Cloud Storage Market Will Surpass $74.94Bn by 2021- Report

The report "Cloud Storage Market is estimated to grow from USD 23.76 Billion in 2016 to USD 74.94 Billion by 2021, at a CAGR of 25.8% from 2016 to 2021, according to a report by marketsandmarkets

The major vendors providing cloud storage solutions and services are Amazon Web Services (Seattle, Washington, U.S.); IBM Corporation (Armonk, New York, U.S.); Microsoft Corporation (Redmond, Washington, U.S.); VMware Inc. (Palo Alto, California, U.S.); HP Enterprise Company (Palo Alto, California, U.S.); Google Inc. (Mountain View, California, U.S.); Oracle Corporation (Redwood City, California, U.S.); EMC Corporation (Hopkinton, Massachusetts, U.S.); Rackspace Hosting, Inc. (San Antonio, Texas, U.S.); and Dropbox, Inc. (San Francisco, California, U.S.).

The key forces driving the cloud storage market include the increasing adoption of hybrid cloud storage, growing need for enterprise mobility, and need for easy deployment of cloud storage solutions.

Cloud storage solutions also provide scalability and flexibility to scale up or scale down the storage capacity.

With the increase in the adoption rate of cloud storage among Small and Medium Enterprises (SMEs), the cloud storage market is expected to gain major traction during the forecast period.

Cloud storage gateway solution is expected to grow at the highest CAGR during the forecast period

The cloud storage gateway solution has gained importance over the years owing to its easy integration into the existing infrastructure of the enterprises. This solution provides additional features such as encryption, compression, and de-duplication to make effective use of the available network bandwidth and transfer data rapidly on cloud.

Managed services segment is expected to grow at the highest rate during the forecast period

Among services, the managed services segment is expected to grow at the highest rate in the cloud storage market during the forecast period.

Managed services allow enterprises to focus on their core businesses, service quality, and better end user experience while delivering optimized and quality IT services.

Managed Service Providers (MSPs) offer remote management and monitoring of IT infrastructure of the end user under a subscription model.

Therefore, enterprises are increasingly opting for managed services to overcome the challenges of budget constraints and technical expertise as MSPs have specialized resources, infrastructure, and industry certifications.

North America is expected to contribute the largest market share; Asia-Pacific (APAC) to grow the fastest

North America is expected to hold the largest market share and dominate the cloud storage market from 2016 to 2021 owing to large investments in cloud-based solutions, early adoption of new & emerging technologies, and high internet penetration.

The APAC region is in the initial growth phase; however, it is the fastest-growing region for the global cloud storage market.

The key reasons for the high growth rate in APAC are growing demand for hybrid cloud storage, increasing need for enterprise data storage, and rising cloud-based applications.