Cloud Backup Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 5.71 Billion |
| Market Size (2029) | USD 17.29 Billion |
| CAGR (2024 - 2029) | 24.84 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Cloud Backup Market Analysis
The Cloud Backup Market size is estimated at USD 5.71 billion in 2024, and is expected to reach USD 17.29 billion by 2029, growing at a CAGR of 24.84% during the forecast period (2024-2029).
- The primary driver for adopting cloud backup across businesses is the need for agility and flexibility in the face of accelerating innovation and disruptions from competitors due to the increase in cloud adoption across both big and small.
- Key players in the market are increasing investments in cloud technologies. For Instance, Veeam Software has partnered with Microsoft Azure to provide New Veeam Backup, an enterprise-ready cloud backup and recovery solution for Microsoft Azure. The new product will help customers and service providers to migrate more apps and data to Azure and to cost-effectively, securely, and easily protect cloud applications and data in Azure.
- For instance, in April 2023, BETSOL launched Zmanda Endpoint Backup, a cloud-based backup solution for laptop computers and Windows desktops. It is the most recent addition to Zmanda's expanding feature lineup. Zmanda Endpoint Backup provides scalable, cloud-based, centralized management of the entire organization's endpoints. It's simple to deploy and brings the reliability of our proven backup engine.
- Furthermore, data loss is becoming a significant concern across all industries. In one recent survey, around 33% blamed hardware or system failure for data loss, while 29% reported that their companies lost data due to human error or ransomware. It is estimated that up to 93% of organizations that lose servers for 10 days or more during a disaster filed for bankruptcy within the next 12 months, with 43% never reopening. Another industrial survey of the US and Canadian IT professionals using cloud-based data protection services found that while 74% of respondents rely only on the native Microsoft 365 services for backup, only 15% could recover 100% of their data.
- As cyberattacks keep increasing, companies such as Google and Microsoft, among others, are aiming to make their cloud environments more secure. Amazon Web Services (AWS), Microsoft Azure, and Google Cloud have made various acquisitions in the cybersecurity space over the past year. In March 2022, Google acquired Mandiant, a cybersecurity company, for about USD 5.4 billion to provide threat intelligence services to Google Cloud.
- In recent years, cloud adoption has significantly grown. For instance, according to an IBM analysis, a single manufacturing site may generate more than 2,200 terabytes of data in a month. A single production line can generate more than 70 terabytes per day-yet the vast majority of data remains unanalyzed and unprotected. Therefore, companies are moving to cloud storage to secure and utilize this data.
- Furthermore, IBM revealed that 90% of the data was created in the previous two years. Because of the large amount of data generated, there is a rising demand for low-cost data backup/storage across companies. Automated backup, Malware protection, Encrypted cloud storage, File-level Recovery, and Point-in-time Restore, among others, are some trending services in the market.
- However, Cloud backup solutions, on the other hand, are one of the complete tools for defending against cyber-attacks and data breaches. However, if unmanaged, attackers may smoothly infiltrate the backup server's database and utilize it against the user. Hence, privacy and security issues are major hindrances to adopting cloud backup solutions.
- As the cloud backup market sees an increase in use, there has been an explosion in the number of unmanaged risks in the mission-critical digital industry. Cloud Security Posture Management (CSPM) automates cloud security management across the diverse cloud infrastructure. Due to this, there has been an increased acquisition activity in the segment.
- For instance, Google's agreement to buy cybersecurity firm Mandiant for USD 5.4 Billion, announced in March 2022, reflects broad efforts by leading cloud providers to provide enterprises with better protection against a growing set of threats. The deal comes as the Russian invasion of Ukraine further illustrates the need for companies to invest in cybersecurity protections. It also reflects the growth areas of cloud giants. Mandiant's revenue from continuing operations in 2021 was projected to increase by 21% to USD 843 Million, and in 2022, the revenue as an independent company was projected to exceed USD 550 Million.
Cloud Backup Market Trends
BFSI Expected to Exhibit Maximum Adoption
- The banking industry is increasingly embracing digital banking and investing solutions, which is increasing demand for Cloud storage/backup in the BFSI sector. Further, some financial sector businesses are transitioning to cloud technologies to obtain a competitive advantage, enabling innovation, customization, and security.
- Further, Government and private organizations are collaborating with many companies to anticipate new growth opportunities in the market over the next five years. For Instance, UBS and Microsoft Corp have expanded their collaboration to boost UBS's public cloud footprint over the next five years. UBS (multinational investment bank and financial services company) intends to operate more than half of its applications, running on Microsoft Azure, including critical workloads on UBS's primary cloud platform. The partnership furthers UBS's cloud-first strategy and the modernization of its global technology estate.
- For instance, IBM is using a Hybrid Cloud to Help Two European Banking Groups Go Digital. Rural Services Informaticos (RSI), a Spanish banking IT services provider, will increase its digital product and service offerings using hybrid cloud technology and industry expertise from IBM and Red Hat to boost its digital products and service offerings through a Cloud Office platform. Hence, many vendors are investing money in hybrid cloud solutions to eliminate the need to manage hosts, maintain, update, and scale service operations. These developments are projected to increase the usage of cloud backup solutions in the BFSI sector.
- Furthermore, the growing number of data breaches in the banking sector is driving banks to use cloud backup solutions that will allow them to recover from any disaster. Public cloud solutions provide an enhanced backup resource to ensure business continuity despite a disaster.
- The growing trends for cloud-based real-time payment solutions can be attributed to their flexibility in providing real-time payment insights to retailers. The growing adoption of digital payment methods in BFSI globally is anticipated to drive market growth over the next five years. According to an IBM survey on Cloud usage by organizations, Microsoft Azure has the highest percentage of 56% of cloud usage in the last year.
North America Expected to Dominate the Market
- With the early adoption of technologies across various end-user verticals and the presence of market leaders in the region, North America stood as the leading regional market and is expected to continue its dominance throughout the forecast period. Also, early adoption of new technologies, considerable investments in R&D for cloud-based solutions, and enhanced IT infrastructure are expected to drive market growth further.
- The United States is anticipated to occupy a crucial portion of the demand for cloud-based storage/backup solutions over the next five years. A significant driver behind the investments in the market is the continuous evolution and application of new technologies to unlock volumes that were previously considered non-commercial. With a series of investments across healthcare, retail, communications, and manufacturing applications in the country, the market for cloud-based solutions is expected to witness significant growth over the next five years.
- The country has made multiple efforts to modernize its infrastructure. To achieve this, the US Army planned to spend up to USD 249 million to deploy private cloud computing services and data centers. General Dynamics, HP, and Northrop Grumman were among the service providers selected for the Army Private Cloud contract, providing cloud computing services to consolidate data centers using a secure private cloud.
- In the United States, the adoption of cloud-based computing is increasing rapidly, owing to which the data centers in the country are also witnessing an increase. According to Credit Suisse, the United States currently accounts for the highest number of hyperscale data centers worldwide, holding more than one-third of the total hyperscale data centers in the country.
- Furthermore, the rise in government initiatives within the region is also helping the market to grow considerably throughout the forecast period. According to the US Office of Management and Budget, For the 2023 fiscal year, the U.S. federal government allocated around 24.4 billion U.S. dollars for major federal IT investments. The total amount of spending on IT is expected to amount to some 87.4 billion U.S. dollars in 2023. Further, According to Government Technology Agency (Singapore), The Singapore government intended to spend SGD 3.8 billion on information and communications technologies in the fiscal year 2022. Such huge IT spending by the government agencies would create an opportunity for the cloud solution providers to develop new solutions to cater various needs of the government bodies.
- Moreover, the government of Canada has adopted a "cloud-first" strategy, whereby cloud services are identified and estimated as the principal delivery option when initiating information technology investments, initiatives, strategies, and projects. The cloud will also let the government harness the innovation of private-sector providers and thus make its information technology more agile. Such initiatives are expected to offer plenty of opportunities to the cloud backup market, as this model enables private cloud security and public cloud flexibility.
Cloud Backup Industry Overview
The Cloud Backup Market's competitive landscape could be more cohesive due to the presence of several global market players. The increasing adoption of cloud computing for data storage and a massive increase in data generation is expected to boost the market. Hence, market players such as Dell EMC, IBM Corporation, Backblaze Inc., and Barracuda Networks, Inc. are making several innovations to provide enhanced solutions in the market compared to their peers and gain maximum market traction.
- November 2023: Samsung Electronics Co., Ltd. announced the global rollout of Temporary Cloud Backup, a secure and easy way to save and transfer important data. In situations where Samsung Galaxy users may experience anxiety about losing their data, including photos, videos, and private files, this feature is designed to provide comfort and reassurance. It highlights Samsung’s continued commitment to delivering powerful, connected experiences that help make users’ lives easier.
- November 2023: Acronis, a global player in cyber protection, and Sourcepass, Inc. have announced their official partnership with the Philadelphia 76ers. The partnership will enhance the NBA team'steam's data backup strategy using Acronis'Acronis' advanced technology solutions to protect critical data and systems.The collaboration involving Sourcepass, the Philadelphia 76ers, and Acronis, represents a momentous achievement in Acronis' TeamUp mission to equip professional sports teams with world-class data hybrid cloud backup
Cloud Backup Market Leaders
Dell EMC
IBM Corporation
Backblaze Inc.
Barracuda Networks, Inc.
Microsoft Corporation
*Disclaimer: Major Players sorted in no particular order
Cloud Backup Market News
- August 2023: Oracle announced the new Oracle Cloud for Australian Government and Defense in Canberra to meet rapidly growing global demand from public sector organizations. Offering over 100 services, the new region is a complete and highly secure hyperscale cloud platform that permits consumers to build and run applications. It is physically separated from Oracle’s other government and public cloud regions. It shares no backbone connections, including the existing Sydney and Melbourne general regions available to all Oracle Cloud customers. The completed IRAP assessment at the PROTECTED level assures Australian public sector institutions that Oracle Cloud for the Australian Government and Defense adheres to appropriate security controls
- June 2023: Impossible Cloud, the revolutionary cloud platform that offers decentralized, multi-service cloud solutions, reported the launch of its Partner Program, designed to enable partners and resellers to seamlessly implement, demo, and integrate Impossible Cloud’s efficient, performance-driven solutions into enterprise environments. The firm also reported global backup solutions providers as alliance partners. These include Comet Backup, an inaugural partner, as well as Acronis. Customers can now seamlessly utilize these companies’ fast, secure backup software with Impossible Cloud’s S3-compatible storage to safeguard data, ensure business continuity, and prepare for emergencies.
Cloud Backup Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Industry Attractiveness - Porter's Five Forces Analysis
4.2.1 Bargaining Power of Suppliers
4.2.2 Bargaining Power of Buyers/Consumers
4.2.3 Threat of New Entrants
4.2.4 Threat of Substitute Products
4.2.5 Intensity of Competitive Rivalry
4.3 Assessment of the Impact of COVID-19 on the Industry
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Massive Growth in Data Generation Stimulating the Demand for Larger Storage Space at Low Cost
5.1.2 Increasing Adoption of SaaS and Other Similar Solutions
5.1.3 Increasing Adoption of Cloud Computing Amongst Enterprises
5.2 Market Challenges
5.2.1 Government Regulations and Compliance
5.2.2 Privacy and Security Concerns regarding Cloud Storage
6. MARKET SEGMENTATION
6.1 By Component
6.1.1 Solution
6.1.2 Services
6.2 By Deployment Mode
6.2.1 Public Cloud
6.2.2 Private Cloud
6.2.3 Hybrid Cloud
6.3 By End-user Industry
6.3.1 BFSI
6.3.2 IT and Telecom
6.3.3 Media and Entertainment
6.3.4 Retail
6.3.5 Healthcare
6.3.6 Other End-user Industries
6.4 By Geography
6.4.1 North America
6.4.2 Europe
6.4.3 Asia-Pacific
6.4.4 Latin America
6.4.5 Rest of the World
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles*
7.1.1 IBM Corporation
7.1.2 Dell EMC
7.1.3 Backblaze Inc.
7.1.4 Acronis International GmbH
7.1.5 Arcserve LLC
7.1.6 Rubrik
7.1.7 Veritas Technologies
7.1.8 Barracuda Networks Inc.
7.1.9 Carbonite Inc.
7.1.10 Commvault Systems Inc.
7.1.11 Cohesity Inc.
8. INVESTMENT ANALYSIS
9. FUTURE OF THE MARKET
Cloud Backup Industry Segmentation
Digital transformation is being embraced rapidly across organizations, increasing the demand for increasingly scalable and affordable backup and recovery solutions. Cloud backup provides a backup solution for the data and applications via a network or an internet connection to a physical or a virtual backup server, usually operated by a company, a hosting provider, or a cloud services provider.
The Cloud Backup and Recovery Market report is segmented by component (solution and services), deployment mode (public cloud, private cloud, and hybrid cloud), end-user industry (BFSI, IT & telecom, media & entertainment, retail, and healthcare), and Geography (North America, Europe, Asia Pacific, Latin America, and Rest of the World). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
| By Component | |
| Solution | |
| Services |
| By Deployment Mode | |
| Public Cloud | |
| Private Cloud | |
| Hybrid Cloud |
| By End-user Industry | |
| BFSI | |
| IT and Telecom | |
| Media and Entertainment | |
| Retail | |
| Healthcare | |
| Other End-user Industries |
| By Geography | |
| North America | |
| Europe | |
| Asia-Pacific | |
| Latin America | |
| Rest of the World |
Cloud Backup Market Research FAQs
How big is the Cloud Backup Market?
The Cloud Backup Market size is expected to reach USD 5.71 billion in 2024 and grow at a CAGR of 24.84% to reach USD 17.29 billion by 2029.
What is the current Cloud Backup Market size?
In 2024, the Cloud Backup Market size is expected to reach USD 5.71 billion.
Who are the key players in Cloud Backup Market?
Dell EMC, IBM Corporation, Backblaze Inc., Barracuda Networks, Inc. and Microsoft Corporation are the major companies operating in the Cloud Backup Market.
Which is the fastest growing region in Cloud Backup Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Cloud Backup Market?
In 2024, the North America accounts for the largest market share in Cloud Backup Market.
What years does this Cloud Backup Market cover, and what was the market size in 2023?
In 2023, the Cloud Backup Market size was estimated at USD 4.29 billion. The report covers the Cloud Backup Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Cloud Backup Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Cloud Backup Industry Report
Statistics for the 2024 Cloud Backup market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Cloud Backup analysis includes a market forecast outlook for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
