Desktop Virtualization Market Expected to Reach USD 28.3 Billion by 2031 | CAGR 9.5% [PDF Version]

According to the report, the global desktop virtualization industry generated $11.5 billion in 2021, and is anticipated to generate $28.3 billion by 2031, witnessing a CAGR of 9.5% from 2022 to 2031.

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The increase in need to improve employee efficiency and enhanced data security offered by desktop virtualization drive the growth of the global desktop virtualization market. However, performance and compatibility issues and expensive deployment and sign-up costs of desktop virtualization platforms are hampering the market growth.

On the contrary, an increased market for workspace as a service is expected to offer remunerative opportunities for expansion of the desktop virtualization industry during the forecast period.

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Covid-19 Scenario:

• The outbreak of the Covid-19 pandemic had a positive impact on the global desktop virtualization market. This is due to the dramatically increased digital penetration during the period of the global lockdown and stringent social distancing policies, which fueled the demand for remote operational tools such as desktop virtualization tools.

• The demand for virtual desktop infrastructure (VDI) has grown by over 70% during the period. Many businesses and their employees adopted remote working and work-from-home culture, which in turn, fueled the adoption of desktop virtualization tools during the period.

• Moreover, with the outbreak of COVID-19, businesses have been forced to increase their online presence. This improved the reliance on digital solutions more than ever before.

• Desktop virtualization tools supported small businesses in maintaining their business operations as normal during the pandemic. Also, the growing demand for cloud services and the lower availability of skilled employees during the period drove the demand for desktop virtualization.

Based on type, the virtual desktop infrastructure (VDI) segment held the highest market share in 2021, accounting for nearly two-thirds of the global desktop virtualization market, and is estimated to maintain its leadership status throughout the forecast period, owing to VDI solutions being cheap to deploy and manage.

However, the desktop-as-a-service (DaaS) segment is projected to manifest the highest CAGR of 11.6% from 2022 to 2031, owing to the surge in the complexity of modern IT and networks.

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Based on offering, the solution segment held the highest market share in 2021, accounting for around two-thirds of the global desktop virtualization market, and is estimated to maintain its leadership status throughout the forecast period, owing to the rise in need for IT infrastructure management solutions.

However, the service segment is projected to manifest the highest CAGR of 10.4% from 2022 to 2031, owing to the increase in demand for desktop devices in modern business environment.

Based on enterprise size, the large enterprise segment accounted for the largest share in 2021, contributing to nearly three-fourths of the global desktop virtualization market, and is projected to maintain its lead position during the forecast period.

This is owing to large scale IT applications of large enterprises. However, the SMBs segment is expected to portray the largest CAGR of 10.7% from 2022 to 2031, owing to increase in technological investments by SMEs.

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Based on region, North America held the highest market share in terms of revenue in 2021, accounting for more than one-third of the global desktop virtualization industry, owing to the high concentration of specialized VDI vendors in the region. However, the Asia-Pacific region is expected to witness the fastest CAGR of 11.1% from 2022 to 2031. This is owing to the ongoing digital transformation of the region.

The key players profiled in the desktop virtualization market analysis are Amazon Web services, Inc., Cisco Systems, Inc., Citrix Systems, Inc., Datacom Group Ltd., DXC Technology Company, Huawei Technologies Co., Ltd., International Business Machine Corporation, Ivanti, Kyndryl Inc., Microsoft Corporation, Nasstar, NetApp, NTT DATA Corporation, Nutanix, Oracle Corporation, Pure storage, Inc., Softchoice, VMware, Inc. These players have adopted various strategies to increase their market penetration and strengthen their position in the industry.

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