“Global Cloud Migration Services Market to reach a market value of USD 80.84 Billion by 2031 growing at a CAGR of 24.6%”
The Global Cloud Migration Services Market size is expected to reach $80.84 billion by 2031, rising at a market growth of 24.6% CAGR during the forecast period.
As telecommunications companies look to enhance their infrastructure, optimize data management, and offer new cloud-based services, they are heavily investing in cloud migration services. The demand for 5G technologies and integrating cloud computing with telecom networks drive this market segment’s growth. In 2023, the IT & telecommunications segment registered 21% revenue share in the market. Thus, this sector has grown robustly due to its increasing reliance on cloud technologies to support global networks, improve communication systems, and scale operations.
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 January, 2025, IBM Corporation and SAP SE have partnered to offer enterprises running S/4HANA on Power Systems a streamlined migration path to SAP's RISE cloud platform in as little as 90 days. The solution includes the IBM Transformation Suite and expert services for seamless migration and automation. Additionally, In December, 2024, Hewlett Packard Enterprise Company and Spectro Cloud partnered to launch an "Edge-in-a-box" solution, integrating Spectro Cloud’s Palette Edge Kubernetes management platform with HPE ProLiant DL145 Gen11 server. This solution simplifies the deployment, security, and management of cloud-based applications in distributed, far-edge environments.
Based on the Analysis presented in the KBV Cardinal matrix; Microsoft Corporation and Google LLC are the forerunners in the Cloud Migration Services Market. Companies such as IBM Corporation Accenture PLC and SAP SE are some of the key innovators in Cloud Migration Services Market. In April, 2024, Microsoft Corporation and Cloud Software Group entered an eight-year strategic partnership to enhance Citrix's virtual application platform and cloud solutions. The collaboration focuses on AI, cloud integration, and product development, with a $1.65 billion commitment to Microsoft’s cloud and generative AI capabilities.
Businesses today operate in dynamic environments where demand for computing resources can fluctuate significantly. Traditional on-premise infrastructure often struggles to accommodate sudden spikes in workload or unexpected growth, leading to performance bottlenecks and increased operational costs. Thus, the growing need for scalability and flexibility drives the market's growth.
Additionally, Digital transformation has become a strategic priority for organizations looking to enhance efficiency, agility, and customer engagement. Cloud migration is crucial in this transformation by enabling businesses to modernize their IT infrastructure, integrate emerging technologies, and drive innovation. Companies are leveraging cloud computing to support artificial intelligence (AI), big data analytics, and Internet of Things (IoT) applications, unlocking new growth opportunities. Hence, rising digital transformation initiatives among organizations drive the market's growth.
While cloud migration offers long-term cost benefits, the initial investment can be substantial. Businesses must allocate resources for cloud service subscriptions, migration tools, infrastructure upgrades, and employee training. Hiring skilled IT professionals or partnering with third-party cloud migration service providers adds to the overall cost burden, making it challenging for small and medium-sized enterprises (SMEs) to adopt cloud solutions. In conclusion, cloud migration's high initial costs and complexity are impeding 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 & Agreements.
The service segment is further subdivided into professional services and managed services. In 2023, the professional services segment attained 35% revenue share in the market. This segment includes consulting, advisory, and implementation services provided by experienced firms that assist businesses in navigating the complexities of cloud migration. Professional services are critical in helping organizations plan, execute, and optimize their cloud migration strategies.
On the basis of deployment, the market is segmented into public, private, and hybrid. In 2023, the hybrid segment attained 25% revenue share in the market. Hybrid cloud solutions combine the benefits of both private and public cloud environments, offering organizations flexibility in managing their workloads. Many enterprises are moving to hybrid cloud models to maintain control over sensitive data while leveraging the scalability and cost benefits of the public cloud for other non-sensitive operations.
Based on enterprise size, the market is categorized into large size enterprises and small and medium sized enterprises (SMEs). In 2023, the large size enterprises segment registered 63% revenue share in the market. Large enterprises increasingly migrate to the cloud for enhanced scalability, flexibility, and cost efficiency. With complex infrastructure needs and a global presence, these organizations are adopting cloud solutions to streamline operations, improve collaboration, and manage vast amounts of data.
Based on platform, the market is divided into solution and services. The service segment procured 36% revenue share in the market in 2023. This segment encompasses various services organizations provide as they transition to the cloud, including consulting, implementation, support, and maintenance. The increasing demand for comprehensive cloud migration strategies, along with the complexity of ensuring smooth data migration, system integration, and minimizing downtime, has driven the growth of the service segment.
The solution segment is further subdivided into infrastructure migration, platform migration, database migration, application migration, and storage migration. In 2023, the application migration segment held 16% revenue share in the market. Application migration involves moving software applications to the cloud environment, often focusing on ensuring minimal disruption and maintaining functionality across the cloud infrastructure.
By end-use industry, the market is divided into IT & telecommunications, BFSI, healthcare, government & public sector, manufacturing, automotive, retail & consumer goods, media & entertainment, and others. In 2023, the healthcare segment attained 15% revenue share in the market. The healthcare industry is progressively moving towards cloud-based solutions to improve patient care, enhance data security, and streamline operations.
Free Valuable Insights: Global Cloud Migration Services Market size to reach USD 80.84 Billion by 2031
The cloud migration services market is highly competitive, driven by increasing demand for scalability, cost efficiency, and digital transformation. Numerous providers offer solutions ranging from infrastructure and application migration to managed services, catering to diverse industries. Competition is fueled by technological advancements, security concerns, and the need for seamless cloud integration. Vendors differentiate through automation, AI-driven migration tools, and hybrid cloud capabilities. As businesses shift toward cloud-first strategies, market players focus on innovation, service reliability, and compliance to gain a competitive edge.
Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The Asia Pacific region generated 31% revenue share in the market in 2023. The rapid digitalization of businesses in emerging markets such as India, China, and Southeast Asia primarily drives this growth. As companies in these regions transition from legacy systems to cloud-based solutions, the demand for cloud migration services has surged.
| Report Attribute | Details |
|---|---|
| Market size value in 2023 | USD 14.12 Billion |
| Market size forecast in 2031 | USD 80.84 Billion |
| Base Year | 2023 |
| Historical Period | 2020 to 2022 |
| Forecast Period | 2024 to 2031 |
| Revenue Growth Rate | CAGR of 24.6% from 2024 to 2031 |
| Number of Pages | 397 |
| Number of Tables | 673 |
| 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 | Platform, Enterprise Size, Deployment, End-use Industry, Region |
| Country scope |
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| Companies Included | IBM Corporation, SAP SE, Google LLC (Alphabet Inc.), Amazon Web Services, Inc. (Amazon.com, Inc.), Microsoft Corporation, Hewlett Packard Enterprise Company, Accenture PLC, NTT Data Corporation, Wipro Limited, and Vodafone Group Plc |
By Platform
By Enterprise Size
By Deployment
By End-use Industry
By Geography
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