"Smart Strategies, Giving Speed to your Growth Trajectory"
The global network attached storage market size was USD 21.75 billion in 2020 and is projected to grow from USD 25.08 billion in 2021 to USD 91.23 billion in 2028, at a CAGR of 20.3% during the 2021-2028 period. Based on fortune business insights analysis, the global market will exhibit a lower growth of 14.9% in 2020 than the average year-on-year growth during 2017-2020. This sudden spike in CAGR is attributable to the market’s growth and demand returning to pre-pandemic levels once the pandemic is over.
The adoption of network-attached solutions is primarily driven by increasing hybrid and cloud storage deployment, owing to the growing demand for data backup and redundancy. Network-attached systems facilitate higher data manageability and scalability for handling and storing the data. The increasing usage of smart connected and IoT devices such as smartphones, tablets, and laptops has led to vast volumes of data. According to the World Economic Forum Organization, consumer spending on IoT devices reached USD 236 billion in 2019, and global IoT investments by businesses reached USD 832 billion in the same year. This increase in IoT device spending and surge in the number of IoT connections would generate vast volumes of data. This creates a massive demand for data storage with extended capabilities.
COVID-19 Out-Break Uplifted Demand for Network attached storage Solutions Steadily
The COVID-19 pandemic has hampered several business operations across several industries. Key providers are developing advanced storage facilities to meet growing data storage demand around the globe. According to the Forbes report, in 2020, an estimated 2.5 quintillion bytes of data are created each day, and the data is accelerating with the increasing internet connection adoptions. Also, during the COVID-19 pandemic, the demand for the network attached storage solutions increased with a surge in internet traffic. According to the Association for Computing Machinery Organization Report in 2020, European countries have shown over a 20% surge in internet traffic after a period of the official announcement of the lockdown.
Further, the demand for network attached storage hardware devices has declined due to supply chain disruption closer import and export activities globally. This shows that the shipments were reduced during the lockdown imposed by several countries globally. Further, companies have increased their selling price due to a shortage of raw materials and production halts. Additionally, post COVID-19 pandemic, the demand for these storage solutions has shown steady growth with increasing demand for data storage. In the first quarter of 2021, several leading players have developed advanced network storage solutions to meet the growing demand for storing high-volume data. For instance,
Request a Free sample to learn more about this report.
Increasing Popularity Among Small and Mid-Size Businesses across End-user Industries to Fuel the Network Attached Storage Market Progress
Network Attached Storages are gaining popularity in small and medium-sized businesses owing to cost-effectively setting up for small offices. It uses external hard drives and directly stores the required data. The users can easily access the data using a network connection in this storage system. The servers help organizations provide a tremendous competitive advantage, increase customer service, and extend collaborative reach. These systems are simple, easy data backup, and facilitate easy and reliable data centralization with reasonable cost. These factors would contribute to the increasing adoption of these systems among organizations.
Increasing Demand for Data Backup and Redundancy with Surge in Digital Transformations of the Businesses Aid the Market Growth
Increasing demand for data backup and redundancy in the industries due to a surge in digital transformation has propelled the network attached storage market growth. With growing digital technology adoption and rise in demand for data backup & storage in the end-use industries is gaining potential demand for the NAS solutions. Network attached storage is primarily used as a centralized & shared storage system for digital files. Multiple hardware hard drives and servers are combined in a single system. Several leading players are developing advanced solutions and services for data storage, backups, and redundancies. For instance,
Rapid Deployment of Next-generation Wireless Internet Technology Is Expected to Aid the Market Growth
Several telecommunication service providers such as T-Mobile US, Inc., Nokia Corporation, AT&T, Telefonaktiebolaget LM Ericsson, and Telefonica S.A. have invested in the 5G services deployments. Increasing investment in 5G and the surge in the sale of millions of devices drive the demand for market growth and the development of smart cities, factories, and smart agriculture. Also, there is a rising demand for several smart applications such as smart city projects and smart homes to be connected to the cloud that generates a massive amount of data. The increasing sale of connected smart devices around the globe with the surge in internet penetration has propelled the market growth. For instance, According to the IDC report, in 2020, the connected devices sale reached around 41 billion devices and is projected to reach approximately 75 billion devices by 2025. Such an increase in the sale of connected devices could generate about 79.4 zettabytes of data by 2025. Such an increase in massive data creates an enormous opportunity for market growth.
Concerns Regarding Cyber-attacks and Data Breaches on Servers and Hard drives to Impede Market Growth
Network attached storage is used as connected storage devices and provides file services to computer systems. These devices consist of storage systems for files and documents storage. This stored data is subjected to cyber security risks from cyber attackers. Data security and privacy are essential parameters for the network attached storage systems servers and hardware. For instance, in August 2021, according to the Palo Alto Networks Inc. researcher’s study, an estimated 240,000 QNAP Systems NAS devices and approximately 3,500 Synology’s NAS devices were exposed to cyber-attacks. However, as per the Synology Report, the brute force technique implemented the cyber-attacks. Synology collaborated with the Taiwan computers emergency response team center (TWCERT/CC) to avoid such attacks. Through this collaboration, Synology created awareness among all the users to reinforce security to safeguard the user data.
To know how our report can help streamline your business, Speak to Analyst
Rising Development of NAS Solutions for Mid-Market By Leading Players to Aid Industry Growth
The market is classified into high-end/enterprise, mid-market, and low-end based on the product type. The mid-market is forecast to hold a significant network attached storage market share. Several leading players offer NAS solutions for mid-market enterprises for data storage. For instance, Oracle Corporation’s Sun ZFS Storage NAS product was designed for the mid-market. These products provide improved performance and efficiency for mid-sized enterprises' storage. Several leading players are developing advanced mid-market NAS products to offer storage facilities for enterprises and consumers. For instance,
The low-end products are projected to register the highest growth rate in developing countries, including India, China, and Brazil. Also, the high-end enterprise products are anticipated to witness steady growth in the global market with the highest share in the developed region, including North and Europe.
Rising Development of Scale-Out Storage Solutions Aid Market Growth
Based on storage solutions, the network attached storage market is divided into scale-out and scale-up. Among these, scale-up solutions capture the largest share during the forecast period owing to rising demand for additional data storage across enterprises around the globe.
The scale-out storage solution is expected to grow with the highest CAGR during the forecast period. This is primarily attributed to the increasing development of advanced Scale-out solutions facilitate superior performance and employ improved efficiency and agility. For instance,
Retail and E-commerce Dominate Generation of Huge Customer Database
The market is categorized by end-user into healthcare, banking, financial services and insurance (BFSI), IT & telecom, retail & e-commerce, automotive, and others (government, energy & utilities, media & entertainment, and others.)
IT and Telecom sector dominating the industry owing to a surge in ICT infrastructure investment and rising ICT spending by enterprises. According to IDC Report, in 2020, global ICT spending will reach USD 4.8 trillion in 2021.
The retail and e-commerce industry is growing with a steady growth rate in the global market. E-commerce companies are investing a considerable amount in the market owing to a surge in a significant number of customers’ data generation. The increasing number of E-commerce companies with rising online shopping by the customers drives the market growth. For instance, globally, around 12 to 24 million e-commerce sites are growing day by day. This increase in the number of e-commerce companies with rising online shopping trends drives the demand for NAS solutions to store huge customer data volumes.
North America Network Attached Storage Market Size, 2020 (USD billion)
To get more information on the regional analysis of this market, Request a Free sample
The network attached storage market has been analyzed across five major regions: North America, Europe, Asia Pacific, the Middle East, Africa, and Latin America.
North America holds the largest share in the market during the forecast period. This is primarily attributed to several leading players such as Buffalo Americas Inc., Dell Technologies Inc., Hewlett Packard Enterprise Company, Western Digital Corporation, and others. Increasing investment by the private and public companies for wireless technologies in this region drives the market growth. According to the Cellular Telecommunications Industry Association (CTIA), the U.S.-based wireless technology providers invested around USD 29.1 billion in 2019. Also, several telecom players planned 5G networks development projects across the country. It created a demand for advanced storage solutions to store a massive amount of data generated from wireless technology-based connected devices.
Europe is anticipated to grow with a significant growth rate during the forecast period. This is due to the rising number of connected devices and the surge in considerable volumes of data generation. Also, Europe has the highest number of fixed broadband connections adoption rates, owing to increased digitalization in businesses and consumers. According to International Telecommunication Union (ITU) Report in 2020, Europe has the highest fixed-broadband subscription rates. According to the International Telecommunication Union (ITU), estimated fixed-broadband penetration in Europe reached 32.9% in 2020, which was increased as high as compared to the global average of 15.2%. Such an increase in the internet penetration globally with the surge in the fixed broadband connections in a centralized location of European countries has propelled the demand for network attached storage products and solutions.
Asia Pacific is anticipated to grow with a significant CAGR and represents lucrative opportunities for market growth during the forecast period. This is primarily attributed to the growing adoption of connected devices such as smartphones. IoT devices drive market growth across the region. According to GSMA Intelligence Report, the IoT devices sale is expected to reach 11 billion devices by 2025 and is projected to be worth USD 386 billion by 2025 in the APAC region. Such an increase in IoT connections is expected to create a lucrative opportunity for market growth.
To know how our report can help streamline your business, Speak to Analyst
South America, the Middle East, and Africa are expected to show moderate growth during the forecast period. This is due to rising notable digitization across several key countries such as Brazil, South Africa, UAE, Argentina, Chile, and others. Also. Increasing penetration of the Internet of Things Devices and surge in the enormous volumes of big data have propelled the NAS market growth. According to GSMA Intelligence Report in 2020, the IoT connections are increasing with an average of 14% annually in Latin America and are projected to reach 1.3 billion devices by 2025. An increase in the IoT connections adoption will boost the NAS market growth during the forecast period.
Market players to Focus on Developing Advanced Products to Increase their Shares
Key players in the market such as Western Digital Corporation, Seagate Technology plc, Synology Inc., Hitachi Ltd, Thecus Technology Corporation, and others are developing advanced products. Also, leading players are adopting several strategies such as mergers, acquisitions, partnerships, collaborations, and new product development to meet the demand from end-users. For instance:
An Infographic Representation of Network-Attached Storage Market
To get information on various segments, share your queries with us
The network attached storage market research report provides a detailed analysis of the market and focuses on key aspects such as leading companies, product types, and leading applications of the product. The market study also incorporates customized research on different parts of the market. Besides this, the report offers insights into the market trends and highlights key industry developments. In addition to the aforementioned factors, the report encompasses several factors that have contributed to the growth of the advanced market over recent years. The company offers a free sample of the information for review.
Value (USD billion)
Product Type; Storage Solution; End-user; and Geography
By Product Type
By Storage Solution
The market is expected to reach USD 91.23 billion by 2028.
In 2020, the market size stood at USD 21.75 billion.
The market is projected to grow at a CAGR of 20.3%.
The midmarket is likely to lead the market.
The increasing adoption of wireless technology products and surge in the massive amount of data generation is escalating the market growth.
Dell Technologies Inc., Western Digital Corporation, Synology, Inc., QNAP Systems, Inc., NetApp, Inc., Hewlett Packard Enterprise Company (HPE), and others are the top players in the market.
North America is expected to hold the highest global share in the market.
Retail & e-commerce industries are expected to grow with a CAGR of 23.1%.
“Kudos to your team. Thank you very much for your support and agility to answer our questions.”- Europe-based provider of solutions to automate data centre operations.
“We appreciate you and your team taking out time to share the report and data file with us, and we are grateful for the flexibility provided to modify the document as per request. This does help us in our business decision making. We would be pleased to work with you again, and hope to continue our business relationship long into the future.”- India-based manufacturer of industrial and specialty intermediates with a strong global presence.
“I want to first congratulate you on the great work done on the Medical Platforms project. Thank you so much for all your efforts.”- One of the largest cosmetics company in the world.
“Thank you very much. I really appreciate the work your team has done. I feel very comfortable recommending your services to some of the other startups that I’m working with, and will likely establish a good long partnership with you.”- U.S. based startup operating in the cultivated meat market.
“We received the below report on the U.S. market from you. We were very satisfied with the report.”- UGlobal hearing aids manufacturer.
“I just finished my first pass-through of the report. Great work! Thank you!”- U.S. based solar racking solutions provider.
“Thanks again for the great work on our last partnership. We are ramping up a new project to understand the imaging and imaging service and distribution market in the U.S.”- World’s leading advisory firm.
“We feel positive about the results. Based on the presented results, we will do strategic review of this new information and might commission a detailed study on some of the modules included in the report after end of the year. Overall we are very satisfied and please pass on the praise to the team. Thank you for the co-operation!”- Germany based machine construction company.
“Thank you very much for the very good report. I have another requirement on cutting tools, paper crafts and decorative items.”- Japanese manufacturing company of stationery products.
“We are happy with the professionalism of your in-house research team as well as the quality of your research reports. Looking forward to work together on similar projects”- One of the Leading Food Companies in Germany
“We appreciate the teamwork and efficiency for such an exhaustive and comprehensive report. The data offered to us was exactly what we were looking for. Thank you!”- Intuitive Surgical
“I recommend Fortune Business Insights for their honesty and flexibility. Not only that they were very responsive and dealt with all my questions very quickly but they also responded honestly and flexibly to the detailed requests from us in preparing the research report. We value them as a research company worthy of building long-term relationships.”- Major Food Company in Japan
“Well done Fortune Business Insights! The report covered all the points and was very detailed. Looking forward to work together in the future”- Ziering Medical
“It has been a delightful experience working with you guys. Thank you Fortune Business Insights for your efforts and prompt response”- Major Manufacturer of Precision Machine Parts in India
“I had a great experience working with Fortune Business Insights. The report was very accurate and as per my requirements. Very satisfied with the overall report as it has helped me to build strategies for my business”- Hewlett-Packard
“This is regarding the recent report I bought from Fortune Business insights. Remarkable job and great efforts by your research team. I would also like to thank the back end team for offering a continuous support and stitching together a report that is so comprehensive and exhaustive”- Global Management Consulting Firm
“Please pass on our sincere thanks to the whole team at Fortune Business Insights. This is a very good piece of work and will be very helpful to us going forward. We know where we will be getting business intelligence from in the future.”- UK-based Start-up in the Medical Devices Sector
“Thank you for sending the market report and data. It looks quite comprehensive and the data is exactly what I was looking for. I appreciate the timeliness and responsiveness of you and your team.”- One of the Largest Companies in the Defence Industry