Press release
Global Cloud Computing Market Size, Segments, Outlook, and Revenue Forecast 2022-2028: Ken Research
The Cloud Computing Market was valued at US$ 300 Bn in 2017. It is expected to capture the market size of US$ 450 Bn by 2022 and is projected to reach US$ 1200 Bn by 2028. It is expected to record a CAGR of ~15% during the forecast period, owing to an increase in demand for big data, and growth connected with artificial intelligence (AI) and machine learning (ML).
For more information, request a free samplehttps://www.kenresearch.com/sample-report.php?Frmdetails=NTk2MDE0
Key Growth Drivers
The Cloud Computing Market is largely driven by the growth in big data and higher adoption of artificial intelligence and machine learning. Moreover, the adoption of cloud-based solutions in developing economies such as India, China, Brazil, and Africa is expected to drive market growth in the near future.
The widespread adoption of AI and ML technologies in businesses has increased data usage, which has further boosted big data services. This increased consumption of data and the requirement of efficient computational solutions for AI and ML is expected to create a larger opportunity space for Cloud Computing solutions/service providers and their end-users. Cloud Computing technologies also aid in increasing business productivity, improving decision-making processes, and lowering operating expenses.
In March 2022, Microsoft Corporation launched Azure Health Data Service. It is a Platform as a service specifically designed to support both analytical and transactional workloads. It unifies health data and power AI in the cloud, exclusively supporting Protected Health Information (PHI).
Cyber-attacks pose a major threat to cloud operations. Additionally, the lack of resources and technical skills required to operate cloud platforms and infrastructure pose challenges to the market growth
Cloud computing services assist businesses in increasing operational effectiveness and cutting expenses. Additionally, these services have several benefits, such as flexibility, scalability, and agility. The data stored in the cloud is highly exposed to breaches and leaks despite high-security precautions. The amount of data being produced is growing, and businesses are starting to take more steps toward digital transformation. Enterprise data is exposed to risk from cyberattacks like Spectre, Meltdown, cloud malware injection assaults, account or service hijacking, and man-in-the-cloud attacks. Threats like these pose a severe challenge for market growth.
In May 2022, Microsoft spent over US$100 million in providing technology support to the Ukrainian government, including cyber security. It has also developed an artificial intelligence system to log the time and date of Russian bombings to be used in future war crimes investigations.
The Covid-19 pandemic accelerated the demand for collaboration solutions, remote-working models, and remote IT services, which in turn created a greater demand to utilize and adopt cloud computing solutions across different industry verticals.
The enterprises witnessed a transformation in the business models from the third quarter of 2020 as organizations continued to migrate their workloads from traditional channels to digital formats. Various enterprises across different verticals adopted the work-from-home model to maintain employee well-being and operational efficiency, increasing the demand for Software-as-a-Service (SaaS)- based solutions.
Microsoft Teams platform users surged to 44 million globally owing to the high demand for collaboration solutions. While the standalone 8x8 Video Meetings cloud solution witnessed a more than 300% surge in registered users in the last week of February 2020 across 150 countries.
There was a substantial increase in the demand for streaming platforms, such as Amazon Prime, Disney+, Twitch, Netflix, Hulu, YouTube, and Apple TV. This surge in Video-on-Demand (VoD) has augmented the demand for Infrastructure as a service (IaaS) to tackle consumer demands.
For More Information on the Research Report, refer to below links: -
https://www.kenresearch.com/business-research/global-cloud-computing-market-outlook-2028/
Key Trends by Market Segment
By Services: The SaaS segment dominated the market among services of the Global Cloud Computing Market in 2021.
SaaS products are expected to witness strong growth in the forthcoming years as their total cost of ownership (TCO) will be equal to that of the on-premise deployment models. The increasing number of businesses offering cloud-based services and increasing preferences for SaaS delivery models are expected to accelerate SaaS segment growth throughout the forecast period. SaaS offers a pay-as-you-go model that gives organizations greater flexibility and web-based subscriptions to access the program remotely. The SaaS delivery model focuses on delivering software solutions that have the potential to reach a wider audience.
In 2021, Thoma Bravo acquired Medallia, an American customer and employee experience management company. The aim of this acquisition included leveraging proprietary Artificial Intelligence, enabling businesses to calibrate their customer experience. It accomplishes this by capturing feedback from customers on digital channels, social media, phone calls, and Internet of Things (IoT) integrations, pushing this data into AI analytics to gather raw insights.
By Deployment: The Hybrid segment accounted for the majority share among deployment modes of the Global Cloud Computing Market in 2021 and is expected to showcase the highest growth rate during the forecast period (2022-2028).
Hybrid cloud is a cloud computing environment that practices a mix of on-premises, private cloud, and third-party, public cloud services with instrumentation between the two platforms.
A hybrid model allows businesses to significantly switch between their on-premise infrastructure and public cloud services depending on the need for sensitive data and computation.
In October 2021 Alibaba Cloud, launched Apsara Stack, the next-generation hybrid cloud solution, to meet the needs of the retail industry to digitize its operations under the new hybrid retail concept.
By Enterprises: Large enterprises segment captured the largest market share among enterprise segments of the Global Cloud Computing Market in 2021 and is expected to showcase the highest growth rate during the forecast period (2022-2028).
The adoption of cost-efficient cloud solutions in the large enterprises segment is growing due to lesser downtime, and fewer expenditures than internal servers. Cloud computing solutions prevent conflicts and complications arising due to large sets of data gathered from large enterprises by enabling better data and document control.
In a survey sponsored by the Business Group, 45% of the respondents indicated lower infrastructure and storage costs and 27% eliminated compliance and legal fees.
In December 2018, Microsoft announces the Intelligent Cloud Hub program to build an AI-ready workforce. The aim is to equip research and higher education institutions with AI infrastructure and build curriculum and faculty capability to skill students in AI and cloud technologies.
By End Users: The healthcare segment accounted for the largest market share among end-users of the Global Cloud Computing Market in 2021 and is expected to showcase the highest growth rate during the forecast period (2022-2028).
Growing adoption of artificial intelligence and machine learning solutions by various retail and healthcare service providers is expected to boost the Cloud Computing Market during the forecast period
The growth can be attributed to the increased deployment of cloud-based software, mobile application, wearable healthcare device, and smart healthcare equipment, among others.
In January 2022, Francisco Partners, a leading global investment firm that specializes in partnering with technology businesses, announced the acquisition of healthcare data and analytics assets that were part of IBM's Watson Health business. Under the ownership of Francisco Partners, the new standalone company will be called Merative and will be headquartered in Ann Arbor, Michigan. Merative brings together market-leading offerings that deliver value across the global healthcare ecosystem, serving clients in life sciences, provider, imaging, health plan, employer, and government health and human services sectors.
By Geography: North America accounted for the largest share among all regions within the Cloud Computing Market in 2021.
North America is also expected to dominate the market in terms of revenue during the forecast period due to the early adoption of technologies such as Artificial Intelligence, robotics, IoT, and cloud. The presence of prominent cloud providers, including IBM Corporation, Microsoft Corporation, Oracle Corporation, and others contribute to the region's demand for cloud-based solutions. The cloud service providers focus on investing in technical skills, partnerships, and expansion of cloud centers.
The use of cloud-based solutions in developing nations like India, China, Brazil, and Africa is expected to grow in the market. As developing economies, these countries require cost-effective infrastructural solutions due to a lack of adequate technologies and finance. By utilizing cloud solutions, developing nations have managed to reduce their IT expenditures during the COVID-19 pandemic situation. Organizations are fully able to utilize on-demand, scalable cloud models to achieve cost-effectiveness and business continuity to accelerate their aims for digital business transformation.
In February 2022, Kyndryl, an American multinational information technology infrastructure service provider that design, build, manages, and develop large-scale information, partnered with AWS to launch the AWS cloud center of excellence. Through this partnership, Kyndryl plan to build its infrastructure in the AWS cloud.
Asia Pacific is expected to grow at an exponential rate. The rise in solutions or cloud-based solutions in the manufacturing and healthcare industries is driving the expansion. In addition, the region's growth is predicted to be fueled by rising demand for smart electric vehicles, increasing internet penetration, and expanding digitization.
Competitive Landscape
The Global Cloud Computing Market is highly competitive with ~500 players which include globally diversified players, regional players as well as a large number of country-niche players each with their niche in a cloud-based solution, and technologies. The Cloud Computing market's growth is heavily reliant on IoT-based applications. Nowadays, numerous cloud-based companies, including Amazon, Google, HPE, Oracle, and IBM collaborate and acquire companies to expand their presence in Cloud Computing. The company focuses on cloud solutions and services are constantly focusing on R&D activities, product enhancements, and new product launches with the integration of big data, artificial intelligence, and machine learning.
Country-Niche players constitute about ~60% of the total competitors, while regional players comprise a share of ~30%. Some of the major players in the market include Microsoft, AWS, Salesforce, Oracle, SAP, Google, Workday, Adobe, IBM, Alibaba, VMware, and HPE among others.
For more information, request a free sample
Recent Developments Related to Major Players
In July 2022, Oracle collaborated with Claro, a Mexican telecom group. This collaboration focused on jointly offering Oracle Cloud Infrastructure (OCI) services to the public as well as private sector organizations and enterprises in Colombia. In addition, the collaboration would accelerate the technology modernization of businesses and customers across Latin America. The collaboration with Claro is also expected to accelerate cloud adoption, stimulate economic recovery, and spur competitiveness in these nations.
In Jun 2022, Oracle entered into a partnership with Kyndryl, an IT infrastructure services provider. From this partnership, the companies aimed at helping consumers accelerate their journey to the cloud by delivering managed cloud solutions to enterprises all over the world. This partnership is expected to expand the company's reach, helping more consumers across the world move critical workloads to the cloud.
In Jun 2022, AWS signed an agreement with Redington India, an information technology (IT) provider. From this agreement, the companies focused on driving cloud technology adoption in India. This agreement also aims to enable the power of the AWS Cloud to more partners and customers across the metros, and tier-2 and 3 cities in India.
Conclusion
The Global Cloud Computing Market is forecasted to continue rapid growth, which is primarily driven by the integration of Big Data, Artificial Intelligence, and Machine Learning with the cloud. The market size is estimated to be US$ 450 Bn by 2022 and is expected to reach US$ 1200 Bn by 2028 growing with a CAGR of ~15%. North America is the dominant region in the globe however Asia Pacific region is expected to grow at a higher pace. Though the market is highly competitive with ~500 participants, few global players control the dominant share and regional players also hold a significant share.
Note: This is an upcoming/planned report, so the figures quoted here for a market size estimate, forecast, growth, segment share, and competitive landscape are based on initial findings and might vary slightly in the actual report. Also, any required customizations can be covered to the best feasible extent for Pre-booking clients and report delivered within a maximum of two working weeks.
Ken Research has recently published report titled, Global Cloud Computing Market Size, Segments, Outlook, and Revenue Forecast 2022-2028. PaaS and SaaS are mostly adopted in the Cloud Computing Market based on service. In addition, the report also covers market size and forecasts for the four major regions namely North America, Europe, Asia Pacific, and LAMEA. The revenue used to size and forecast the market for each segment is US$ billion.
Market Taxonomy
By Service
IaaS
PaaS
SaaS
By Deployment
Public
Private
Hybrid
By Enterprises
SMEs
Large enterprises
By End-User
Banking, Financial, Services, and Insurance
IT and Telecom
Retail & Consumer Goods
Manufacturing
Energy & Utilities
Healthcare
Media & Entertainment
Government & Public Sector
Others
By Geography
North America
USA
Canada
Mexico
Europe
Germany
UK
France
Italy
Spain
Asia Pacific
China
Japan
India
AustraliaSouth Korea
LAMEA
Latin America
Middle East
Africa
Key Companies
Microsoft Corporation
Amazon Web Services
Salesforce. Com, Inc.
Oracle Corporation
Systems, Application & Products in Data Processing
Google LLC
Workday Inc.
Adobe System Incorporation
International Business Machines
Alibaba Group Holding Limited
Virtual Machine Software
Hewlett Packard Enterprise
Ken Research Pvt. Ltd.,
Unit 14, Tower B3, Spaze I Tech Business Park, Sohna Road, sector 49 Gurgaon, Haryana - 122001, India
Ken Research is a Market Research and Consulting Firm, based out of India, Indonesia and UAE. Since 2011, we have been assisting clients globally with our Syndicate and Bespoke Market Research and Advisory Services.
For more information, request a free samplehttps://www.kenresearch.com/sample-report.php?Frmdetails=NTk2MDE0
Key Growth Drivers
The Cloud Computing Market is largely driven by the growth in big data and higher adoption of artificial intelligence and machine learning. Moreover, the adoption of cloud-based solutions in developing economies such as India, China, Brazil, and Africa is expected to drive market growth in the near future.
The widespread adoption of AI and ML technologies in businesses has increased data usage, which has further boosted big data services. This increased consumption of data and the requirement of efficient computational solutions for AI and ML is expected to create a larger opportunity space for Cloud Computing solutions/service providers and their end-users. Cloud Computing technologies also aid in increasing business productivity, improving decision-making processes, and lowering operating expenses.
In March 2022, Microsoft Corporation launched Azure Health Data Service. It is a Platform as a service specifically designed to support both analytical and transactional workloads. It unifies health data and power AI in the cloud, exclusively supporting Protected Health Information (PHI).
Cyber-attacks pose a major threat to cloud operations. Additionally, the lack of resources and technical skills required to operate cloud platforms and infrastructure pose challenges to the market growth
Cloud computing services assist businesses in increasing operational effectiveness and cutting expenses. Additionally, these services have several benefits, such as flexibility, scalability, and agility. The data stored in the cloud is highly exposed to breaches and leaks despite high-security precautions. The amount of data being produced is growing, and businesses are starting to take more steps toward digital transformation. Enterprise data is exposed to risk from cyberattacks like Spectre, Meltdown, cloud malware injection assaults, account or service hijacking, and man-in-the-cloud attacks. Threats like these pose a severe challenge for market growth.
In May 2022, Microsoft spent over US$100 million in providing technology support to the Ukrainian government, including cyber security. It has also developed an artificial intelligence system to log the time and date of Russian bombings to be used in future war crimes investigations.
The Covid-19 pandemic accelerated the demand for collaboration solutions, remote-working models, and remote IT services, which in turn created a greater demand to utilize and adopt cloud computing solutions across different industry verticals.
The enterprises witnessed a transformation in the business models from the third quarter of 2020 as organizations continued to migrate their workloads from traditional channels to digital formats. Various enterprises across different verticals adopted the work-from-home model to maintain employee well-being and operational efficiency, increasing the demand for Software-as-a-Service (SaaS)- based solutions.
Microsoft Teams platform users surged to 44 million globally owing to the high demand for collaboration solutions. While the standalone 8x8 Video Meetings cloud solution witnessed a more than 300% surge in registered users in the last week of February 2020 across 150 countries.
There was a substantial increase in the demand for streaming platforms, such as Amazon Prime, Disney+, Twitch, Netflix, Hulu, YouTube, and Apple TV. This surge in Video-on-Demand (VoD) has augmented the demand for Infrastructure as a service (IaaS) to tackle consumer demands.
For More Information on the Research Report, refer to below links: -
https://www.kenresearch.com/business-research/global-cloud-computing-market-outlook-2028/
Key Trends by Market Segment
By Services: The SaaS segment dominated the market among services of the Global Cloud Computing Market in 2021.
SaaS products are expected to witness strong growth in the forthcoming years as their total cost of ownership (TCO) will be equal to that of the on-premise deployment models. The increasing number of businesses offering cloud-based services and increasing preferences for SaaS delivery models are expected to accelerate SaaS segment growth throughout the forecast period. SaaS offers a pay-as-you-go model that gives organizations greater flexibility and web-based subscriptions to access the program remotely. The SaaS delivery model focuses on delivering software solutions that have the potential to reach a wider audience.
In 2021, Thoma Bravo acquired Medallia, an American customer and employee experience management company. The aim of this acquisition included leveraging proprietary Artificial Intelligence, enabling businesses to calibrate their customer experience. It accomplishes this by capturing feedback from customers on digital channels, social media, phone calls, and Internet of Things (IoT) integrations, pushing this data into AI analytics to gather raw insights.
By Deployment: The Hybrid segment accounted for the majority share among deployment modes of the Global Cloud Computing Market in 2021 and is expected to showcase the highest growth rate during the forecast period (2022-2028).
Hybrid cloud is a cloud computing environment that practices a mix of on-premises, private cloud, and third-party, public cloud services with instrumentation between the two platforms.
A hybrid model allows businesses to significantly switch between their on-premise infrastructure and public cloud services depending on the need for sensitive data and computation.
In October 2021 Alibaba Cloud, launched Apsara Stack, the next-generation hybrid cloud solution, to meet the needs of the retail industry to digitize its operations under the new hybrid retail concept.
By Enterprises: Large enterprises segment captured the largest market share among enterprise segments of the Global Cloud Computing Market in 2021 and is expected to showcase the highest growth rate during the forecast period (2022-2028).
The adoption of cost-efficient cloud solutions in the large enterprises segment is growing due to lesser downtime, and fewer expenditures than internal servers. Cloud computing solutions prevent conflicts and complications arising due to large sets of data gathered from large enterprises by enabling better data and document control.
In a survey sponsored by the Business Group, 45% of the respondents indicated lower infrastructure and storage costs and 27% eliminated compliance and legal fees.
In December 2018, Microsoft announces the Intelligent Cloud Hub program to build an AI-ready workforce. The aim is to equip research and higher education institutions with AI infrastructure and build curriculum and faculty capability to skill students in AI and cloud technologies.
By End Users: The healthcare segment accounted for the largest market share among end-users of the Global Cloud Computing Market in 2021 and is expected to showcase the highest growth rate during the forecast period (2022-2028).
Growing adoption of artificial intelligence and machine learning solutions by various retail and healthcare service providers is expected to boost the Cloud Computing Market during the forecast period
The growth can be attributed to the increased deployment of cloud-based software, mobile application, wearable healthcare device, and smart healthcare equipment, among others.
In January 2022, Francisco Partners, a leading global investment firm that specializes in partnering with technology businesses, announced the acquisition of healthcare data and analytics assets that were part of IBM's Watson Health business. Under the ownership of Francisco Partners, the new standalone company will be called Merative and will be headquartered in Ann Arbor, Michigan. Merative brings together market-leading offerings that deliver value across the global healthcare ecosystem, serving clients in life sciences, provider, imaging, health plan, employer, and government health and human services sectors.
By Geography: North America accounted for the largest share among all regions within the Cloud Computing Market in 2021.
North America is also expected to dominate the market in terms of revenue during the forecast period due to the early adoption of technologies such as Artificial Intelligence, robotics, IoT, and cloud. The presence of prominent cloud providers, including IBM Corporation, Microsoft Corporation, Oracle Corporation, and others contribute to the region's demand for cloud-based solutions. The cloud service providers focus on investing in technical skills, partnerships, and expansion of cloud centers.
The use of cloud-based solutions in developing nations like India, China, Brazil, and Africa is expected to grow in the market. As developing economies, these countries require cost-effective infrastructural solutions due to a lack of adequate technologies and finance. By utilizing cloud solutions, developing nations have managed to reduce their IT expenditures during the COVID-19 pandemic situation. Organizations are fully able to utilize on-demand, scalable cloud models to achieve cost-effectiveness and business continuity to accelerate their aims for digital business transformation.
In February 2022, Kyndryl, an American multinational information technology infrastructure service provider that design, build, manages, and develop large-scale information, partnered with AWS to launch the AWS cloud center of excellence. Through this partnership, Kyndryl plan to build its infrastructure in the AWS cloud.
Asia Pacific is expected to grow at an exponential rate. The rise in solutions or cloud-based solutions in the manufacturing and healthcare industries is driving the expansion. In addition, the region's growth is predicted to be fueled by rising demand for smart electric vehicles, increasing internet penetration, and expanding digitization.
Competitive Landscape
The Global Cloud Computing Market is highly competitive with ~500 players which include globally diversified players, regional players as well as a large number of country-niche players each with their niche in a cloud-based solution, and technologies. The Cloud Computing market's growth is heavily reliant on IoT-based applications. Nowadays, numerous cloud-based companies, including Amazon, Google, HPE, Oracle, and IBM collaborate and acquire companies to expand their presence in Cloud Computing. The company focuses on cloud solutions and services are constantly focusing on R&D activities, product enhancements, and new product launches with the integration of big data, artificial intelligence, and machine learning.
Country-Niche players constitute about ~60% of the total competitors, while regional players comprise a share of ~30%. Some of the major players in the market include Microsoft, AWS, Salesforce, Oracle, SAP, Google, Workday, Adobe, IBM, Alibaba, VMware, and HPE among others.
For more information, request a free sample
Recent Developments Related to Major Players
In July 2022, Oracle collaborated with Claro, a Mexican telecom group. This collaboration focused on jointly offering Oracle Cloud Infrastructure (OCI) services to the public as well as private sector organizations and enterprises in Colombia. In addition, the collaboration would accelerate the technology modernization of businesses and customers across Latin America. The collaboration with Claro is also expected to accelerate cloud adoption, stimulate economic recovery, and spur competitiveness in these nations.
In Jun 2022, Oracle entered into a partnership with Kyndryl, an IT infrastructure services provider. From this partnership, the companies aimed at helping consumers accelerate their journey to the cloud by delivering managed cloud solutions to enterprises all over the world. This partnership is expected to expand the company's reach, helping more consumers across the world move critical workloads to the cloud.
In Jun 2022, AWS signed an agreement with Redington India, an information technology (IT) provider. From this agreement, the companies focused on driving cloud technology adoption in India. This agreement also aims to enable the power of the AWS Cloud to more partners and customers across the metros, and tier-2 and 3 cities in India.
Conclusion
The Global Cloud Computing Market is forecasted to continue rapid growth, which is primarily driven by the integration of Big Data, Artificial Intelligence, and Machine Learning with the cloud. The market size is estimated to be US$ 450 Bn by 2022 and is expected to reach US$ 1200 Bn by 2028 growing with a CAGR of ~15%. North America is the dominant region in the globe however Asia Pacific region is expected to grow at a higher pace. Though the market is highly competitive with ~500 participants, few global players control the dominant share and regional players also hold a significant share.
Note: This is an upcoming/planned report, so the figures quoted here for a market size estimate, forecast, growth, segment share, and competitive landscape are based on initial findings and might vary slightly in the actual report. Also, any required customizations can be covered to the best feasible extent for Pre-booking clients and report delivered within a maximum of two working weeks.
Ken Research has recently published report titled, Global Cloud Computing Market Size, Segments, Outlook, and Revenue Forecast 2022-2028. PaaS and SaaS are mostly adopted in the Cloud Computing Market based on service. In addition, the report also covers market size and forecasts for the four major regions namely North America, Europe, Asia Pacific, and LAMEA. The revenue used to size and forecast the market for each segment is US$ billion.
Market Taxonomy
By Service
IaaS
PaaS
SaaS
By Deployment
Public
Private
Hybrid
By Enterprises
SMEs
Large enterprises
By End-User
Banking, Financial, Services, and Insurance
IT and Telecom
Retail & Consumer Goods
Manufacturing
Energy & Utilities
Healthcare
Media & Entertainment
Government & Public Sector
Others
By Geography
North America
USA
Canada
Mexico
Europe
Germany
UK
France
Italy
Spain
Asia Pacific
China
Japan
India
AustraliaSouth Korea
LAMEA
Latin America
Middle East
Africa
Key Companies
Microsoft Corporation
Amazon Web Services
Salesforce. Com, Inc.
Oracle Corporation
Systems, Application & Products in Data Processing
Google LLC
Workday Inc.
Adobe System Incorporation
International Business Machines
Alibaba Group Holding Limited
Virtual Machine Software
Hewlett Packard Enterprise
Ken Research Pvt. Ltd.,
Unit 14, Tower B3, Spaze I Tech Business Park, Sohna Road, sector 49 Gurgaon, Haryana - 122001, India
Ken Research is a Market Research and Consulting Firm, based out of India, Indonesia and UAE. Since 2011, we have been assisting clients globally with our Syndicate and Bespoke Market Research and Advisory Services.
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