“Global Cloud Backup Market to reach a market value of 24.1 Billion by 2031 growing at a CAGR of 24%”
The Global Cloud Backup Market size is expected to reach $24.1 billion by 2031, rising at a market growth of 24% CAGR during the forecast period.
The healthcare industry is required to adhere to stringent data privacy regulations, including HIPAA, which require the secure storage and preservation of patient information. Cloud backup solutions are critical for healthcare providers to ensure compliance, protect sensitive medical data, and enable rapid recovery during data loss or breaches. The healthcare sector is anticipated to experience an increase in demand for cloud backup solutions because of the growing dependence on digital health technologies. Thus, the healthcare segment acquired 17% revenue share in the cloud backup market in 2023.
The major strategies followed by the market participants are Partnership as the key developmental strategy to keep pace with the changing demands of end users. For instance, In June, 2024, Acronis International GmbH partnered with Impossible Cloud, a cloud storage services provider, to integrate Acronis Cyber Protect Cloud with Europe's leading cloud storage provider. This partnership enhances data management and security, offering scalable, S3-compatible cloud storage with advanced cyber threat defense. Additionally, In June, 2024, Acronis International GmbH announced a partnership with Sardina Systems, a British software company, to launch Acronis’ Backup Solution on FishOS Ceph, offering comprehensive data protection and cost-effective storage. This integrated solution provides scalable, secure, and efficient backup options with expert management, enhancing infrastructure resilience and optimizing performance for businesses.
Based on the Analysis presented in the KBV Cardinal matrix; Microsoft Corporation are the forerunners in the Cloud Backup Market. Companies such as Google LLC, Amazon Web Services, Inc., IBM Corporation are some of the key innovators in Cloud Backup Market. In May, 2023, Google LLC signed a integration partnership with Cohesity, an American IT company. The combination of Cohesity’s capabilities and Google Cloud’s Vertex AI—a fully managed ML platform—would allow users to gain new insights from their secured data.
If an organization’s local network is compromised by malware or other threats, they can access their cloud backups remotely, restoring operations without delay. This offsite protection is critical for businesses that must ensure business continuity, especially in healthcare, finance, and government sectors, where data loss can have severe regulatory, legal, or financial consequences. Hence, as cyberattacks become more frequent and sophisticated, the demand for cloud backup services continues to grow.
Additionally, employees can restore data quickly after accidental deletions or system failures, minimizing downtime and ensuring the business can continue operating smoothly despite technical difficulties. This capability supports the ongoing trend of remote and hybrid work models, which are increasingly becoming the norm in many industries. Thus, these changes in the workforce, along with rapid digitalization, are accelerating the demand for cloud backup solutions.
Latency issues affect data transfer speed, the overall user experience, and operational efficiency. If users experience significant delays in accessing or transferring data across domains, it can lead to frustration, decreased productivity, and potential operational errors. These delays can have severe consequences in critical sectors, such as emergency response or healthcare, where every second counts. Thus, data transfer and latency issues are hampering the market's growth.
The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The above illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies in order to cater demand coming from the different industries. The key developmental strategies in the market are Partnerships & Collaborations.
Based on component, the market is bifurcated into solutions and services. The solutions segment garnered 62% revenue share in the cloud backup market in 2023. As organizations continue to generate massive volumes of data from digital operations, Internet of Things (IoT) devices, and cloud computing, they require robust backup solutions to manage this data efficiently.
On the basis of solutions, the market is classified into primary storage, disaster recovery, and backup storage. The disaster recovery segment recorded 33% revenue share in the cloud backup market in 2023. Organizations are investing significantly in disaster recovery solutions to ensure the quick restoration of critical data as the frequency of cyberattacks, natural disasters, and system failures continues to rise.
By deployment, the market is divided into public cloud, private cloud, and hybrid cloud. The hybrid cloud segment garnered 20% revenue share in the market in 2023. The growth of this segment is driven by businesses that seek to balance the benefits of both public and private clouds.
Based on enterprise size, the market is segmented into SMEs and large enterprises. The large enterprises segment procured 68% revenue share in the market in 2023. They are increasingly adopting cloud solutions to support their digital transformation strategies.
On the basis of service providers, the market is divided into cloud, telecom & communication, managed, and others. The managed segment witnessed 29% revenue share in the market in 2023. Managed service providers (MSPs) are able to assist businesses who do not possess the necessary knowledge or internal resources to operate their cloud backup infrastructure.
By end use, the market is segmented into BFSI, healthcare, retail & e-commerce, IT & ITeS, manufacturing, and others. The BFSI segment garnered 24% revenue share in the market in 2023. This dominance is due to the industry's critical need for secure and reliable data protection, driven by stringent regulatory requirements such as GDPR and PCI-DSS and the increasing frequency of cyberattacks targeting financial institutions.
Free Valuable Insights: Global Cloud Backup Market size to reach USD 24.1 Billion by 2031
Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The Asia Pacific segment witnessed 28% revenue share in the market in 2023. The rapid digitalization of economies across countries such as China, India, Japan, and South Korea, coupled with the increasing penetration of cloud services, has contributed to the strong growth of cloud backup adoption in this region.
The cloud backup market is highly competitive, with major players like Amazon Web Services, Microsoft Azure, and Google Cloud dominating. Key attributes driving competition include data security, scalability, and cost-effectiveness. Providers differentiate themselves through advanced features such as automated backups, integration with other cloud services, and compliance with industry regulations. Market growth is fueled by increasing data volumes, the need for disaster recovery, and the shift towards cloud-based solutions.
| Report Attribute | Details |
|---|---|
| Market size value in 2023 | USD 4.5 Billion |
| Market size forecast in 2031 | USD 24.1 Billion |
| Base Year | 2023 |
| Historical Period | 2020 to 2022 |
| Forecast Period | 2024 to 2031 |
| Revenue Growth Rate | CAGR of 24% from 2024 to 2031 |
| Number of Pages | 343 |
| Number of Tables | 643 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Competitive Landscape, Market Share Analysis, Porter’s 5 Forces Analysis, Company Profiling, Companies Strategic Developments, SWOT Analysis, Winning Imperatives |
| Segments covered | Component, Enterprise Size, Deployment, Service Providers, End Use, Region |
| Country scope |
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| Companies Included | Acronis International GmbH, Amazon Web Services, Inc. (Amazon.com, Inc.), Asigra Inc., Backblaze, Inc., Dropbox, Inc., IDrive Inc., IBM Corporation, Microsoft Corporation, Open Text Corporation and Google LLC |
By Component
By Enterprise Size
By Deployment
By Service Providers
By End Use
By Geography
This Market size is expected to reach $24.1 billion by 2031.
Rising incidents of cybersecurity threats are driving the Market in coming years, however, High initial setup and subscription costs restraints the growth of the Market.
Acronis International GmbH, Amazon Web Services, Inc. (Amazon.com, Inc.), Asigra Inc., Backblaze, Inc., Dropbox, Inc., IDrive Inc., IBM Corporation, Microsoft Corporation, Open Text Corporation and Google LLC
The expected CAGR of this Market is 24% from 2024 to 2031.
The Large Enterprises segment is leading the Market by Enterprise Size in 2023; thereby, achieving a market value of $16.3 billion by 2031.
The North America region dominated the Market by Region in 2023, and would continue to be a dominant market till 2031; thereby, achieving a market value of $8.1 billion by 2031.
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