Infrastructure as a Service (IaaS) provides virtualized computing resources through the World Wide Web. In IaaS, the user utilizes the resources of the third-party vendor which are remotely located and consist of hardware, software, servers, storage, and other necessary infrastructure. This makes IaaS highly suitable for a variety of workloads that are temporary, experimental, or change unexpectedly. The global IaaS market is anticipated to expand at a CAGR of 22.1% during the forecast period from 2015 to 2022. The global IaaS market was valued at US$ 15.6 Bn in 2014.
Rising demand for disaster-as-a service is expected to be a key factor driving the IaaS market’s growth. Also, increasing adoption among small and medium-sized businesses due to the technology’s low CAPEX and minimal set-up requirements is expected to fuel the market’s growth in the near term. Furthermore, rising demand for high business flexibility and hybrid cloud computing solutions is anticipated to drive the market’s growth worldwide. However, cloud data security is expected to be the key factor restraining the market growth. In addition, concerns such as data privacy and vendor lock-in are expected to curb market growth. On a global scale, lucrative opportunities are expected to emerge in the APAC region with increasing IT requirements, especially in emerging economies such as China and India. Furthermore, the increasing number of handheld devices, such as mobiles, smartphones, and tablets are providing better accessibility for IaaS services, subsequently driving market growth.
The global IaaS market is segmented on the basis of implementation type, service type, and end-users. On the basis of implementation type, the IaaS market is segmented into private cloud, public cloud, and hybrid cloud solutions. In 2014, private cloud solutions was the leading market, followed by public and hybrid solutions. The demand for private and hybrid cloud solutions is expected to be largely contributed by big organizations with high investment capabilities. However, micro, small, and medium-sized businesses are expected to prefer public IaaS solutions, as a low-cost services alternative. In the near term, due to growing IT complexities, hybrid IaaS solutions are expected to witness faster growth, with enterprises looking for low-cost, flexible, and efficient IaaS solutions.
In terms of service type, the global IaaS market is segmented into Disaster Recovery as a Service (DRaaS), Compute as a Service (CaaS), Storage as a Service (STaaS), Data Center as a Service (DCaaS), Desktop as a Service (DaaS), and Application Hosting as a Service. In 2014, due to huge demand for data backup and storage, the STaaS segment emerged as the highest revenue contributor in comparison to other services. DRaaS is expected to see a higher growth rate than other services, as increasing incidences of downtime around the world have boosted demand for back-up and data security.
On the basis of end-users, the global IaaS market is classified into large enterprises, small & medium enterprises, and others. The others segment consisted of the public, retail, and hospitality sectors. In 2014, the large enterprises segment led the adoption of IaaS solutions. However, with increasing awareness among small and medium-scale businesses, the small & medium enterprises segment is expected to see higher growth rates in the coming years.
The key players profiled in this report include Amazon Web Services, Inc., Oracle Corporation, Microsoft Corporation, Datapipe, Inc., VMware, Inc., Hewlett-Packard Development Company, LP, Google, Inc., Virtustream, Inc., Verizon Communications, Inc., Dimension Data Plc, Fujitsu Ltd., IBM Corporation, Rackspace, Inc., Interoute Communications Ltd., Computer Science Corporation, NTT Communications Corp., Fujitsu Ltd., Joyent, Inc., and CenturyLink, Inc.
Infrastructure as a Service (IaaS) Market: Overview
The global market for infrastructure as a services (IaaS) is projected to register significant growth due to rising demand for disaster-as-a service is one of the factor influencing the growth of the market in near future. Additionally, escalating adoption among the small and large-sized businesses due to low technology expenditure and minimal requirement to set-up the business could be the key aspects driving the demand in near future. Moreover, the cloud data security could be the major aspect restraining the growth of the global market and rising privacy protection concern are another aspect hampering the overall market growth in near future.
The report segregates the Infrastructure as a Service (IaaS) market on the basis of implementation type, service type and on the basis of end users. On account of service type, the global market for Infrastructure as a service (IaaS) is bifurcated into Application Hosting as a Service, Storage as a Service (STaaS), Desktop as a Service (DaaS), Disaster Recovery as a Service (DRaaS) and Data Center as a Service (DCaaS). Of all the segments, the STaaS segments could likely to dominate the market due to rising demand and need for data backup and storage. DRaaS could lead the market in terms of adoption.
On account of end-users, the global market for Infrastructure as a service (IaaS) segments the market into small enterprise, large enterprise, medium enterprise and other enterprise. The rising awareness among the small and medium enterprise could likely to lead the market in terms higher growth in near future.
Infrastructure as a service (IaaS) Market: Trends
The global market for infrastructure as a service (IaaS) are foreseen to achieve handsome demand in IT industry due to escalating demand for high business flexibility as well as hybrid cloud computing system could likely to drive the demand over the coming years. Another aspect projected to set the tone for valuable increase in demand are increasing number of handheld devices such as mobile, tablets, smartphones are some of the important gadget with better accessibility for Infrastructure as a service (IaaS) market in near future.
Globally, lucrative opportunity could be expected to emerge in the APAC region. Furthermore the expansion of IT industry in India and China are likely to boost the demand for Infrastructure as a service (IaaS) market.
Infrastructure as a service (IaaS) Market: Geography
On the basis of geography, North America could likely to dominate the overall market in terms of revenue growth in near future. Also, North America could anticipated to witness massive growth in terms of smartphone and tablet user, which is key aspect propelling the growth of the market in coming years. This could be also because of swelling incorporation of hybrid cloud solutions.
Infrastructure as a service (IaaS) Market: Competition
This portion of the report presents the key players operating in the global market for infrastructure as a service (IaaS). The report also includes some of the prominent players such as Google, Inc., Microsoft Corporation, NTT Communications Corp., Hewlett-Packard Development Company, and Amazon Web Services Integrated. The report also includes comprehensive analysis of the competitive landscape and key opportunities it could offer in near future.