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Cloud Orchestration Market Segmentation and Industry Analysis - Forecast by 2023
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The government & education and banking, financial services, and insurance (BFSI) segments have witnessed high demand for cloud orchestration due to expanding customer base and internet users. In addition, reduced investment for new software and services in the banking and insurance industries is expected to drive the cloud orchestration market in the near future. Moreover, the healthcare segment has exhibited an increase in cloud adoption across various regions, owing to its low cost and improved reliability & scalability.
North America was the highest market in cloud orchestration industry in 2016, owing to the growth in demand for low-cost cloud infrastructure development and demand for optimized process automation by the enterprises. Several industry verticals, such as healthcare, manufacturing, retail, and others, are adopting cloud orchestration solution for better business orientation. For instance, in September 2016, Oracle Corporation launched a cloud orchestration solution for optimized marketing operations in the retail industry. In addition, industry participants have realized the importance of strengthening the overall cloud orchestration solution to ensure competence and effectiveness of business operations and process setups in several emerging markets, such as Asia-Pacific, Latin America, and the Middle East.
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The surge in ICT expenditure and increase in cloud adoption across industry verticals, including BFSI, retail, healthcare, manufacturing, and government & education, are anticipated to augment the cloud orchestration market penetration. Asia-Pacific and Europe have witnessed the adoption of cloud orchestration adoption, high adoption of Internet of Things (IoT) technology, and surge in demand for low-cost IT infrastructure deployment, which is anticipated to fuel the cloud orchestration market growth in the coming years.
North America was the highest revenue contributor in 2016, accounting for around 45.5% share of the overall cloud orchestration market. In addition, Asia-Pacific is projected to grow at the highest CAGR of 23.8% during the forecast period, driven by growth in penetration of workforce mobility and cloud adoption by small- and mid-sized companies.
Dominating Market Players profiled in the study:
•IBM Corporation
•Oracle Corporation
•Amazon Web Services Inc.
•Rackspace U.S. Inc.
•Hewlett Packard Enterprise Development LP
•VMware Inc.
•Cisco Systems Inc.
•Red Hat, Inc.
•BMC Software, Inc. and
•FlexiScale Technologies Limited.
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Key Findings of the Cloud Orchestration Market:
•The hybrid deployment model segment accounted for the highest share of the cloud orchestration market in 2016, growing at a CAGR of 22.6% from 2017 to 2023.
•North America generated the highest revenue in 2016, valued at $1,589 million.
•SMEs dominate the cloud orchestration market, in terms of growth, and are expected to lead during the forecast period as well.
•The U.S. led the cloud orchestration market in 2016. In addition, Canada, China, UK, Japan, and the other emerging markets are anticipated to provide significant opportunities for major players.
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Hybrid deployment model is expected to witness the highest growth rate during the forecast period, owing to enhanced flexibility in switching cloud space depending upon the functions of the orchestration process and usage in the cloud. Moreover, an increase in demand for cloud automation, security, protected networks and reduced IT expenditure is anticipated to drive the cloud orchestration adoption among SMEs.
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