Global Cloud Infrastructure-as-a-Service and Platform-as-a-Service Market

Global Cloud Infrastructure-as-a-Service and Platform-as-a-Service Market

Cost Optimization Amid Economic Uncertainty, Sovereign Cloud Expansion, and Booming AI

Cloud infrastructure and platforms form the foundation upon which digital economies are built. For more than a decade, the modernization and migration of applications and data to the cloud have been a priority for companies worldwide. Under the weight of high interest rates, inflation, and sluggish post-pandemic recovery, the growth of the cloud infrastructure- and platform-as-a-service (IaaS and PaaS) market decelerated in 2023. In 2024, driven by economic recovery and the expanding applications of generative AI, the industry projects more robust growth. The growth of generative AI has been staggering, and this is expected to continue even more strongly in 2024. Considering that training large language models requires storing and processing immense volumes of data—a task that is hardly feasible outside the extensive data centers of major cloud hyperscalers, the IaaS and PaaS industry is well-positioned to reap vast benefits from this technological revolution.

In this report, Frost & Sullivan analyzes the evolution of IaaS and PaaS solutions in the cloud, the factors that will drive or restrain market growth in 2024, the challenges and opportunities for public cloud infrastructure and platform providers, and the market's size and forecasted growth.