Amazon Web Services is poised top $1 billion in cloud services revenue in 2012, according to a new report from research firm IDC that underscores the rise of cloud computing across the tech industry, and the increasing significance of AWS to the Seattle-based online retailer.

Google’s cloud-based enterprise technology business should reach that milestone 18 months later, the firm predicts.

As noted by Business Insider, neither company currently breaks out revenue for the cloud portion of its business. Amazon’s net sales were $32 billion last year, and Google’s revenues were $29 billion, the cloud numbers are still a relatively small percentage for each.

The IDC report also predicts increased acquisitions and M&A activity in 2012 in cloud computing: