Disaster Recovery As A Service Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

The Disaster Recovery As A Service Market is Segmented by Service Type (Fully Managed, Assisted, and More), Deployment Model (Public Cloud, Private Cloud, and More), Service Component (Backup and Recovery, Real-Time Replication, and More), Organization Size (Large Enterprises, Small and Medium Enterprises), End-User Vertical (BFSI, IT and Telecom, and More), and Geography. The Market Forecasts are Provided in Terms of Value (USD).

Disaster Recovery As A Service (DRaaS) Market Size and Share

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Disaster Recovery As A Service (DRaaS) Market Analysis by Mordor Intelligence

The Disaster Recovery as a Service market stands at USD 13.7 billion in 2025 and is forecast to reach USD 24.05 billion by 2030, expanding at an 11.91% CAGR. A steep rise in ransomware, expanding regulatory mandates, and a strategic tilt toward cloud-first infrastructure are reshaping corporate continuity programs and fueling demand for cloud-native recovery offerings. Enterprises now require rapid, automated failover to keep operations running during an attack; traditional tape or disk backups no longer satisfy risk committees or boards. Growing cyber-insurance clauses that insist on tested recovery plans further tighten the link between premiums and mature DRaaS adoption. At the same time, the subscription model lowers capital outlays, enabling both large enterprises and SMEs to access enterprise-grade resilience. Vendors now compete on orchestration intelligence, multi-cloud reach, and sustainability credentials, because organizations evaluate providers on both operational and environmental performance.

Key Report Takeaways

  • By service type, Fully Managed solutions held 47.20% of Disaster Recovery as a Service market share in 2024, while Self-Service options are projected to climb at a 12.40% CAGR through 2030.
  • By deployment model, Public Cloud deployments led with 58.10% revenue share in 2024; Hybrid/Multi-Cloud is the fastest-growing configuration at a 14.60% CAGR to 2030.
  • By service component, Backup and Recovery accounted for 38.70% of Disaster Recovery as a Service market size in 2024, whereas Orchestration and Automation is advancing at 13.40% CAGR.
  • By organization size, Large Enterprises controlled 63.70% of Disaster Recovery as a Service market size in 2024; SMEs are expanding at a 15.20% CAGR through 2030.
  • By end-user vertical, BFSI retained the largest share at 24.30% in 2024, and Healthcare & Life Sciences is accelerating at a 16.10% CAGR to 2030.
  • By geography, North America commanded 39.80% market share in 2024, while Asia-Pacific is the fastest-growing region at 14.80% CAGR through 2030.

Segment Analysis

By Service Type: Managed services drive market maturity

Fully Managed offerings controlled 47.20% of Disaster Recovery as a Service market share in 2024 on the back of enterprise demand for turnkey orchestration, monitoring, and compliance reporting. Customers lean on providers for multi-cloud engineering and 24×7 recovery execution, activities that would otherwise balloon internal headcount. Self-Service options, though lean on assistance, post a 12.40% CAGR because SMEs prefer configurable portals that balance autonomy with cost. Assisted models sit between both ends, suiting mid-market firms that own some cloud skills yet still need run-book support.

Managed service momentum underscores a broader reality: resilience now spans infrastructure, applications, and regulatory proof. Vendors like HYCU, which scored a 91 NPS in 2025, showcase how service depth and customer experience trump feature parity. As a result, the Disaster Recovery as a Service market will likely witness sharper service-quality segmentation, where premium support tiers justify higher annual-recurring-revenue multiples, while commodity self-service tiers chase price-sensitive niches.

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Note: Segment shares of all individual segments available upon report purchase

By Deployment Model: Hybrid architectures reshape recovery strategies

Public Cloud retains 58.10% revenue thanks to hyperscale economies and on-demand scalability, yet Hybrid/Multi-Cloud configurations command a 14.60% CAGR as firms hedge concentration risk and satisfy residency rules. Disaster Recovery as a Service market size for Hybrid deployments is forecast to expand swiftly because enterprises can replicate critical databases to a sovereign cloud while failing over less-sensitive apps to global regions. Private Cloud persists for workloads steeped in strict data classifications or requiring air-gapping.

Verizon calls hybrid flexibility the linchpin of modern continuity planning verizon. N2WS research agrees, noting that multi-cloud replication cuts vendor lock-in and improves failover granularity. However, orchestrating identical recovery time objectives across divergent clouds remains complex, opening room for tooling that abstracts cloud-native idiosyncrasies.

By Service Component: Orchestration emerges as competitive differentiator

Backup and Recovery held 38.70% of Disaster Recovery as a Service market size in 2024, reflecting its baseline necessity. Yet Orchestration and Automation is growing 13.40% annually as businesses realise that scripting failover for dozens of apps by hand is impractical. Real-time replication supplements both, meeting banking and healthcare RTO mandates that hover near zero.

VMware Cloud on AWS now protects up to 6,000 VMs per group and embeds automated health checks, illustrating how orchestration drives tangible operational gains. AI-driven run-books, highlighted by Silent Infotech, further cut manual intervention and lower incident fatigue. Competitive advantage is shifting toward providers that fuse event-driven automation with compliance dashboards in a single console.

Disaster Recovery As A Service Market: Market Share by Service Component
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Note: Segment shares of all individual segments available upon report purchase

By Organization Size: SME adoption accelerates through cloud economics

Large Enterprises still account for 63.70% of Disaster Recovery as a Service market size thanks to sprawling infrastructure estates and board-level scrutiny of risk. Still, SMEs register a 15.20% CAGR to 2030 because subscription pricing dissolves historical CapEx hurdles. They no longer need co-located secondary sites; a credit card and a policy template suffice.

Veeam observes that these firms jump-start ransomware recovery by delegating complexity to their DRaaS partner.[5]Veeam, “Understanding Disaster Recovery as a Service (DRaaS),” veeam.comAs uptake widens, providers refine tiered bundles that package essential SLA levels for SMEs while upselling advanced analytics once operational maturity rises.

By End-User Vertical: Healthcare leads regulatory-driven transformation

BFSI captured 24.30% of Disaster Recovery as a Service market share in 2024, capitalising on long-standing risk cultures and regulatory oversight. Nevertheless, Healthcare and Life Sciences log the fastest 16.10% CAGR as HIPAA, GDPR, and emerging patient-data acts force always-on continuity. Diagnostic imaging, telehealth, and electronic health record systems cannot afford downtime without endangering patient outcomes.

US Signal’s 2025 guide confirms healthcare buyers prize audit-ready artifacts and immutable storage.[6]US Signal, “DRaaS: Protecting Healthcare Data and Enabling Compliance,” ussignal.comSimilar momentum unfolds in public-sector agencies, which are under pressure from digital-service mandates. Manufacturers mesh DRaaS with operational-technology safety, ensuring production lines resume safely following cyber or physical disruption.

Geography Analysis

North America maintained a 39.80% share in 2024 by blending hyperscale cloud availability, mature cyber-insurance ecosystems, and prescriptive regulatory frameworks. High ransomware prevalence amplifies board-level urgency, while the Federal Cloud Operations Best Practices Guide supplies public agencies with blueprint standards. Financial institutions, in particular, tie premium discounts to demonstrable DR testing, further cementing uptake. Although the region’s Disaster Recovery as a Service market now sees price competition, rising edge deployments and ESG reporting keep demand resilient.

Asia-Pacific registers the highest 14.80% CAGR as governments champion cloud growth to spur GDP. The Asian Development Bank projects that improved cloud policies can lift regional GDP by up to 0.7% between 2024 and 2028. Singapore’s aggressive “cloud-first” posture sets policy benchmarks, while Japan and Australia impose rigorous data-sovereignty checks that shape architectural blueprints. National disaster exposure drives mandates for resilient ICT backbones, with agencies referencing ADB’s 2025 disaster-preparedness guide to integrate AI sensors and cloud-based recovery. Banks adopt DRaaS to match fintech agility, and manufacturers rely on geo-distributed failover for supply-chain assurance.

Europe balances adoption incentives and compliance roadblocks. GDPR and incoming EU Cloud Certification laws oblige in-region replication, constraining design but also triggering demand for sovereignty-aligned “intra-EU only” recovery nodes. Sustainability legislation boosts interest in “Green-DRaaS,” leveraging renewable-powered data centers to hit corporate emissions targets.[7]Google Cloud, “How to Establish a Sustainable Disaster Recovery Strategy,” cloud.google.comPublic-sector digital-service goals accelerate provider outreach, while financial entities continue to invest to satisfy the Digital Operational Resilience Act (DORA). Despite cost pressure, the imperative to preserve citizen-facing services keeps the market expanding.

Disaster Recovery as a Service (DRaaS) Market
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Competitive Landscape

Roughly 250 providers vie for share in the Disaster Recovery as a Service market, creating a moderately fragmented arena that rewards supplier agility. AWS, Microsoft, and Google dominate infrastructure layers, but software players like Veeam, Zerto, and Acronis carve space with hypervisor-agnostic replication and air-gapped protection. Managed specialists, including US Signal and HYCU, differentiate through compliance tooling and white-glove run-book design.

Edge-centric continuity is now an innovation hotspot. European Commission research underscores the migration of compute to the edge for low-latency processing, a trend that pushes vendors to spin up micro-recovery nodes in proximity to sensors and branch sites. Providers that automate policy placement based on latency and carbon scores can capture emerging spend. Sustainability also moves up the buying checklist; EY notes that data-center operators must integrate renewable energy and dynamic load scheduling to achieve emissions targets.

Consolidation looms. Cohesity’s planned USD 3 billion purchase of Veritas’ data-protection unit signals scale imperatives for feature breadth and geographic coverage. Smaller regional players may seek niche depth in regulated verticals or partner into hyperscaler marketplaces. Over the forecast period, competitive advantage will likely pivot on cross-platform orchestration breadth, sustainability certifications, and demonstrable customer-satisfaction scores rather than on raw backup throughput alone.

Disaster Recovery As A Service (DRaaS) Industry Leaders

  1. iLand Internet Solutions Corporation

  2. Microsoft Corporation

  3. Recovery Point Systems Inc.

  4. Evolve IP LLC

  5. TierPoint, LLC

  6. *Disclaimer: Major Players sorted in no particular order
Disaster Recovery as a Service (DRaaS) Market Concentration
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Recent Industry Developments

  • May 2025: XenTegra launched a cloud-native DRaaS product featuring advanced failover orchestration and non-disruptive testing, aimed at VMware-Broadcom customers migrating to Nutanix platforms
  • April 2025: HYCU achieved leadership status across 101 G2 Spring 2025 reports with a Net Promoter Score of 91.
  • March 2025: Asian Development Bank projected that stronger cloud-policy frameworks could add up to 0.7% to Asia-Pacific GDP by 2028
  • January 2025: US Signal released a healthcare DRaaS compliance guide covering HIPAA and GDPR mandates.

Table of Contents for Disaster Recovery As A Service (DRaaS) Industry Report

1. INTRODUCTION

  • 1.1 Study Assumptions and Market Definition
  • 1.2 Scope of the Study

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET LANDSCAPE

  • 4.1 Market Overview
  • 4.2 Market Drivers
    • 4.2.1 Escalating ransomware and data-breach incidents
    • 4.2.2 Lower TCO vs. traditional DR infrastructure
    • 4.2.3 Cloud-first and SaaS adoption accelerating DRaaS uptake
    • 4.2.4 Cyber-insurance compliance mandating automated fail-over testing
    • 4.2.5 Edge-computing roll-outs needing geo-distributed micro-recovery nodes
    • 4.2.6 Green-DRaaS: Net-zero pressures favouring renewably-powered recovery sites
  • 4.3 Market Restraints
    • 4.3.1 Deployment and orchestration complexity in hybrid/multi-cloud
    • 4.3.2 Data-sovereignty and regulatory barriers to cross-border replication
    • 4.3.3 Provider lock-in and egress-cost uncertainty
    • 4.3.4 Shortage of multi-cloud DR engineers and skills
  • 4.4 Industry Ecosystem Analysis
  • 4.5 Technological Outlook
  • 4.6 Porter's Five Forces Analysis
    • 4.6.1 Bargaining Power of Suppliers
    • 4.6.2 Bargaining Power of Consumers
    • 4.6.3 Threat of New Entrants
    • 4.6.4 Intensity of Competitive Rivalry
    • 4.6.5 Threat of Substitutes

5. MARKET SIZE AND GROWTH FORECASTS (VALUES)

  • 5.1 By Service Type
    • 5.1.1 Fully Managed
    • 5.1.2 Assisted
    • 5.1.3 Self-Service
  • 5.2 By Deployment Model
    • 5.2.1 Public Cloud
    • 5.2.2 Private Cloud
    • 5.2.3 Hybrid/Multi-Cloud
  • 5.3 By Service Component
    • 5.3.1 Backup and Recovery
    • 5.3.2 Real-time Replication
    • 5.3.3 Orchestration and Automation
    • 5.3.4 Data Security and Compliance
  • 5.4 By Organization Size
    • 5.4.1 Large Enterprises
    • 5.4.2 Small and Medium Enterprises
  • 5.5 By End-user Vertical
    • 5.5.1 BFSI
    • 5.5.2 IT and Telecom
    • 5.5.3 Government and Public Sector
    • 5.5.4 Healthcare and Life Sciences
    • 5.5.5 Manufacturing
    • 5.5.6 Retail and E-commerce
    • 5.5.7 Media and Entertainment
    • 5.5.8 Others
  • 5.6 By Geography
    • 5.6.1 North America
    • 5.6.1.1 United States
    • 5.6.1.2 Canada
    • 5.6.1.3 Mexico
    • 5.6.2 South America
    • 5.6.2.1 Brazil
    • 5.6.2.2 Rest of South America
    • 5.6.3 Europe
    • 5.6.3.1 Germany
    • 5.6.3.2 United Kingdom
    • 5.6.3.3 France
    • 5.6.3.4 Russia
    • 5.6.3.5 Rest of Europe
    • 5.6.4 Asia-Pacific
    • 5.6.4.1 China
    • 5.6.4.2 Japan
    • 5.6.4.3 South Korea
    • 5.6.4.4 India
    • 5.6.4.5 South East Asia
    • 5.6.4.6 Rest of Asia-Pacific
    • 5.6.5 Middle East and Africa
    • 5.6.5.1 Middle East
    • 5.6.5.2 Africa

6. COMPETITIVE LANDSCAPE

  • 6.1 Market Concentration
  • 6.2 Strategic Moves
  • 6.3 Market Share Analysis
  • 6.4 Company Profiles (includes Global level Overview, Market level overview, Core Segments, Financials as available, Strategic Information, Market Rank/Share for key companies, Products and Services, and Recent Developments)
    • 6.4.1 IBM Corporation
    • 6.4.2 Microsoft Corporation
    • 6.4.3 Amazon Web Services Inc.
    • 6.4.4 VMware Inc.
    • 6.4.5 Zerto Ltd. (HPE)
    • 6.4.6 Google Cloud Platform
    • 6.4.7 iLand Internet Solutions Inc.
    • 6.4.8 Recovery Point Systems LLC
    • 6.4.9 Evolve IP LLC
    • 6.4.10 TierPoint LLC
    • 6.4.11 Sungard Availability Services LP
    • 6.4.12 C&W Comminications Limited
    • 6.4.13 Expedient LLC
    • 6.4.14 CloudHPT Inc.
    • 6.4.15 InterVision Systems Technologies LLC
    • 6.4.16 PhoenixNAP Global IT Services LLC
    • 6.4.17 Flexential LLC
    • 6.4.18 Acronis International GmbH
    • 6.4.19 Veeam Software Inc.
    • 6.4.20 Druva Inc.
    • 6.4.21 Rackspace Technology inc.
    • 6.4.22 Databarracks Ltd.
    • 6.4.23 NTT Ltd.

7. MARKET OPPORTUNITIES AND FUTURE OUTLOOK

  • 7.1 White-space and Unmet-need Assessment
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Global Disaster Recovery As A Service (DRaaS) Market Report Scope

The disaster recovery as a service (DRaaS) market provides for the recovery of enterprise applications at another location in the event of a disaster. The provider can deliver the service as a fully-managed, assisted recovery or self-service offering.

The agility of disaster recovery in the cloud affords businesses a geographically diverse location to failover operations and run as close to normal as possible following a disruptive event.

The Disaster Recovery as a Service (DRaaS) Market is segmented by End-user Vertical (BFSI, IT, Government, and Healthcare) and Geography (North America, Europe, Asia-Pacific).

The market sizes and forecasts are provided in terms of value (USD million) for all the above segments.

By Service Type Fully Managed
Assisted
Self-Service
By Deployment Model Public Cloud
Private Cloud
Hybrid/Multi-Cloud
By Service Component Backup and Recovery
Real-time Replication
Orchestration and Automation
Data Security and Compliance
By Organization Size Large Enterprises
Small and Medium Enterprises
By End-user Vertical BFSI
IT and Telecom
Government and Public Sector
Healthcare and Life Sciences
Manufacturing
Retail and E-commerce
Media and Entertainment
Others
By Geography North America United States
Canada
Mexico
South America Brazil
Rest of South America
Europe Germany
United Kingdom
France
Russia
Rest of Europe
Asia-Pacific China
Japan
South Korea
India
South East Asia
Rest of Asia-Pacific
Middle East and Africa Middle East
Africa
By Service Type
Fully Managed
Assisted
Self-Service
By Deployment Model
Public Cloud
Private Cloud
Hybrid/Multi-Cloud
By Service Component
Backup and Recovery
Real-time Replication
Orchestration and Automation
Data Security and Compliance
By Organization Size
Large Enterprises
Small and Medium Enterprises
By End-user Vertical
BFSI
IT and Telecom
Government and Public Sector
Healthcare and Life Sciences
Manufacturing
Retail and E-commerce
Media and Entertainment
Others
By Geography
North America United States
Canada
Mexico
South America Brazil
Rest of South America
Europe Germany
United Kingdom
France
Russia
Rest of Europe
Asia-Pacific China
Japan
South Korea
India
South East Asia
Rest of Asia-Pacific
Middle East and Africa Middle East
Africa
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Key Questions Answered in the Report

What is the projected Disaster Recovery as a Service market size for 2030?

The market is forecast to reach USD 24.05 billion by 2030, reflecting an 11.91% CAGR from 2025.

Which region is expected to grow the fastest?

Asia-Pacific leads growth with a 14.80% CAGR, driven by cloud-first government policies and heightened disaster-preparedness needs.

Why are fully managed DRaaS solutions so popular?

Enterprises prefer turnkey offerings that include monitoring, testing, and compliance documentation, which reduces internal staffing needs and speeds audits.

How do data-sovereignty rules influence DRaaS adoption?

Localization laws require in-country replication and restrict cross-border failover, shaping architectural choices and sometimes raising costs.

What role does cyber-insurance play in DRaaS demand?

Many insurers now mandate automated disaster-recovery testing, pushing organizations toward DRaaS platforms that supply audit-ready evidence and lower premiums.

Page last updated on: June 18, 2025

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