Germany Cloud Computing Market Size & Share Analysis - Growth Trends & Forecast (2024 - 2029)

The Report Covers Germany Cloud Computing Companies and the Market is Segmented by Type (Public Cloud, Private Cloud, Hybrid Cloud), Organization Type (SMEs, Large Enterprises), End-User Industries (Manufacturing, Education, Retail, Transportation, and Logistics, Healthcare, BFSI, Telecom, and IT, Government and Public Sector). The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

Germany Cloud Computing Market Size

Single User License

$4750

Team License

$5250

Corporate License

$8750

Book before:
Germany Cloud Computing Market Summary
Study Period 2019 - 2029
Base Year For Estimation 2023
Market Size (2024) USD 48.93 Billion
Market Size (2029) USD 100.63 Billion
CAGR (2024 - 2029) 15.51 %
Market Concentration Low

Major Players

Germany Cloud Computing Market Major Players

*Disclaimer: Major Players sorted in no particular order

setting-icon

Need a report that reflects how COVID-19 has impacted this market and its growth?

Single User License

$4750

Team License

$5250

Corporate License

$8750

Book before:

Germany Cloud Computing Market Analysis

The Germany Cloud Computing Market size is estimated at USD 48.93 billion in 2024, and is expected to reach USD 100.63 billion by 2029, growing at a CAGR of 15.51% during the forecast period (2024-2029).

Germany's cloud computing market is witnessing rapid growth, fueled by the nation's commitment to digital transformation, data sovereignty, and innovation. As one of Europe's economic powerhouses, Germany plays a pivotal role in the cloud computing arena. Both public and private sectors are increasingly turning to cloud technologies, aiming to boost efficiency, scalability, and competitiveness.

  • To bolster cloud adoption, the German government has rolled out several digitalization initiatives, including the "Digital Strategy 2025." These efforts particularly target businesses, with a focus on SMEs, urging them to weave cloud computing into their operations, thereby propelling market growth.
  • Germany's robust data protection regulations, notably the GDPR, amplify the demand for cloud services that uphold data sovereignty. Businesses are gravitating towards cloud solutions that align with local regulations, ensuring data is handled securely and compliantly.
  • German firms are progressively embracing hybrid and multi-cloud setups to fine-tune their IT infrastructure. This strategy enables them to harness the unique advantages of various cloud providers, leading to enhanced flexibility and operational efficiency.
  • Industries like manufacturing, automotive, and finance are at the forefront of cloud adoption. By integrating cloud technologies, these sectors are refining production processes, elevating customer experiences, and boosting overall business agility.
  • Growing investments in the country are set to boost the market growth rate. In June 2024, Amazon announced its plans to invest EUR 10 billion (USD 10.75 billion) in Germany, focusing on expanding the cloud infrastructure of its computing unit, Amazon Web Services (AWS). With AI opportunities surging across Europe, businesses must prioritize innovation to stay competitive.
  • In May 2024, DFS Aviation Services launched Germany's inaugural cloud-based air traffic control system. DFS Aviation Services GmbH (DAS), a subsidiary of DFS Deutsche Flugsicherung GmbH, Germany's air navigation service provider, has deployed the cloud-centric Phoenix WebInnovation system for air traffic control at Memmingen Airport. According to DAS, Phoenix WebInnovation stands out as the first fully public cloud-operated system of its kind. Previously, the platform served as an advanced information tool at various smaller airports.
  • Yet, amidst this cloud computing surge, data privacy and security concerns loom large. German enterprises exercise heightened caution regarding data storage and processing locations. This vigilance can hinder the swift adoption of cloud services, particularly those from foreign providers.

Germany Cloud Computing Market Trends

Government support and Digitalization Initiatives

  • Through initiatives such as the "Cloud Computing Strategy" and the "Gaia-X" project, the German government is actively promoting the cause of cloud computing. These endeavors seek to establish a secure, federated cloud infrastructure, bolstering data sovereignty and fortifying the digital economy.
  • Stringent data protection regulations, such as GDPR, have spurred a heightened demand for cloud services prioritizing data localization and compliance. Consequently, this trend has catalyzed the adoption and emergence of local cloud providers and the establishment of data centers across Germany.
  • For instance, according to Cloudscene, as of February 2024, Germany boasted 522 data centers, leading all European nations. The surge in cloud applications and the increasing reliance on cloud services for storing and uploading business documents are fueling the demand for data centers in Germany. This expansion of data centers in Germany is closely tied to the region's escalating appetite for cloud computing.
  • For instance, in March 2024, SAP SE revealed that Deutsche Telekom, a leading telecommunications firm, opted for the RISE with SAP solution to expedite its transition to the cloud. This move makes Deutsche Telekom the inaugural enterprise to deploy RISE with SAP, facilitated by SAP's newly broadened collaboration with T-Systems, its premium RISE with SAP supplier. This development underscores a pivotal moment in the evolving partnership between SAP and Deutsche Telekom.
  • Despite the growth, challenges arise from concerns about data privacy, particularly in sectors such as finance and healthcare. Organizations exercise caution in adopting cloud solutions, primarily due to the complexities of ensuring compliance with both local and EU-wide data protection regulations.
Germany Cloud Computing Market: Number of data centers, in Units, by Country, Europe, February 2024

IT and Telcom to hold a Major Share of the Market

  • In Germany, the IT and telecommunications sectors are set to lead the charge in the cloud computing market. As cloud technology becomes central to digital transformation, these sectors harness cloud solutions to boost efficiency, scalability, and innovation. Rapidly evolving, the IT and telecom industries are turning to cloud computing to modernize operations, enhance service delivery, and explore new business models.
  • For instance, in February 2024, Microsoft announced its plans to support enterprises in Germany with investments in data center capacity and in AI training for more than 1.2 million people. By the end of 2025, Microsoft plans to invest EUR 3.2 billion (approximately USD 3.4 billion) in Germany. This investment aims to double the artificial intelligence and cloud capabilities of its local data centers. Additionally, the tech giant is set on training over 1.2 million individuals in digital skills.
  • Numerous IT and telecom firms in Germany are embracing cloud-first strategies, favoring cloud solutions over traditional on-premises IT setups. This transition is fueling a robust demand for various cloud services, encompassing infrastructure-as-a-service (IaaS), platform-as-a-service (PaaS), and software-as-a-service (SaaS).
  • For instance, in May 2024, Telefonica Germany migrated one million 5G customers to the Amazon Web Services (AWS) cloud. This move underscores a significant evolution in cloud-centric telecom services throughout Europe. Major cloud computing giants, including Amazon and Microsoft, have been eyeing the telecom sector, enticed by the prospect of billions in revenue. However, telecom operators remain cautious, questioning the ability of public clouds to effectively manage mobile networks.
  • The growing telecom market in the country is also poised to drive the demand for cloud solutions in Germany's telecom sector. As of the end of 2023, Deutsche Telekom reported approximately 61.42 million active mobile phone connections in Germany. This positions Deutsche Telekom as holding about one-third of the market share among network providers for mobile connections. The constant increase in the of subscribers and growth of the telecom sector in Germany will also require cloud migration, thus driving the cloud computation market in the region.
Germany Cloud Computing Market: Number of mobile customers, in Millions, Deutsche Telekom, Germany, 2013 - 2023

Germany Cloud Computing Industry Overview

The German cloud Computing Market is fragmented with the presence of major players like Amazon Web Services, Google LLC, etc. Players in the market are adopting strategies such as partnerships and acquisitions to enhance their product offerings and gain sustainable competitive advantage.

Germany Cloud Computing Market Leaders

  1. Alibaba Group Holding Limited

  2. Amazon Web Services (AWS)

  3. Google LLC

  4. IBM Corporation

  5. Microsoft Corporation

*Disclaimer: Major Players sorted in no particular order

Germany Cloud Computing Market Concentration
Need More Details on Market Players and Competitors?
Download PDF

Germany Cloud Computing Market News

  • June 2024 - Verkada, a provider of cloud-based physical security solutions, expanded its operations to Germany, Austria, and Switzerland (DACH), led by Benjamin Krebs. This move follows Verkada's robust sales and partner growth across the EMEA region.
  • March 2024 - PUMA, a sports company, revealed its plans to harness Google Cloud's data, analytics, and AI solutions. This initiative aims to enhance the efficiency, agility, and personalization of its online retail experience for customers globally. As a result, consumers can expect innovations such as generative AI shopping assistants, virtual try-ons, and AI-driven loyalty programs. Through this collaboration, PUMA will transition segments of its e-commerce ecosystem, notably PUMA.com, to Google Cloud while also establishing a global e-commerce data platform.

Germany Cloud Computing Market Report - Table of Contents

  1. 1. INTRODUCTION

    1. 1.1 Study Assumptions and Market Definition

    2. 1.2 Scope of the Study

  2. 2. RESEARCH METHODOLOGY

  3. 3. EXECUTIVE SUMMARY

  4. 4. MARKET INSIGHTS

    1. 4.1 Market Overview

    2. 4.2 Industry Attractiveness - Porter's Five Forces Analysis

      1. 4.2.1 Bargaining Power of Suppliers

      2. 4.2.2 Bargaining Power of Buyers

      3. 4.2.3 Threat of New Entrants

      4. 4.2.4 Threat of Substitutes

      5. 4.2.5 Intensity of Competitive Rivalry

    3. 4.3 Industry Regulations and Standards

    4. 4.4 Number of data centres in Germany

    5. 4.5 Case Study Analysis

    6. 4.6 Technology Landscape

  5. 5. MARKET DYNAMICS

    1. 5.1 Market Drivers

      1. 5.1.1 Growing adoption of cloud services in SMEs

      2. 5.1.2 Government support and Digitalization Initiatives

    2. 5.2 Market Challenges

      1. 5.2.1 Regulatory compliance and surge in data security and privacy concerns

    3. 5.3 Pricing Model Analysis

  6. 6. MARKET SEGMENTATION

    1. 6.1 By Type

      1. 6.1.1 Public Cloud

        1. 6.1.1.1 IaaS

        2. 6.1.1.2 PaaS

        3. 6.1.1.3 SaaS

      2. 6.1.2 Private Cloud

      3. 6.1.3 Hybrid Cloud

    2. 6.2 Organization Size

      1. 6.2.1 SMEs

      2. 6.2.2 Large Enterprises

    3. 6.3 End-user Industries

      1. 6.3.1 Manufacturing

      2. 6.3.2 Education

      3. 6.3.3 Retail

      4. 6.3.4 Transportation and Logistics

      5. 6.3.5 Healthcare

      6. 6.3.6 BFSI

      7. 6.3.7 Telecom and IT

      8. 6.3.8 Government and Public Sector

      9. 6.3.9 Others (Utilities, Media & Entertainment etc)

  7. 7. COMPETITIVE LANDSCAPE

    1. 7.1 Company Profiles*

      1. 7.1.1 Alibaba Group Holding Limited

      2. 7.1.2 Amazon Web Services (AWS)

      3. 7.1.3 Google LLC

      4. 7.1.4 IBM Corporation

      5. 7.1.5 Microsoft Corporation

      6. 7.1.6 Salesforce.com, Inc.

      7. 7.1.7 SAP SE

  8. 8. INVESTMENT ANALYSIS

  9. 9. FUTURE MARKET OUTLOOK

**Subject to Availability
You Can Purchase Parts Of This Report. Check Out Prices For Specific Sections
Get Price Break-up Now

Germany Cloud Computing Industry Segmentation

Cloud computing provides on-demand access to computer resources, particularly data storage and processing power, without requiring direct management by the user. Computing resources, including physical and virtual servers, data storage, networking capabilities, application development tools, software, and AI-powered analytics, are now accessible over the Internet with a pay-per-use pricing model.

The Report Covers Germany Cloud Computing Companies. The market is segmented by Type (Public Cloud, Private Cloud, Hybrid Cloud), Organization Type (SMEs, Large Enterprises), End-User Industries (Manufacturing, Education, Retail, Transportation, Logistics, Healthcare, BFSI, Telecom, and IT, Government, and Public Sector). The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

By Type
Public Cloud
IaaS
PaaS
SaaS
Private Cloud
Hybrid Cloud
Organization Size
SMEs
Large Enterprises
End-user Industries
Manufacturing
Education
Retail
Transportation and Logistics
Healthcare
BFSI
Telecom and IT
Government and Public Sector
Others (Utilities, Media & Entertainment etc)
Need A Different Region Or Segment?
Customize Now

Germany Cloud Computing Market Research FAQs

The Germany Cloud Computing Market size is expected to reach USD 48.93 billion in 2024 and grow at a CAGR of 15.51% to reach USD 100.63 billion by 2029.

In 2024, the Germany Cloud Computing Market size is expected to reach USD 48.93 billion.

Alibaba Group Holding Limited, Amazon Web Services (AWS), Google LLC, IBM Corporation and Microsoft Corporation are the major companies operating in the Germany Cloud Computing Market.

In 2023, the Germany Cloud Computing Market size was estimated at USD 41.34 billion. The report covers the Germany Cloud Computing Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Germany Cloud Computing Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.

Germany Cloud Computing Industry Report

Statistics for the 2024 Germany Cloud Computing market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Germany Cloud Computing 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.

80% of our clients seek made-to-order reports. How do you want us to tailor yours?

Please enter a valid email id!

Please enter a valid message!

Germany Cloud Computing Market Size & Share Analysis - Growth Trends & Forecast (2024 - 2029)