Infrastructure As A Service Market Size (2024 - 2029)

The Infrastructure as a Service (IaaS) market is projected to experience substantial growth over the forecast period, driven by the increasing adoption of cloud computing solutions that offer scalable and cost-effective resources. This market expansion is fueled by the rising demand for rapid data access and real-time processing, as well as the growing preference for hybrid cloud environments. Despite potential challenges such as security concerns and infrastructural limitations in developing regions, the market is expected to thrive as businesses continue to seek flexible and efficient IT solutions. The COVID-19 pandemic further accelerated this growth, highlighting the critical role of cloud services in maintaining business continuity during disruptive events.

Market Size of Infrastructure As A Service Industry

Single User License

$4750

Team License

$5250

Corporate License

$8750

Book before:
Infrastructure As A Service Market Summary
Study Period 2019-2029
Market Size (2024) USD 157.12 Billion
Market Size (2029) USD 391.12 Billion
CAGR (2024 - 2029) 20.01 %
Fastest Growing Market Asia Pacific
Largest Market North America

Major Players

Infrastructure As A Service Market Major Players

*Disclaimer: Major Players sorted in no particular order

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:

Infrastructure as a Service Market Analysis

The Infrastructure As A Service Market size is estimated at USD 157.12 billion in 2024, and is expected to reach USD 391.12 billion by 2029, growing at a CAGR of 20.01% during the forecast period (2024-2029).

IaaS, or Infrastructure as a service, is a cloud computing paradigm that allows businesses to rent servers for remote computing and storage applications while allocating virtualized computing resources to users over the Internet.

  • More enterprises are expected to embrace IaaS due to the growth in financial, business, and other vital data across various IT sectors. The IaaS market may expand due to the rising demand for quick data access, real-time query processing, and high-speed network communication.
  • Serverless computing's expanding popularity, cloud services' growing demand for hybrid clouds, and more people using the Internet. As the leading cloud service providers transition to hybrid environments, integrated IaaS services are anticipated to drive the next wave of cloud infrastructure adoption.
  • End users consider IaaS a substantial cost-saving service where clients pay only for what they use because cluster cloud servers have the fastest scalability. Also, the end user saves on the installation costs of adding individual servers to the network.
  • However, security worries regarding the deployment of private clouds and a lack of IT infrastructure in developing nations are also anticipated to restrain market expansion somewhat.
  • The COVID-19 pandemic impacted the Infrastructure as a Service (IaaS) market, which showed significant growth then. This was because of the restrictive containment measures, such as social isolation, remote work, and the suspension of commercial activities, which created operational difficulties for businesses and encouraged cloud services.

Infrastructure as a Service Industry Segmentation

Infrastructure as a service is a type of cloud computing that provides virtualized computing resources over the internet. It is a service model that delivers computer infrastructure to support enterprise operations. IaaS is one of the layers of cloud computing platform wherein the customer organization outsources its IT infrastructure such as servers, networking, processing, storage, virtual machines, and other resources.

Infrastructure as a service market is segmented by deployment mode (public cloud, private cloud, hybrid cloud), service (managed hosting, disaster recovery as a service (DRaaS), communication as a service (CaaS), database as a service (DBaaS), storage as a service (SaaS)), end-user industry (BFSI, IT & telecom, healthcare, media & entertainment, retail) and geography (North America, Europe, Asia Pacific, Latin America, Middle East & Africa). The market sizes and forecasts are provided in terms of value in USD for all the above segments.

By Deployment Mode
Public Cloud
Private Cloud
Hybrid Cloud
By Service
Managed Hosting
Disaster Recovery as a Service ( DRaaS)
Communication as a Service (CaaS)
Database as a Service (DBaaS)
Storage as a Service (SaaS)
By End-user Industry
BFSI
IT & Telecom
Healthcare
Media & Entertainment
Retail
Other End-user Industries
By Geography
North America
Europe
Asia-Pacific
Latin America
Middle East & Africa
Need A Different Region Or Segment?
Customize Now

Infrastructure As A Service Market Size Summary

The Infrastructure as a Service (IaaS) market is poised for significant growth, driven by the increasing adoption of cloud computing solutions across various sectors. IaaS allows businesses to rent virtualized computing resources over the Internet, offering flexibility and cost savings by eliminating the need for physical hardware investments. The market is expected to expand as enterprises seek quick data access, real-time processing, and high-speed communication. The rise of serverless computing and hybrid cloud demand further propels this growth, with major cloud service providers integrating IaaS into their offerings. Despite concerns over security and infrastructure limitations in developing regions, the market's trajectory remains positive, bolstered by the COVID-19 pandemic's acceleration of cloud service adoption.

The IT and telecommunications sectors are key drivers of the IaaS market, generating vast amounts of data and seeking cost-effective solutions for storage and computing needs. The global demand for low-cost IT infrastructure and rapid data accessibility is fueling market expansion, with governments promoting cloud technology adoption. The Asia-Pacific region is expected to lead in growth, supported by rising internet usage and technological advancements in countries like China, India, and South Korea. The market is characterized by intense competition and fragmentation, with major players such as Google, Oracle, Microsoft, IBM, and Amazon Web Services leading the charge. Strategic partnerships and technological innovations continue to shape the market landscape, offering new opportunities for growth and development.

Explore More

Infrastructure As A Service Market Size - Table of Contents

  1. 1. MARKET INSIGHTS

    1. 1.1 Market Overview

    2. 1.2 Industry Value Chain / Supply Chain Analysis

    3. 1.3 Industry Attractiveness - Porter's Five Force Analysis

      1. 1.3.1 Bargaining Power of Suppliers

      2. 1.3.2 Bargaining Power of Buyers/Consumers

      3. 1.3.3 Threat of New Entrants

      4. 1.3.4 Threat of Substitute Products

      5. 1.3.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION

    1. 2.1 By Deployment Mode

      1. 2.1.1 Public Cloud

      2. 2.1.2 Private Cloud

      3. 2.1.3 Hybrid Cloud

    2. 2.2 By Service

      1. 2.2.1 Managed Hosting

      2. 2.2.2 Disaster Recovery as a Service ( DRaaS)

      3. 2.2.3 Communication as a Service (CaaS)

      4. 2.2.4 Database as a Service (DBaaS)

      5. 2.2.5 Storage as a Service (SaaS)

    3. 2.3 By End-user Industry

      1. 2.3.1 BFSI

      2. 2.3.2 IT & Telecom

      3. 2.3.3 Healthcare

      4. 2.3.4 Media & Entertainment

      5. 2.3.5 Retail

      6. 2.3.6 Other End-user Industries

    4. 2.4 By Geography

      1. 2.4.1 North America

      2. 2.4.2 Europe

      3. 2.4.3 Asia-Pacific

      4. 2.4.4 Latin America

      5. 2.4.5 Middle East & Africa

Infrastructure As A Service Market Size FAQs

The Infrastructure As A Service Market size is expected to reach USD 157.12 billion in 2024 and grow at a CAGR of 20.01% to reach USD 391.12 billion by 2029.

In 2024, the Infrastructure As A Service Market size is expected to reach USD 157.12 billion.

Infrastructure As A Service Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)