Cloud ITSM Market by Offering (Services, Solutions), Deployment Model (Hybrid Cloud, Private Cloud, Public Cloud), Organization Size, End-User Industries - Global Forecast 2024-2030

Cloud ITSM Market by Offering (Services, Solutions), Deployment Model (Hybrid Cloud, Private Cloud, Public Cloud), Organization Size, End-User Industries - Global Forecast 2024-2030

The Cloud ITSM Market size was estimated at USD 10.49 billion in 2023 and expected to reach USD 11.94 billion in 2024, at a CAGR 14.03% to reach USD 26.31 billion by 2030.

Cloud-based information technology service management (ITSM) refers to the practice of managing and delivering IT services through a cloud-based platform. IT service management involves all the activities, policies, and processes an organization uses to design, deliver, manage, and improve its customers' IT services. Using cloud ITSM, organizations can gain several potential benefits, including increased flexibility, scalability, and cost-efficiency. This approach allows businesses to easily adjust their IT resources to meet changing needs, often with less upfront investment compared to traditional on-premise IT infrastructure. Additionally, cloud-based platforms can facilitate easier updates and maintenance and offer enhanced collaboration capabilities by allowing access from anywhere with an internet connection. Applications of cloud ITSM include establishing centralized platforms for service desk management, ensuring swift incident resolution, facilitating seamless change management, and enhancing asset utilization. The increasing adoption of scalable and cost-effective cloud technology, rising demand for efficient IT service delivery, growth in remote workforces, cost-reduction pressures, and regulatory compliance needs. Opportunities lie in integrating AI and machine learning for automation and predictive analysis, expanding into emerging markets, enhancing cybersecurity measures, and creating industry-specific solutions. However, the market faces challenges, including data security and privacy concerns, integration issues with existing systems, a shortage of skilled professionals, and initial cost barriers. Promising areas for innovation include AI-powered ITSM for predictive analytics and automation, improving user interface and experience, enhancing cybersecurity features to mitigate data breaches, and developing sustainable, eco-friendly cloud solutions. Despite challenges, the Cloud ITSM market holds significant potential for growth, driven by ongoing innovations and increasing reliance on cloud technologies.

Regional Insights

The Cloud IT Service Management (ITSM) market reveals diverse trends and growth rates across different regions, shaped by unique consumer needs and regulatory landscapes. In the Americas, particularly the United States and Canada, there is a brisk adoption of Cloud ITSM solutions driven by the demand for automation and AI to enhance IT infrastructure, reduce costs, and boost customer experience. U.S. companies lead in AI-related ITSM patents and investments, while Canadian adoption is fueled by government incentives. In Europe, the Middle East, and Africa (EMEA), EU countries focus on GDPR compliance, pushing for secure and compliant ITSM solutions amidst substantial IT infrastructure modernization. Middle Eastern nations are fast transitioning to digital economies, with strong government support for digital transformation projects driving the uptake of cloud-based ITSM solutions, especially in the UAE and Saudi Arabia. Africa's adoption, though varied, sees South Africa at the forefront with increasing ICT investments aiding broader regional uptake. China, part of the Asia Pacific, leverages rapid tech advancements and government support to integrate AI into ITSM, with significant R&D reflected in numerous patents. Japan's emphasis on quality and operational efficiency fuels its demand for reliable Cloud ITSM tools, supported by strong cybersecurity measures and cloud infrastructure investments. In India, the rapid digitalization wave, bolstered by the Digital India initiative and global cloud service provider presence, accelerates Cloud ITSM adoption to manage complex IT demands. Globally, the Cloud ITSM market is advancing through innovation, with a focus on AI-driven efficiency, data security, and compliance. Research and investments prioritize improving service management capabilities, reflecting a collective global trend towards digital transformation and IT infrastructure modernization.

Market Insights

Market Dynamics

The market dynamics represent an ever-changing landscape of the Cloud ITSM Market by providing actionable insights into factors, including supply and demand levels. Accounting for these factors helps design strategies, make investments, and formulate developments to capitalize on future opportunities. In addition, these factors assist in avoiding potential pitfalls related to political, geographical, technical, social, and economic conditions, highlighting consumer behaviors and influencing manufacturing costs and purchasing decisions.

Market Drivers

Escalating demand for cloud ITSM due to digital transformation initiatives
Supportive regulatory policies promoting cloud adoption
Digital transformation in the public sector and focus on e-governance

Market Restraints

Technical limitations of adopting cloud ITSM in legacy systems

Market Opportunities

Advancement to integrate AI/ML technologies in cloud ITSM offerings
Increasing investments in cloud data centers

Market Challenges

Concerns associated with data privacy and security breaches

Market Segmentation Analysis

Offering: Significant benefits of professional services to help organizations implement, optimize, and enhance their ITSM systems
End-User Industries: Growing deployment of cloud ITSM solutions In the BFSI sector to manage their IT services more effectively and ensure regulatory compliance

Market Disruption Analysis

Porter’s Five Forces Analysis
Value Chain & Critical Path Analysis
Pricing Analysis
Technology Analysis
Patent Analysis
Trade Analysis
Regulatory Framework Analysis

FPNV Positioning Matrix

The FPNV positioning matrix is essential in evaluating the market positioning of the vendors in the Cloud ITSM Market. This matrix offers a comprehensive assessment of vendors, examining critical metrics related to business strategy and product satisfaction. This in-depth assessment empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success, namely Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis

The market share analysis is a comprehensive tool that provides an insightful and in-depth assessment of the current state of vendors in the Cloud ITSM Market. By meticulously comparing and analyzing vendor contributions, companies are offered a greater understanding of their performance and the challenges they face when competing for market share. These contributions include overall revenue, customer base, and other vital metrics. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With these illustrative details, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Recent Developments

Eficode Strengthens Atlassian Cloud Expertise with Strategic Acquisition of Jodocus in Germany

Eficode announced the acquisition of Jodocus to bolster its Atlassian Cloud capabilities and fortify its partnership with Atlassian in Germany. This move enhances Eficode's proficiency in providing advanced IT service management solutions, leveraging Jodocus's extensive experience and local market presence.

4me Enhances IT Service Management with StatusCast Acquisition to Boost Incident Communication and Service Reliability

4me acquired StatusCast to strengthen its IT Service Management (ITSM) offerings. This strategic move aims to integrate and enhance incident communication capabilities, ensuring more efficient and transparent handling of IT issues. Through this acquisition, 4me seeks to improve service reliability and user communication, particularly during IT service disruptions.

Valiantys Strengthens Global Footprint with Strategic Acquisition of GLiNTECH, Targets Asia-Pacific Market Expansion

Valiantys broadened its international reach by acquiring GLiNTECH, an Australian company specializing in IT services and solutions. This strategic move underscores Valiantys’ commitment to enhancing its presence in the Asia-Pacific region. By integrating GLiNTECH’s expertise and local market knowledge, Valiantys aims to better serve its growing client base in this dynamic and rapidly evolving market.

Strategy Analysis & Recommendation

The strategic analysis is essential for organizations seeking a solid foothold in the global marketplace. Companies are better positioned to make informed decisions that align with their long-term aspirations by thoroughly evaluating their current standing in the Cloud ITSM Market. This critical assessment involves a thorough analysis of the organization’s resources, capabilities, and overall performance to identify its core strengths and areas for improvement.

Key Company Profiles

The report delves into recent significant developments in the Cloud ITSM Market, highlighting leading vendors and their innovative profiles. These include Aisera, Alemba, BMC Software, Broadcom Inc., EasyVista, Efecte, Freshworks Inc., GoTo, IFS AG, International Business Machines Corporation, ITarian, Ivanti, ManageEngine by ZOHO Corp., Open Text Corporation, Panorama9, ServiceNow, Inc., SolarWinds Corporation, SymphonyAI, SysAid Group, and TeamDynamix.

Market Segmentation & Coverage

This research report categorizes the Cloud ITSM Market to forecast the revenues and analyze trends in each of the following sub-markets:

Offering
Services
Managed Services
Professional Services
Solutions
Asset Management
Change Management
Configuration Management
Incident Management
Problem Management
Deployment Model
Hybrid Cloud
Private Cloud
Public Cloud
Organization Size
Large Enterprises
Small & Medium-sized Enterprises
End-User Industries
Banking, Financial Services, & Insurance
Government
Healthcare
IT & Telecommunications
Retail
Region
Americas
Argentina
Brazil
Canada
Mexico
United States
California
Florida
Illinois
New York
Ohio
Pennsylvania
Texas
Asia-Pacific
Australia
China
India
Indonesia
Japan
Malaysia
Philippines
Singapore
South Korea
Taiwan
Thailand
Vietnam
Europe, Middle East & Africa
Denmark
Egypt
Finland
France
Germany
Israel
Italy
Netherlands
Nigeria
Norway
Poland
Qatar
Russia
Saudi Arabia
South Africa
Spain
Sweden
Switzerland
Turkey
United Arab Emirates
United Kingdom

Please Note: PDF & Excel + Online Access - 1 Year