Global Distributed Cloud Market is Predicted to Grow at a CAGR of ~9% During 2022-2031; Increasing Adoption of Cloud Services, Rising Penetration of Smart Devices and Internet to Accelerate the Growth - Research Nester

Key Companies Covered in the Global Distributed Cloud Market Research Report by Research Nester are Microsoft Corporation, Verizon Communications Inc., IBM Corporation, SAP SE, Pivotal Software, Inc., DigitalOcean, Inc., Oracle Corporation, VMware, Inc., Amazon Web Services, Inc., Axway Software, and other key market players.

New York, Aug. 08, 2022 (GLOBE NEWSWIRE) -- Research Nester has published a detailed market report on ‘Global Distributed Cloud Market’ for the forecast period, i.e. 2022 – 2031 which includes the following factors:

  • Market growth over the forecast period
  • Detailed regional synopsis
  • Market segmentation
  • Growth drivers
  • Challenges
  • Key market players and their detailed profiling

Global Distributed Cloud Market Size:

The global distributed cloud market is estimated to grow at a CAGR of ~9% over the forecast period. While being centrally controlled by the public cloud provider, distributed cloud deploys many clouds that are utilized to ensure compliance and performance requirements, as well as facilitate edge computing. The market's expansion can be ascribed to the rising popularity of cloud computing across a range of business sectors. For instance, in 2021, revenue from cloud computing exceeded USD 390 billion.  Additionally, distributed cloud services offer a number of benefits, including better content storage and distribution as well as faster delivery of material. Moreover, the increasing internet usage and the deployment of cloud servers are estimated to spur industry expansion over the forecast period. The World Bank estimates that 60% of people worldwide utilised the internet in 2020.

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Global Distributed Cloud Market: Key Takeaways

  • North America region to top revenue generation
  • Data storage segment to dominate the revenue graph
  • BFSI sub-segment remains prominent in the end-user segment

Growing Usage of Smart Devices and Burgeoning Demand for Distrusted Cloud in Industries to Boost Market Growth

The global distributed cloud market is predicted to propel over the forecast period owing to the increasing usage of smart devices namely, smartphones, computers, and laptops to meet the growing demand for handling expanding data, and improved data recovery needs. It was found in one of the surveys conducted in the USA in 2018, that around 84% percent of homes had smartphones, while 78% had a desktop or laptop.

Additionally, the market growth can be primarily attributable to the growing demand for data-driven technologies, which include artificial intelligence (AI) and the Internet of Things (IoT), as well as the snowballing adoption of microservice-based software development in various industrial sectors and enterprises. As per the estimation, during 2020, almost 85% of enterprise workloads were hosted in the cloud. Enterprise workloads will operate on public cloud systems to a degree of over 44% approximately. Further, the rising investment by the various industrial key players to expand the horizons of distributed cloud systems is estimated to drive the market growth during the forecast period.

Global Distributed Cloud Market: Regional Overview

The global distributed cloud market is segmented into five major regions including North America, Europe, Asia Pacific, Latin America, and the Middle East and Africa region.

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Growing IT Sector to Drive Growth in the Asia Pacific Region

The market in Asia Pacific region is estimated to witness noteworthy growth over the forecast period owing to the expanding number of tech giants in developing countries and the growing IT industry in the area. For instance, by 2025, India's market for IT and business services is anticipated to be worth over USD 20 billion. In addition to this, the market is estimated to accelerate during the upcoming period on account of the increasing usage of smartphones and internet in the region.

Increasing Usage of Cloud-Based Services to Boost Growth in the North America Region

Moreover, the market in North America region is anticipated to gain the largest share during the forecast period on the back of the increasing usage of cloud-based services, coupled with rising penetration of hybrid cloud and rising usage of smartphones. Additionally, the rising collaboration of various end users mainly, the industrial and banking sectors with the leading market players for the cloud services is predicted to boost the market growth throughout the forecast period. For instance, in February 2022, U.S. Bank announced a significant investment in updating its technological base by choosing Microsoft Azure as its principal cloud service provider for U.S. Bank apps. using cloud computing to power the majority of its infrastructure and application portfolio

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The study further incorporates Y-O-Y growth, demand & supply and forecast future opportunity in:

  • North America (U.S., Canada)
  • Europe (U.K., Germany, France, Italy, Spain, Hungary, Belgium, Netherlands & Luxembourg, NORDIC [Finland, Sweden, Norway, Denmark], Poland, Turkey, Russia, Rest of Europe)
  • Latin America (Brazil, Mexico, Argentina, Rest of Latin America)
  • Asia-Pacific (China, India, Japan, South Korea, Indonesia, Singapore, Malaysia, Australia, New Zealand, Rest of Asia-Pacific)
  • Middle East and Africa (Israel, GCC [Saudi Arabia, UAE, Bahrain, Kuwait, Qatar, Oman], North Africa, South Africa, Rest of Middle East and Africa).

Global Distributed Cloud Market, Segmentation by Service Type

    • Data Security
    • Data Storage
    • Networking
    • Others

Among these, the data storage segment is estimated to hold a substantial market share over the forecast period on account of the rising demand for cloud services with greater storage capacity and quicker access to stored data.  Further, the distributed cloud disperses users' data over a network, enabling data to be located closer to end users and increasing transfer speed, decreasing network congestion and the risk of data loss. Distributed clouds are also a greener storage option as they do not require centralized data centers or expensive cooling systems for servers. These characteristics of distributed clouds are therefore expected to play a role in their increasing adoption in organizations for data storage over the coming years. It was noticed that almost 85% of businesses use multiple clouds. Businesses using a hybrid approach (combining public and private clouds) increased to 59.5% in 2019 from 50% in 2018.

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Global Distributed Cloud Market, Segmentation by End-User

    • BFSI
    • IT & Telecom
    • Government
    • Education
    • Retail and e-commerce
    • Others

Out of these, the BFSI segment is estimated to hold the largest market share over the forecast period as the distributed cloud is excellent for streamlining banking procedures and quickly reviewing numerous transactions, which helps the industry prevent financial crimes and enhance consumer satisfaction. In order to serve their customers better, financial institutions are using distributed clouds more frequently. All these factors are estimated to boost the segment growth across the globe during the forecast period. The BFSI industry in India is estimated to be among top three by 2025.

Global Distributed Cloud Market, Segmentation by Enterprise Size

  • SMEs
  • Large Enterprises

Few of the well-known market leaders in the global distributed cloud market that are profiled by Research Nester are Microsoft Corporation, Verizon Communications Inc., IBM Corporation, SAP SE, Pivotal Software, Inc., DigitalOcean, Inc., Oracle Corporation, VMware, Inc., Amazon Web Services, Inc., Axway Software, and others.

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Recent Developments in the Global Distributed Cloud Market

  • In June 2022, as the first significant cloud provider to set up a specific cloud area in Mexico, Oracle announced the launch of the first Oracle Cloud Infrastructure (OCI) region in the region.
  • In December 2021, the deployment of hybrid cloud solutions by Airtel Business and IBM will help over 500,000 milk producers who work with Milk Producer Companies. This will make it possible for these producer businesses to safely store and access vital information on their members.

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