Cloud Computing Market Size, Share & COVID-19 Impact Analysis, By Type (Public Cloud, Private Cloud, and Hybrid Cloud), By Service (Infrastructure as a Service (IaaS), Platform as a Service (PaaS), and Software as a Service (SaaS)), By Industry (BFSI, IT and Telecommunications, Government, Consumer Goods and Retail, Healthcare, Manufacturing, and Others), and Regional Forecast, 2023-2030

Report Format: PDF | Latest Update: Jan, 2024 | Published Date: May, 2023 | Report ID: FBI102697 | Status : Published

The cloud computing market size was valued at USD 569.31 billion in 2022 and is projected to grow from USD 677.95 billion in 2023 to USD 2,432.87 billion by 2030, exhibiting a CAGR of 20.0% during the forecast period. North America dominated the global market with a share of 70.52% in 2022.

Cloud computing is the technique of processing, storing, and managing data on a network of remote computers hosted on the internet rather than on a personal computer or a local server. It particularly refers to a shared storage area that allows all network devices to access data at the same time. Cloud computing is an IT service delivery approach in which third-party service providers use the internet to supply computing resources and software tools. In this service model, the customer only pays for the time they spend on the computer as well as the storage and bandwidth they utilize.

The major drivers that fuel the market growth are expanding digital transformation across businesses, rising internet and mobile device adoption around the world, and increased consumption of Big Data. Next-generation industrial solutions will be cloud-enabled, and a cloud platform will be required to demonstrate their digital business capabilities. Furthermore, the adoption of IoT, 5G, edge computing, and real-time analytics enabled by Machine Learning (ML) and Artificial Intelligence (AI) is expected to increase the value of computing technology among businesses.


Rising Investment in Developing Cloud Infrastructure Propelled Market Expansion Amid the Pandemic

Cloud computing has been one of the fastest-growing technologies among developed and developing nations and has witnessed a dramatic acceleration in 2020. Almost every sector has moved or is planning to move its business to the cloud since the world encountered the COVID-19 pandemic. Cloud services have become a new essential catalyst for enterprises looking for digital transformation. For instance,

  • In September 2020, Accenture Solutions Pvt Ltd. developed Cloud First with USD 3 billion investment to accelerate cloud adoption and digital transformation.

Moreover, the increasing investment by these prominent market players to develop data centers across the world in response to the COVID-19 pandemic is anticipated to drive the market in the coming years. For instance,

  • In December 2020, Google LLC established four cloud regions (data centers) across the U.S., Indonesia, and South Korea. Further, the company opened new cloud data centers across Italy, Qatar, and France to accelerate digital transformations and serve customers better.

  • In April 2020, Amazon.Com Inc. launched a cloud data center in Italy during the COVID-19 pandemic. The new data center will provide support to remote learning and working and empower research.

Thus, the growing investment by cloud providers to develop data centers is expected to create significant market opportunities for market growth in the post-pandemic period.


Substantial Adoption of Omni-Cloud over Multi-Cloud to Boost Industry Growth

Large companies are applying multi-cloud solutions in their business operations to organize their employees across cloud-based platforms. Also, as cloud-based applications, such as Gmail, Facebook, Dropbox are becoming more robust and flexible, the processing cycle needs to be faster in a real-time scenario.

As a result, businesses are migrating to omni-cloud solutions to take advantage of a variety of benefits, including simplicity of data use, better decision-making, safe data availability, and real-time scalability.

Omni-cloud provides enhanced connection services to businesses, allowing data to be integrated and reorganized across numerous platforms. With the omni-cloud computing system, the data location system is more accurate and ordered. To grow the cloud computing market share, key market players are employing a variety of business strategies such as new product launches, mergers and acquisitions, and collaborations. For instance,

  • In February 2022, TecCentric and OmniClouds collaborated to efficiently support organizations’ shift from traditional internet connectivity models to cloud-based network infrastructures.

As a result, the global market is expected to grow during the forecast period.


Integration of Big Data, AI, and ML with Cloud to Augment Market

The increasing adoption of Big Data, Artificial Intelligence (AI), Machine Learning (ML), and others is expected to drive the cloud computing market growth. These technologies transform the market landscape, as they assist users in monitoring, analyzing, and visualizing the unprocessed data.

Adopting these developing technologies in conjunction with cloud solutions assists organizations in improving their visualization capabilities and making complex data accessible and usable. The widespread adoption of AI and ML technologies in businesses has increased data usage and reduced data storage issues. These technologies also aid in increasing business productivity, improving decision-making processes, and lowering operating expenses.

Enterprises embrace AI-powered solutions to become more strategic, efficient, and insight-driven. AI can automate repetitive and challenging processes to increase productivity and conduct data analysis without manual participation. IT teams can also use AI to monitor and oversee essential workflows.

The companies offering cloud solutions and services are constantly focusing on R&D activities, product enhancements, and new product launches with the integration of Big Data, AI, and ML. For instance,

  • In March 2022, Microsoft Corporation launched a Platform as a Service (PaaS) platform, Azure Health Data Service specifically designed to support both transactional and analytical workloads.

Thus, the increasing adoption of big data, AI, and ML is expected to drive the market growth.


Data Privacy and Information Security Concerns Associated with Cloud Solutions to Impede Market Growth

Users deploy cloud services to save sensitive data about their business and personal activities over cloud-based platforms. However, concerns regarding data security and privacy, data loss, data breaches, unanticipated emergencies, application vulnerabilities, and internet cyber-attacks are projected to hamper the progress of cloud computing.

While cloud services assist businesses to increase company efficiency and cut costs, data kept in the cloud is vulnerable to cyber-attack. Cyber-attacks such as cloud malware injection, meltdown, account or service hijacking, and man-in-the-cloud assaults expose company data vulnerabilities that may result in business closure and losses and hinder market expansion. However, cyber-attacks disrupt corporate operations, limiting the growth of the cloud services market.

Moreover, due to changing company needs, the necessity for meeting regulatory and compliance requirements is continually increasing. In addition, organizations must seek to remain in the market by taking steps to meet regulatory requirements.

Hence, the aforementioned factors are expected to hamper the market growth.


By Type Analysis 

Public Cloud to Dominate Owing to Growing Penetration of Connected Devices

Based on type, the market is allocated into private cloud, hybrid cloud, and public cloud.

Furthermore, rising demand for scalable, secure, and cost-effective solutions is expected to surge private cloud demand across large enterprises. During the estimated period, the public cloud segment is expected to lead the market share. The growth can be attributed to increased penetration of connected devices, digital transformation, and growing automation among small & medium-sized businesses.

The hybrid cloud segment is expected to grow at the fastest rate over the forecast period due to SMEs' increasing use of cloud-based solutions to increase productivity and reduce operational costs.

By Service Analysis

Rising Demand Among Various Enterprises to Increase Software as a Service (SaaS) Segment Growth

Based on service, the market is divided into Software as a Service (SaaS), Platform as a Service (PaaS), and Infrastructure as a Service (IaaS).

In 2022, Software as a Service (SaaS) segment was expected to have the largest cloud computing market share. This growth is due to its ease of deployment, low maintenance costs, and low cost of ownership. During the forecast period, the Infrastructure as a Service (IaaS) segment is expected to grow at the fastest rate. The increase can be attributed to the increasing adoption of hybrid cloud platforms as well as the rising demand for business data storage and security solutions.

By Industry Analysis

Higher Adoption of Cloud Computing Solutions to Propel IT and Telecommunications Segment Expansion

Based on industry, the market is divided into Banking, Financial Services, & Insurance (BFSI), government, IT & telecommunications, healthcare, consumer goods and retail, manufacturing, and others. The IT & telecommunications segment holds the largest market share, owing to the growing popularity of cloud-based computing solutions among small and medium enterprises.

During the study period, the healthcare segment is expected to grow at the highest CAGR. This growth can be attributed to the increased deployment of cloud-based software, mobile applications, wearable healthcare devices, and smart healthcare equipment, among others. Other industries, such as retail and consumer goods, BFSI, government, manufacturing, and others, are expected to grow at a significant rate, owing to increased government and cloud provider initiatives and investment plans to support cloud adoption among start-ups. For instance,

  • In October 2022, Accenture and Google expanded their partnership to increase and offer new solutions using data and AI technologies. Google Cloud’s capabilities aid businesses and public sector organizations benefit from AI, ML, data analytics, cybersecurity, and more.


North America Cloud Computing Market Size, 2022 (USD Billion)

Geographically, the market is divided into five key regions such as North America, Europe, Asia Pacific, the Middle East & Africa, and Latin America. They are further categorized into countries.

The North America Cloud Computing Market size was valued at USD 401.49 Billion in 2022 and is growing at a CAGR of 18.7% from 2023 to 2030. The presence of prominent cloud providers, including IBM Corporation, Microsoft Corporation, Oracle Corporation, and others contributes to the region’s cloud adoption. Cloud service providers are focusing on investing in technical skills, partnerships, and expansion of cloud centers. For instance,

  • In January 2023, TTEC Holdings, Inc. partnered with Google Cloud to enable customers to use Google's Contact Center-as-a-Service features to support the real-time customer interactions across digital channels.

  • In February 2022, Amazon and Kyndryl joined hands to launch an AWS cloud center of excellence. With this partnership, Kyndryl built its cloud infrastructure in AWS cloud to deliver the best customer experience.

Europe is expected to gain a significant share of the market during the projected period of 2023 to 2030. Investments by government and private corporations to accelerate cloud adoption across the countries drive the cloud computing market growth. For instance,

  • In February 2022, SAP SE, a Germany-based software company, launched a sovereign cloud platform for data processing domestically.

Asia Pacific is expected to grow at an exponential rate. The rise in demand for cloud-based solutions in the manufacturing and healthcare industries is driving the expansion. In addition, the region's growth is predicted to be fueled by rising demand for smart Electric Vehicles (EVs), increasing internet penetration, and expanding digitalization. For instance,

  • In September 2022, Google partnered with NASSCOM to launch a new cloud computing course in India.

The Middle East & Africa and Latin America are expected to grow at a rapid pace in the coming years. The increase is attributed to increased government investments in emerging technologies such as Artificial Intelligence (AI), 5G, Machine Learning (ML), Big Data, cloud, and others by governments such as Israel, Brazil, and Mexico.


Key Players Emphasize Advanced Solutions to Strengthen their Positions

The global market comprises a vibrant start-up ecosystem. The market is expected to have more than 100 start-ups developing and innovating solutions and services for consumers. Such a fragmented market is likely to create intense competition by forcing existing companies to continuously upgrade and adopt new developments in cloud offerings. Hence, increasing competition is expected to increase the market size, thereby creating more opportunities for market players. For instance,

  • In April 2022, Salesforce developed industry specific Customer Relationship Management (CRM) Analytics. It is an AI-powered PaaS solution that enables Salesforce customers across every industry to provide predictive analytical insights.

  • In November 2021, Moro Hub signed an SD-WAN Managed Service Provider (MSP) agreement with OmniClouds. As per the agreement, OmniClouds offers Moro Hub with SD-WAN services and solutions that include connectivity, cloud migration, and security managed services.



  • February 2023: Tech Data launched cloud services in Australia as a part of its regional launch. The company covers customized offerings for Microsoft and AWS’s Infrastructure as a Service and Platform as a Service business models

  • February 2023: Akamai Technologies, Inc. launched the Akamai Connected Cloud platform for cloud computing, content delivery, and security to keep applications close and threats away.

  • February 2023: Reply expanded Storm Reply, a cloud-based solution provider, to support AWS partnership in North America. Through this partnership, Storm Reply aided global clients in the implementation of cloud-based systems.

  • January 2023: Alibaba launched its first international partner management and product innovation center to provide better customer services and facilitate customers’ digitalization journey.

  • May 2022: Google LLC and SAP SE expanded their collaboration to serve customers better. Google Workspace and SAP S/4HANA Cloud have joined hands to enable customers to integrate features of Google Docs and Google Sheets from within their SAP Software.


The research report includes prominent areas throughout the world to get a better knowledge of the industry. Furthermore, the report provides insights into the most recent industry and cloud computing market trends as well as an analysis of technologies that are being adopted at a quick rate on a global scale. It also emphasizes some of the growth-stimulating restrictions and elements, allowing the reader to obtain a thorough understanding of the industry.




Study Period


Base Year


Estimated Year


Forecast Period


Historical Period


Growth Rate

CAGR of 20.0% from 2023 to 2030


Value (USD Billion)


By Type, Service, Industry, and Geography

By Type

  • Public Cloud

  • Private Cloud

  • Hybrid Cloud

By Service

  • Infrastructure as a Service (IaaS)

  • Platform as a Service (PaaS)

  • Software as a Service (SaaS)

By Industry

  • BFSI

  • IT and Telecommunications

  • Government

  • Consumer Goods and Retail

  • Healthcare

  • Manufacturing

  • Others

By Region

  • North America (By Type, By Service, By Industry, and By Country)

    • U.S. (By Industry)

    • Canada (By Industry)

  • Europe (By Type, By Service, By Industry, and By Country)

    • U.K. (By Industry)

    • Germany (By Industry)

    • France (By Industry)

    • Italy (By Industry)

    • Spain (By Industry)

    • Russia (By Industry)

    • Benelux (By Industry)

    • Nordics (By Industry)

    • Rest of Europe

  • Asia Pacific (By Type, By Service, By Industry, and By Country)

    • China (By Industry)

    • Japan (By Industry)

    • India (By Industry)

    • Southeast Asia (By Industry)

    • Rest of Asia Pacific

  • Middle East & Africa (By Type, By Service, By Industry, and By Country)

    • GCC (By Industry)

    • South Africa (By Industry)

    • Rest of Middle East & Africa

  • Latin America (By Type, By Service, By Industry, and By Country)

    • Brazil (By Industry)

    • Mexico (By Industry)

    • Rest of Latin America

Frequently Asked Questions

How much will be the global cloud computing market worth in 2030?

The market is projected to reach USD 2,432.87 billion by 2030.

What was the value of the global cloud computing market in 2022?

In 2022, the market stood at USD 569.31 billion.

At what CAGR is the market projected to grow in the forecast period (2023-2030)?

The market is projected to grow at a CAGR of 20.0% over the forecast period (2023-2030).

Which is the leading type segment in the market?

By type, the public cloud segment is likely to lead the market.

Which is the key factor driving the market growth?

Integration of Big Data, AI, and ML with cloud to spur the market.

Who are the top players in the market? Inc., Oracle Corporation, IBM Corporation, Alibaba Group Holding Limited, Microsoft Corporation, VMware, Inc., Google LLC, Rackspace Technology, Inc., SAP SE, and Salesforce, Inc. are the top players in the market.

Which region is expected to hold the highest market share?

North America is expected to hold the highest market share.

Which industry segment is expected to grow at a significant CAGR?

By industry, the healthcare segment is expected to grow with the highest CAGR over the forecast period.

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