Cloud Analytics Market Expected to Reach $174.5 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Cloud Analytics Market" was valued at $25.4 billion in 2021, and is estimated to reach $174.5 billion by 2031, growing at a CAGR of 21.5% from 2022 to 2031.

Cloud analytics is basically a term for business to carry out the analysis using cloud computing technology. There are range of analytical tools and different techniques available that help companies to retrieve and extract information from the huge database and provide it in a way that is easy to differentiate and categorize among the users. However, cloud analytics is an efficient alternative to on-premises analytics, owing to it requires business to purchase warehouse and maintain expensive data center. Also, on-premises analytics provides companies internal control over the data and the security, which is considered as quite expensive and difficult to manage, while the cloud analytics provides the benefits of better scalability, service model, and cost saving of cloud computing.

Furthermore, easy access and connectivity by business intelligence, increased demand of analytics solutions, and integration of network infrastructures with Software-Defined Networking (SDN) are the key factors that drive of the growth of the global cloud analytics market trends. However, privacy and data security issues with confidential data and lack of internal IT experience and resources are expected to hinder the growth of the market. Moreover, increasing data connectivity through hybrid cloud environment is expected to offer remunerative opportunities for expansion during the cloud analytics market forecast.

Depending on the enterprise size, the large enterprise segment dominated the cloud analytics market share in 2021 and is expected to continue this trend during the forecast period, owing to requirement for increased resilience, improved security, and lower costs. Moreover, the large enterprise uses cloud analytics which helps in speeding application development and deployment, also PaaS platforms can provide environment to further simplify development. However, the SMEs segment is expected to witness the highest growth in the upcoming years, owing to the cloud analytics services which boost the productivity, save time and money for business, which create the opportunities for cloud analytics in the market.

Region-wise, the cloud analytics market size was dominated by North America in 2021 and is expected to retain its position during the forecast period, owing to the adoption of cloud-based analytics solutions to fulfil user demand for better integration and data visualization. In addition, the rising shift towards subscription-based services, increased penetration of smartphones, and technological advancement in the region have bolstered the regional market. However, Asia Pacific is expected to witness significant growth during the forecast period, owing to the growing adoption of data analytics and cloud computing in the region.

The spread of COVID-19 has impacted the global market moderately. The expansion of IT infrastructure has slowed down due to a decrease in supply, reduced capacity in the wake of pandemic, the major hassle and inconvenience to upgrade all the hardware and software. Moreover, due to the use of more technologies to do the work during COVID, the users faces poor connectivity, slow processing speeds, and frustratingly complicated data storage. However, the use of collaborative apps, analytics, security solutions, and artificial intelligence (AI) is expected to rise in the second half of the year, i.e., 2022. Throughout the COVID-19 pandemic, enterprises and governments also faced the need to solve analytical issues that are faced while executing main business decisions. Cloud-based analytics solutions and platforms have enabled enterprises to increase operational efficiency and reduce costs. During the spread of COVID-19, enterprises have recognized the need for analytical solutions that can access huge amounts of data and allow data analysts to focus on data-driven goals to get insights from the data.

KEY FINDINGS OF THE STUDY

• By solution, the analytics solution segment accounted for the largest cloud analytics market share in 2021.
• By deployment mode, the public cloud segment dominates the cloud analytics industry.
• On the basis of enterprise size, the large enterprise segment generated the highest revenue in 2021.
• By industry vertical, the BFSI segment generated the highest revenue in 2021.
• Region-wise, North America generated the highest revenue in 2021

The key players profiled in the cloud analytics market analysis are Amazon Web Service, IBM, Google, Hewlett Packard Enterprise, Oracle, Google, TIBCO Software Inc., Teradata Corporation, SAP SE, and Microsoft. These players have adopted various strategies to increase their market penetration and strengthen their position in the cloud analytics industry.