Cloud Backup and Recovery Market Poised for Significant Growth, of USD 20.73 Bn by 2027, North America Leading the Charge - Technavio
The cloud backup and recovery market boasts promising growth avenues, propelled by an array of factors such as burgeoning opportunities, escalating demand for cloud-based solutions, and stringent security regulations. This market is primed for substantial expansion, anticipated to soar at a formidable CAGR of 18.43% from 2023 to 2027, reaching a market size of USD 20.73 billion.
Driving Forces Behind the Market
Streamlining IT Expenditure: One of the pivotal drivers catalyzing market expansion is the noteworthy reduction in IT expenditure. By embracing cloud backup and recovery solutions, organizations stand to reap significant cost benefits, slashing capital requirements for maintaining IT infrastructure. With cloud storage costs at a mere 4 cents per gigabyte, organizations find a compelling alternative to internal data storage.
Trending Patterns in the Market
Embracing Cloud Computing Models: Witness a notable trend in the market with the proliferation of cloud computing models, encompassing hybrid and serverless architectures. Enterprises are increasingly gravitating towards these models to accommodate diverse applications and curtail operational costs. Major cloud service providers like AWS, Google Cloud, and Microsoft Azure are actively championing serverless computing models, propelling market growth.
Navigating Market Hurdles
Navigating Latency Challenges: Despite promising growth prospects, the market grapples with significant challenges, prominently latency in the cloud network. Latency during data transmission poses intricate challenges, rendering measurement and prediction arduous. Factors such as distributed computing and virtualization contribute to heightened latency, impacting service delivery and escalating costs for users.
Exploring Geographical Dynamics
Unveiling North America: With a projected contribution of 32% to global market growth, North America takes the lead, driven by its early embrace of cloud-based services. Cloud backup services facilitate seamless resource scaling, alluring startups and SMEs alike. Public PaaS solutions offer unmatched flexibility and simplicity in application development, further stoking market demand.
Key Players in the Arena
Witness industry frontrunners implementing diverse strategies to bolster their market presence, ranging from alliances and partnerships to product launches. Veritas Technologies emerges as a standout player, offering comprehensive cloud backup and recovery solutions anchored by its BACKUP EXEC offering. Other notable players include Cohesity Inc., Commvault Systems Inc., Google LLC, and Microsoft Corp.
The cloud backup and recovery market presents a wealth of opportunities across sectors, underscoring the pivotal role of cloud-based solutions in modern IT infrastructure. With evolving trends and technological advancements, the market stands poised for monumental growth, driving efficiency and resilience in data management and recovery realms.