Cloud Backup Market Size, Share Global Analysis Report, 2023 – 2030

Industry Insights

[229+ Pages Report] According to Facts and Factors, the global cloud backup market size was valued at USD 4.56 billion in 2022 and is predicted to surpass USD 24.65 billion by the end of 2030. The cloud backup industry is expected to grow by a CAGR of 23.26%.

Market Overview

Cloud backup refers to the process of backing up the data to cloud-based servers instead of storing it on physical hardware. Cloud backup helps businesses to access their data from anywhere across the world with the help of an internet connection. Cloud backup solutions offer scalability to help users manage their storage space on the basis of their requirements.

However, this flexibility is highly advantageous to businesses with fluctuating data storage needs. Also, businesses can automate their backup schedules for the regular backup of the data without any manual intervention, which further helps save time for the businesses and yet maintain the most up-to-date copies of the files.

Key Insights

• As per the analysis shared by our research analyst, the global cloud backup market size is estimated to grow annually at a CAGR of around 23.26% over the forecast period (2023-2030).
• In terms of revenue, the global cloud backup market size was valued at around USD 4.56 billion in 2022 and is projected to reach USD 24.65 billion by 2030.
• Business continuity and disaster recovery requirements are driving the growth of the global cloud backup market.
• Based on the end users, the IT and telecom sector segment is growing at a high rate and is projected to dominate the global market.
• Based on the organization size, the large enterprises segment is projected to swipe the largest market share.
• Based on the deployment model, the hybrid cloud segment is expected to swipe the largest share of the market.
• Based on the service provider, the cloud service provider segment accounts for the largest share of the global market.
• Based on the components, the solution segment is predicted to grow exponentially in the global market.
• Based on region, North America is expected to dominate the global market during the forecast period.           

Growth Drivers

• Business continuity and disaster recovery requirements are driving the growth of the global market.

Organizations are raising their business continuity and disaster recovery planning, which is a major reason for the high growth rate of the global cloud backup market. Cloud backup solutions have a cost-effective and reliable option to back up critical and sensitive data and then quickly restore the data again in case of data loss or catastrophic incidents.

Moreover, the rising trend of remote working has significantly propelled the adoption rate of cloud-based solutions. Cloud-based solutions facilitate easy cloud backup, thereby helping employees generate data from different geological locations. For instance, UiPath said to partner with Microsoft to offer high-quality automation experiences and interfaces between two key partners. Microsoft Azure is the partnered platform for UiPath.

Restraints

• Security concerns are likely to hamper the growth of the global market.

The rising concerns regarding the security of stored data are expected to slow down the growth of the cloud backup industry. However, vendors are coming up with advanced solutions to avoid data breaches and compliance challenges. However, the perception of people over the reduced control of sensitive or important data further hinders the adoption of cloud backup services.

Opportunities

• Digital transformation is expected to foster growth opportunities in the global market.

The massive amount of data generated by businesses across different industries is driving the demand for scalable data backup solutions. Cloud backup services are offering flexibility to businesses to accommodate the huge amount of data generated with the digital transformation across the globe.

For instance, Blackblaze Inc. revealed its collaboration with Veritas in July 2022 to include B2 Cloud storage with the company’s executive members who synchronize their data backup via Backup Exec.

Challenges

• Cost pricing model is a big challenge in the global market.

Cloud backup solutions are seen as a cost-effective solution, but the high pricing deter the price-sensitive consumers. Moreover, the unforeseen cost associated with data transfer and storage discourages businesses from adopting the cloud backup solution, thereby limiting the growth of the global cloud backup market.

Segmentation Analysis

The global cloud backup market can be segmented into end-user, organization size, deployment model, service provider, components, and region.

By end-user, the market can be segmented into energy, education, consumer goods & retail healthcare & life sciences, IT & telecom manufacturing, public sector, BFSI, and others. The IT and telecom segment accounts for the largest share of the global market. The IT and telecom sector deals with a huge amount of data like networking configuration and customer information.

Therefore, managing such a massive amount of data with efficiency and security against data loss or any disaster is a primary concern, which is a major reason for the high growth rate of the segment. Moreover, the IT telecom companies work 24×7, which means even a short downtime can result in huge financial losses. Therefore, cloud backup has emerged as a significant solution as it helps enable swift data recovery in case of cyber-attack or system failure.

By organization size, the market can be segmented into large enterprises and small & medium enterprises. The large enterprises segment is expected to observe notable developments in the cloud backup industry. Large enterprises have a wide scale of operations, and therefore, there is a huge requirement for cloud backup solutions to increase capability and help companies protect their extensive data assets.

Most of the organizations hold a global presence and have their offices operating in different geo-locations. Therefore, these companies require a centralized data management and backup system to ensure the data protection policies across their global footprint.

By deployment model, the market can be segmented into private, public, and hybrid cloud. The hybrid cloud segment is anticipated to grow with a high CAGR during the forecast period. The hybrid cloud architecture helps companies with a framework for disaster recovery and business continuity.

Also, hybrid cloud solutions assist companies in balancing the private cloud services and on-premise infrastructure. This flexibility offers scalability of IT resources as required by the staff.

By service providers, the market can be segmented into cloud service providers, telecom & communication service providers, managed service providers, and others. The cloud service provider segment is forecasted to exhibit a high growth rate in the global cloud backup market in the forthcoming years.

Businesses all across the globe are adopting cloud computing to optimize cost, scale up their operations, and improve agility. The digital revolution across industries is one of the major reasons for the high demand for cloud services.

By component, the market can be segmented into services and solutions. The solution segment is predicted to grow exponentially in the forthcoming years. The rising trend of remote work, digital transformation, and scalability in IT infrastructure are the primary drivers of the growth of the segment.

Also, the cloud service providers and solutions help vendors to work continuously and diversify their offerings, which in turn is also expected to foster growth opportunities in the coming years.

Report Scope

Regional Analysis

• North America to dominate the global market.

North America accounts for the largest share of the global cloud backup market because the region is a major contributor to the industry. The region's growth is driven by the high adoption rate of cloud services in different sectors.

Moreover, the rising trend of prioritizing data security and resilience in business is further accentuating the demand in the region. The high value of data generated by businesses in the region is fostering a huge demand for protection disaster recovery solutions. Businesses are increasingly relying on cloud-based solutions for their data storage and backup requirements.

Moreover, the increasing concerns regarding data security and compliance also play a vital role in the high adoption rate of cloud solutions. Vendors in the region are coming up with advanced solutions to address these concerns by improving the security features, thereby ensuring compliance with industry standards.

Also, the diverse industry verticals ranging from healthcare & finance to IT are actively looking forward to safeguarding critical data. Therefore, in order to offer scalability and flexibility to these thriving businesses, vendors are offering unique value proposition solutions to swipe a larger market area in the region.

Asia Pacific is likely to witness a steady growth rate in the global market due to the high adoption rate of cloud technologies in the region. Increasing industrialization and urbanization are helping businesses identify the advantages associated with the cloud backup solution for disaster recovery, data protection, and business continuity.

Moreover, the cloud service providers in the region are innovating unique solutions to cater to the diverse requirements of regional and local players across Asia Pacific.

Competitive Analysis

The key players in the global cloud backup market include:

• Unitrends (acquired by Kaseya) 
• Arcserve 
• Nutanix 
• Rubrik 
• Veritas Technologies 
• Blackblaze 
• Carbonite (acquired by OpenText) 
• Commvault 
• Veeam 
• Dell EMC 
• IBM Cloud 
• Google Cloud Platform (GCP) 
• Microsoft Azure 
• Amazon Web Services (AWS)

For instance, IBM and Tietoevry came up with consultation cooperation in October 2022 for its financial technology software subsidiary Tietoevry Banking to help businesses in offering secure payments to banks globally.

The global cloud backup market is segmented as follows:

By End-User Segment Analysis

• Energy
• Education
• Consumer Goods & Retail
• Healthcare & Life Sciences
• IT & Telecom
• Manufacturing
• Public Sector
• BFSI
• Others

By Organization Size Segment Analysis

• Large Enterprises
• Small And Medium Enterprises

By Deployment Model Segment Analysis

• Private
• Public
• Hybrid Cloud

By Service Provider Segment Analysis

• Cloud Service Providers
• Telecom & Communication Service Providers
• Managed Service Providers
• Others

By Components Segment Analysis

• Services
• Solutions

By Regional Segment Analysis

• North America
  • The U.S.
  • Canada
  • Mexico
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • Australia
  • Southeast Asia
  • Rest of Asia Pacific
• The Middle East & Africa
  • Saudi Arabia
  • UAE
  • Egypt
  • Kuwait
  • South Africa
  • Rest of the Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America