Cloud Storage Market Forecasts to 2028 – Global Analysis By Deployment (Hybrid Cloud, Private Cloud, Public Cloud), Organization Size (Small and Medium Business, Large Enterprises), Type (Service, Solution), End User, and By Geography

Cloud Storage Market Forecasts to 2028 – Global Analysis By Deployment (Hybrid Cloud, Private Cloud, Public Cloud), Organization Size (Small and Medium Business, Large Enterprises), Type (Service, Solution), End User, and By Geography

According to Stratistics MRC, the Global Cloud Storage Market is accounted for $78.60 billion in 2022 and is expected to reach $240.63 billion by 2028 growing at a CAGR of 20.5% during the forecast period. Cloud storage allows enterprises to store data on remote servers that can be accessed through internet. These remote servers are maintained, operated and managed by cloud storage facility providers. It is mostly a virtual mode of data storage. The data stored on cloud can be accessed and shared through internet. Cloud storage is a next-generation system that interacts in human language and helps experts to make better decisions by understanding the complexity of unstructured data.

As of 2022, over 60 percent of all corporate data is stored in the cloud. This share reached 30 percent in 2015 and has continued to grow as companies increasingly shift their resources into cloud environments in the hope of improving security and reliability next to advancing business agility. In 2021, the global spending on public IT cloud services amounted to approximately 409 billion U.S. dollars in total. Software as a service (SaaS) spending is the largest segment with revenues of around 249 billion U.S. dollars. This growth is driven by organizations across the world replacing their legacy business applications with SaaS applications that are more data-driven and a more appropriate fit for modern cloud architectures.

Market Dynamics:

Driver:

Exponential growth in data volumes

The Global Cloud Storage market likely to drive growth during the forecast period, due to Remote sensing, the Internet of Things (IoT), and improved video quality such as 4K or 8K resolution cameras have resulted in the collection of large amounts of data. As a result, demand for cloud-based storage and networking technology is increasing. Similarly, the growing use of artificial intelligence(AI) is projected to increase storage demand to improve data security.

Restraint:

Strict laws and regulations

The strict government laws and regulations on using the cloud are expected to restrict market growth. Data privacy and confidentiality are the most vital elements of the cloud storage ecosystem. The Government of India made a provision in the Information Technology Act, that any unlawful exercises connected with the registering models/exchanges comprising of private information or data will be exposed to a punishment. Such guidelines and guidelines upheld by state run administrations are probably going to hamper market development.

Opportunity:

High performance computing through cloud

The global cloud storage market to drive development during the forecast period, as high performance computing through cloud can provide users access to multi-core computers for multi-threaded deployment types. In turn, this is anticipated to boost high revenue growth of the market in the coming years. In addition, influx of data continues to grow globally, which increases the need of federal agencies to use their data tactically. As well, the need for high-speed computing and processing power further boosts the growth of the market.

Threat:

Reduction of data security

Due to reduction of data security as an increase in malicious hacking technologies, the global cloud storage market is going to face challenges in the development during the forecast period. Once any information is leaked from cloud storage, it can cause severe damage to the company. Another factor that can hinder the expansion of cloud storage market size is the shortage of high network bandwidth for transferring data and regulatory compliance issues.

Covid-19 Impact

Due to the outbreak of the covid-19 pandemic, the workforce shifted online which further increased the necessity of cloud-based solutions. Microsoft is contributing the extended Microsoft Azure cloud credits for the organization to securely manage the data and to support the remote work. This contribution is mainly essential for the non-profit organization and critical care such as health, public safety, and food & nutrition. Amazon and Salesforce have teamed up to provide cloud-based contact center service to the customers in the pandemic. Such initiatives by the market places are expected to boost the market growth of the cloud service market.

The hybrid cloud segment is expected to be the largest during the forecast period

The hybrid segment holds a larger share in the market. Businesses are rapidly moving to hybrid cloud models to become more efficient and deliver a better customer experience. Hybrid cloud file storage offers important capabilities that can benefit businesses of all sizes including agility, scalability and cost-savings. The incremental costs of adding and maintaining local storage such as servers and new on-premises data centers can be expensive. It enables companies to reduce such expenses by tapping the expansive power of the hybrid cloud model and allowing companies to pay for public cloud service only when they need it. According to the survey report of state of the cloud, 81% of enterprises have a multi-cloud strategy, and 51% of the enterprises with a hybrid strategy. These are also likely to boost the adoption of cloud storage over the forecasted period.

The large enterprises segment is expected to have the highest CAGR during the forecast period

Large enterprises segment is expected to account for a maximum revenue share due to the increased demand for cloud-based storage to handle large amount of remote workforce and data. The rising adoption of infrastructure as a service, software as a service, and platform as a service by the organizations to manage the virtual work during the COVID-19 pandemic accelerated the demand for cloud-based storage. For instance, in February 2022, as per the EY-Nasscom cloud survey, 67% of the large organizations accelerated cloud adoption, while 38% of small organizations embarked on their cloud journey.

Region with highest share:

North America is projected to hold the largest market share during the forecast period. The U.S. holds the major market share recognized to the presence of key cloud providers and a large number of data centers. Additionally, the growing adoption of smart home devices, connected devices, video streaming services, and digital payments generates heaps of data every day. These huge volumes of data create the demand for cloud data storage across the U.S.

Region with highest CAGR:

Asia Pacific is anticipated to have the highest CAGR over the forecast period, due to the growing investment by developing economies such as India, Japan, Singapore, South East Asia, South Korea, and others contribute to market growth. The government initiatives to drive digital transformation across the countries fuel the adoption of cloud technology across the region.

Key players in the market

Some of the key players profiled in the Cloud Storage Market include Amazon Web Services, Inc., At&T, Inc., Box, Inc., Dell EMC, Dropbox, Fujitsu Ltd., Google, Hewlett-Packard Company, IBM, Microsoft Corporation, Oracle, Rackspace Hosting, Inc., VMWare, Inc., Alphabet, Inc., EMC Corporation and HP Enterprise Company.

Key Developments:

In May 2021, Hewlett Packard Enterprise Company introduced the advancement of its HPE storage to transform into cloud-native software-defined data services (SDDS). The new storage is available on GreenLake and operations such as cloud data services, data services cloud console and HPE Alletra.

In April 2021, IBM announced the launch of Advanced Storage Solutions Designed to Simplify Data Accessibility & Availability Across Hybrid Clouds. This storage portfolio is designed to improve data access and management across increasingly complex hybrid cloud environments for greater data availability and resilience.

Deployments Covered:
• Hybrid Cloud
• Private Cloud
• Public Cloud

Organization Sizes Covered:
• Small and Medium Business
• Large Enterprises

Types Covered:
• Service
• Solution

Applications Covered:
• Data Archiving
• Disaster Recovery and Backup
• Primary Storage

End Users Covered
• IT and Telecommunications
• Research and Education
• Entertainment and Media
• Manufacturing
• Healthcare & Life Sciences
• Government & Public Sector
• Energy and Utilities
• Consumer Goods and Retail
• Banking, Financial Services, and Insurance
• Travel & Hospitality
• Other End Users

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements