half of that reduction being accounted for in Q2 alone," SRG Chief Analyst John Dinsdale explained.

"As evidenced by this week’s earnings calls, global cloud providers are certainly not immune from the impact of ongoing shifts in exchange rates," he added.

But despite turbulence in currency markets, the cloud market continues to surge at the lead of industry giants Amazon Web Services (AWS), Google Cloud, and Microsoft Azure.

Those three cloud providers cornered 65% of the market worldwide in Q2, which is an increase from 61% the year prior, SRG reported. That dominance is even more obvious when examining just the public cloud market, in which AWS, Google, and Microsoft represent a whopping 72%.

SRG noted all other cloud providers have increased revenues by more than 150% since 2018, but the leaders' prowess and high growth rates have influenced the decline of other providers' combined market share from 49% in 2018 to 35% today.

Overall, SRG predicts strong future growth for the market across all key segments. "The fact remains that the underlying growth in cloud usage continues to grow at truly impressive rates. This has caused a clear acceleration in both the launch of new hyperscale data centers and the level of spending on data center hardware and software," Dinsdale wrote.

SRG noted that AWS' share of the global cloud services market increased more than a full percentage point to nearly 34%.

AWS reported its cloud revenue increased 33% in the second quarter, which marks a decline from last quarter's 37% growth rate.

However, Amazon CFO Brian Olsavskey remains optimistic about the provider's position. "AWS has seen a re-acceleration of revenue growth as customers have expanded their commitment to the cloud and selected AWS as their cloud partner," he said during the company's earnings call.

Microsoft's cloud market share saw a decline from the previous quarter's 22% to 21%, SRG reported. However, Microsoft boasted strong growth during its latest earning call.

The provider's Intelligent Cloud revenue hit $20.9 billion and marked a 20% increase from the same period last year. Specifically, Microsoft said its server products and cloud services revenue jumped 22% year over year, "driven by Azure and other cloud services revenue growth of 40%," according to a transcript of the earnings call.

Google Cloud's market share also increased slightly this quarter to a little over 10%, which SRG described as "a meaningful uptick."

Alphabet reported $69.7 billion in total revenue, with just $6.3 billion of that coming from Google's cloud services. That represents a 35% increase in revenue compared to last year at this time.

However, Google Cloud still suffered an $858 million loss, which is 45% higher than last year's deficit. According to Alphabet CFO Ruth Porat, the provider is "investing to support the long-term growth, and given the upside that we see … looking at the path to profitability."