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Rising Data Breaches Propel Growth Of Data Recovery Services Market Driving Market Acceleration in the Data Recovery Services Industry, 2025
Data Recovery Services Market
How Large Will the Data Recovery Services Market Size By 2025?
The market size for data recovery services has seen swift expansion in the past few years. The market is set to swell from $4.5 billion in 2024 to $5.23 billion in 2025, an increase echoing a compound annual growth rate (CAGR) of 16.4%. The considerable growth during the historical timeframe may be credited to factors like the escalation in data breaches, the widening adoption of cloud computing, the surge in demand for data storage, strict regulations for data protection, and the proliferation of digitalization.
How Big Is the Data Recovery Services Market Size Expected to Grow by 2029?
The market size for data recovery services is predicted to experience swift expansion in the coming years, with expectations of it reaching $9.55 billion by 2029, boasting a compound annual growth rate (CAGR) of 16.2%. This growth in the forecasted timeframe can be ascribed to the escalating cyber threats, rise of IoT devices, an increase in ransomware attacks, expansion of big data analytics, the usage of AI and machine learning in data recovery, and the internationalisation of enterprises. Notable emerging trends within the forecast period encompass a significant rise in remote data recovery services, the application of blockchain technology in data recovery, increased demand for hybrid cloud data recovery solutions, the extension of data recovery services to mobile devices, and a focus on environmentally-friendly data recovery practices.
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Which Key Market Drivers Powering Data Recovery Services Market Expansion and Growth?
The escalation in data breaches is predicted to spur the expansion of the data recovery services market. A data breach, typified by unauthorized access, disclosure, or procurement of information, jeopardizes its confidentiality, integrity, or availability. The surge in data breaches is due to the intensifying complexity of cyberattacks, insufficient cybersecurity precautions, and increased digitalization of sensitive data. Data recovery services help reduce the effects of data breaches by providing proactive data backup solutions, enabling organizations to promptly retrieve data if a breach occurs, thus minimizing impact and potential losses. For example, the Identity Theft Resource Center (ITRC), a US-based not-for-profit organization committed to reducing the risk and offsetting the impact of identity compromise, reported that there were 3,205 recorded data breaches in 2023, an increase of 78% from 2022 and 72% rise from the prior peak in 2021 in the US. Hence, the growth in data breaches is fueling the expansion of the data recovery services market.
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Which Fast-Growing Trends Are Poised to Disrupt the Data Recovery Services Market?
Key corporations in the data recovery services market are forming strategic alliances, aiming to deliver critical data security services to individuals, companies, and governmental bodies. A strategic partnership allows businesses to utilize each other's capacities and resources for reciprocal advantages and prosperity. In an exemplification of this in July 2022, Mindtree Ltd., a technology consultation and services company based in India, joined forces with Rubrik Inc., a US company excelling in cloud data management and data protection. Their goal is to introduce Mindtree Vault, a consolidated platform for cyber recovery. This platform amalgamates Mindtree's proficiency in project management, cloud technology, data, and cybersecurity with Rubrik's competencies in data resilience, oversight, and recovery. Additionally, it aids in extensive recovery procedures, encompassing evaluation, exploration, migration, recurrent management, and proof-of-concept pilots.
What Are the Emerging Segments in the Data Recovery Services Market?
The data recovery services market covered in this report is segmented -
1) By Type: In-Lab Recovery, Data Recovery Software, Remote Data Recovery, Cloud Data Recovery
2) By Application: Secure Digital (SD) Card, Hard Disk, Universal Serial Bus (USB) Drive, Mobile Phone, Personal Computer (PC) And Tablet, Other Applications
3) By End User: Personal And Commercial, Government And Public Sector, Educational Institutions
Subsegments:
1) By In-Lab Recovery: Hard Drive Recovery, SSD Recovery, RAID Recovery, Tape Recovery
2) By Data Recovery Software: File Recovery Software, Partition Recovery Software, Email Recovery Software, Database Recovery Software
3) By Remote Data Recovery: Enterprise Remote Recovery, Personal Remote Recovery, Mobile Device Recovery
4) By Cloud Data Recovery: Cloud Backup And Recovery, Disaster Recovery As A Service (Draas), Hybrid Cloud Recovery
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Who Are the Global Leaders in the Data Recovery Services Market?
Major companies operating in the data recovery services market are Dell Technologies Inc., Lenovo Group Limited, International Business Machines Corporation, Western Digital Corporation, Seagate Technology Holdings plc, Stellar Information Technology Pvt. Ltd., Atlantix, DriveSavers Data Recovery Inc., WeRecoverData Inc., CBL Data Recovery Technologies Inc., Datlabs, Disk Doctors Labs Inc., Gillware Inc., Secure Data Recovery Services LLC, R3 Data Recovery Ltd., ACE Data Recovery, DataNumen Inc., LC Technology International Inc., Cleverfiles, Fields Data Recovery Ltd., iBoysoft, Ontrack, SalvageData Recovery LLC, TTR Data Recovery Inc., UFS Explorer
Which are the Top Profitable Regional Markets for the Data Recovery Services Industry?
North America was the largest region in the data recovery services market in 2024. The regions covered in the data recovery services market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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