“Global Virtual Client Computing Software Market to reach a market value of USD 40.3 Billion by 2031 growing at a CAGR of 12.2%”
The Global Virtual Client Computing Software Market size is expected to reach $40.3 billion by 2031, rising at a market growth of 12.2% CAGR during the forecast period.
The North America region witnessed 39% revenue share in this market in 2023. This dominance reflects the region's strong adoption of advanced technologies, driven by businesses' increasing focus on enhancing operational efficiency, security, and remote work capabilities. North America, particularly the United States, is home to many large enterprises rapidly embracing virtual desktop infrastructure (VDI) and other virtual client computing solutions to support a distributed workforce.
The major strategies followed by the market participants are Product Launches as the key developmental strategy to keep pace with the changing demands of end users. For instance, In August, 2023, VMware, Inc. unveiled advanced AI integrations to its Anywhere Workspace platform, part of the VMware Cross-Cloud service portfolio. The platform integrates virtual desktop infrastructure and apps, digital employee experience (DEX), unified endpoint management (UEM), and security, enabling a secure and seamless workspace on any location or device. VMware also announced an agreement with Intel through the cloud-native integration of the former's Workspace ONE with the Intel vPro chip. This allows secure and convenient management of work devices completely from the cloud without needing any additional infrastructure. Moreover, In October, 2024, Microsoft Corporation unveiled Azure ND H200 v5 VMs, designed for scalable, high-performance AI solutions. Featuring eight NVIDIA H200 Tensor Core GPUs, 141GB of High Bandwidth Memory (HBM), and 4.8 TB/s bandwidth, they enhance efficiency, reduce latency, and support more complex models, driving adoption across AI services.
Based on the Analysis presented in the KBV Cardinal matrix; Microsoft Corporation is the forerunner in the Virtual Client Computing Software Market. In February, 2024, Microsoft Corporation, an IT company, has launched Azure virtual machines in all Azure for China regions, including China East, China East 2, China East 3, China North, China North 2, and China North 3. Using Azure VMs allows users to improve security by starting up in a known and trusted environment, and it helps reduce persistent malware such as boot kits and rootkits. Companies such as VMware, Inc., Cisco Systems, Inc., and Amazon Web Services, Inc. are some of the key innovators in Virtual Client Computing Software Market.
The global shift toward remote work, driven by the COVID-19 pandemic and ongoing workforce trends, has increased demand for solutions supporting remote work and workforce mobility. This software enables employees to access their desktops, applications, and data from anywhere, on any device, which is essential for businesses transitioning to a hybrid or fully remote workforce model. Thus, increasing demand for remote work solutions and workforce mobility drives the market's growth.
Additionally, The increased demand for scalable IT infrastructure for dynamic workloads is a key driver for the growth of this market. As businesses increasingly adopt hybrid and remote work models, they require IT solutions that can scale quickly to meet fluctuating demands. Virtual client computing allows companies to provision and adjust virtual desktops and applications on demand, ensuring that they can handle peak usage periods, such as during product launches or seasonal surges, without the need for large upfront investments in hardware. Hence, increased demand for scalable IT infrastructure for dynamic workloads propels the market's growth.
However, One of the significant barriers to adopting this software, particularly for small and medium-sized enterprises (SMEs), is the high initial investment required for deployment. Setting up a virtualized environment typically involves significant costs, such as purchasing software licenses, cloud infrastructure, and related hardware. These upfront expenses can be prohibitive for SMEs, which often operate with tighter budgets, especially when they already face financial constraints in other areas of their operations. Thus, high initial investment and setup costs for SMEs impede 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 Product Launches and Product Expansions.
Based on component, the virtual client computing software market is divided into solution and service. In 2023, the service segment attained 33% revenue share in this market. This substantial share underscores the importance of support, maintenance, consulting, and integration services in the market. Services are essential for the optimal functioning and management of virtual client computing environments, ensuring businesses can effectively implement and operate their virtual solutions.
By end use, the virtual client computing software market is divided into IT & telecom, government, BFSI, healthcare, media & entertainment, manufacturing, retail, and others. The manufacturing segment procured 21% revenue share in this market in 2023. The adoption of virtual client computing solutions in manufacturing is driven by the need to enhance operational efficiency, streamline production processes, and support remote access to industrial systems.
On the basis of enterprise size, the virtual client computing software market is segmented into large enterprises and SMEs. In 2023, the SMEs segment attained 36% revenue share in this market. SMEs represents a notable portion of the market, indicating the growing interest in and adoption of virtual client computing solutions among small and medium-sized enterprises. In addition, SMEs are increasingly recognizing the value of virtual client computing for improving operational efficiency, reducing IT costs, and providing secure remote work capabilities.
Based on deployment mode, the virtual client computing software market is categorized into hosted and on-premise. The on-premise segment witnessed 27% revenue share in this market in 2023. On-premise continues to appeal to organizations that prioritize control over their IT infrastructure. These businesses prefer to manage their virtual client computing environments internally, often due to concerns about data security, compliance requirements, or specific operational needs.
Free Valuable Insights: Global Virtual Client Computing Software Market size to reach USD 40.3 Billion by 2031
In the Virtual Client Computing Software Market, competition among smaller and niche players is intense. Companies focus on differentiated offerings, such as enhanced security features, flexible deployment options, and specialized support for specific industries. Innovative start-ups and regional firms are increasingly leveraging AI and cloud technologies to carve out unique positions, seeking to attract organizations needing tailored solutions at competitive prices.
Region-wise, the virtual client computing software market is analyzed across North America, Europe, Asia Pacific, and LAMEA. In 2023, the Europe region generated 30% revenue share in this market in 2023. The growing demand for virtual client computing solutions in Europe is driven by businesses seeking to improve flexibility, reduce IT costs, and enhance security, especially in response to the rise of remote work trends. Large and small European enterprises increasingly adopt VDI and cloud-based solutions to streamline operations and ensure business continuity.
Report Attribute | Details |
---|---|
Market size value in 2023 | USD 16.8 Billion |
Market size forecast in 2031 | USD 40.3 Billion |
Base Year | 2023 |
Historical Period | 2020 to 2022 |
Forecast Period | 2024 to 2031 |
Revenue Growth Rate | CAGR of 12.2% from 2024 to 2031 |
Number of Pages | 415 |
Number of Tables | 653 |
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, Deployment Mode, Enterprise Size, End Use, Region |
Country scope |
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Companies Included | Microsoft Corporation, Dell Technologies, Inc., VMware, Inc. (Broadcom Inc.), Cisco Systems, Inc., Amazon Web Services, Inc. (Amazon.com, Inc.), Hewlett Packard Enterprise Company, Nutanix, Inc., Hitachi Vantara LLC (Hitachi Ltd.), Parallels Inc. (Cascade Parent Limited), and Citrix Systems, Inc. (Cloud Software Group, Inc.) |
By Enterprise Size
By Deployment Mode
By Component
By End Use
By Geography
This Market size is expected to reach $40.3 billion by 2031.
Increasing Demand For Remote Work Solutions And Workforce Mobility are driving the Market in coming years, however, High Initial Investment And Setup Costs For Smes restraints the growth of the Market.
Microsoft Corporation, Dell Technologies, Inc., VMware, Inc. (Broadcom Inc.), Cisco Systems, Inc., Amazon Web Services, Inc. (Amazon.com, Inc.), Hewlett Packard Enterprise Company, Nutanix, Inc., Hitachi Vantara LLC (Hitachi Ltd.), Parallels Inc. (Cascade Parent Limited), and Citrix Systems, Inc. (Cloud Software Group, Inc.)
The expected CAGR of this Market is 12.2% from 2024 to 2031.
The Solution segment led the maximum revenue in the Market by Component in 2023, thereby, achieving a market value of $26.2 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 $14.9 billion by 2031.
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