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Global Telecom Cloud Market: Major Trends Reshaping the Future of the Industry
Use code ONLINE20 to get 20% off on global market reports and stay ahead of tariff changes, macro trends, and global economic shifts.What Will the Telecom Cloud Industry Market Size Be by 2025?
The size of the telecom cloud market has seen significant expansion in recent years. It is anticipated to see a rise from $44.7 billion in 2024 to $51.37 billion in 2025, experiencing a compound annual growth rate (CAGR) of 14.9%. This historical growth pattern is attributable to several factors such as the advent of hybrid and multi-cloud deployments, the development of cloud-native architectures, early adoption of NFV (network function virtualization), compliance with regulatory norms, and advancements in the integration of AI and machine learning.
What's the Long-Term Growth Forecast for the Telecom Cloud Market Size Through 2029?
In the coming years, the telecom cloud market is anticipated to witness a significant expansion. It is projected to balloon to a market size of $109.03 billion by 2029, with a compound annual growth rate (CAGR) of 20.7%. This surge during the forecast period can be credited to factors like the adoption of customer-oriented solutions, improvement in safety protocols, the growing implementation of cloud-based architectures, the escalating demand for edge computing, and the upswing in network process automation. Chief trends projected for the forecast period include a focus on customer experience enhancement, deployment of 5G networks, integration of edge computing, adoption of open RAN (Radio Access Network), and network slicing for personalized service provision.
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What Are the Key Growth Drivers Fueling the Telecom Cloud Market Expansion?
The surge in need for work-from-home (WFH) systems is a noteworthy driver for the telecom cloud market. The COVID-19 crisis brought about the increased use of this work model. Forced lockdown led businesses to shutter their physical offices for an extended period, pushing people to adopt remote working. The telecom cloud facilitates the placement of employees outside conventional office spaces. For instance, a Forbes report from June 2023 revealed that 12.7% of all full-time professionals were working from home and 28.2% were operating in a mixed work model as of 2023. By 2025, this will translate into 32.6 million Americans working remotely. Therefore, the escalating adoption of WFH is set to spur demand for telecom cloud systems and service markets.
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What Are the Key Trends Driving Telecom Cloud Market Growth?
The emergence and evolution of technology have become a prominent trend in the telecom cloud market. Various firms in the sector are crafting and implementing state-of-the-art solutions with enhanced functions. The introduction of automation empowered by Artificial Intelligence is a significant technological leap forward in this industry. Top-tier communication service providers are using or planning to use AI for automated self-diagnostics and identifying issues. For example, in February 2023, Snowflake, an American Data Cloud corporation, introduced the Telecom Data Cloud. It syncs Snowflake's data platform with solutions provided by both Snowflake and its partners, and also includes industry-specific datasets. This innovation aids telecommunication service providers in dismantling data silos within their corporations and throughout the broader environment, permitting safe and almost immediate access to data. Users can enrich this data with machine learning models, share it, and scrutinize it to make sound decisions. Through the Telecom Data Cloud, Snowflake, along with its partners, aspires to assist telecommunication service providers in expediting digital transformation, improving client interaction, maximizing operational effectiveness, and seizing opportunities to monetize data services.
How Is the Telecom Cloud Market Segmented?
The telecom cloudmarket covered in this report is segmented -
1) By Type: Public Cloud, Private Cloud, Hybrid Cloud
2) By Computing Service: Infrastructure As A Service (IaaS), Platform As A Service (PaaS), Software As A Service (SaaS)
3) By Organization Size: SMEs, Large Enterprise
4) By Application: Data Storage, Achieving, Computing, Enterprise Application, Other Applications
5) By End users: BFSI, Retail, Manufacturing, Transportation And Distribution, Healthcare, Government, Media And Entertainment, Other End Users
Subsegments:
1) By Public Cloud: Multi-Tenant Public Cloud Solutions, Shared Infrastructure Public Cloud
2) By Private Cloud: Dedicated Private Cloud Solutions, Managed Private Cloud Services
3) By Hybrid Cloud: Hybrid Cloud Infrastructure, Hybrid Cloud Management Solutions
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Which Companies Are Leading the Charge in Telecom Cloud Market Innovation?
Major companies operating in the telecom cloud market include AT&T Inc., BT Group PLC, Verizon Communications Inc., Vodafone Group PLC, China Telecommunications Corporation, Amazon Web Services Inc. (AWS), Microsoft Corporation, International Business Machines Corporation (IBM), VMware Inc., Telefonaktiebolaget LM Ericsson, Nokia Corporation, Cisco Systems Inc., Red Hat Inc., Mavenir Systems Inc., Huawei Technologies Co. Ltd., Google LLC, Oracle Corporation, Deutsche Telekom AG, China Mobile Communications Corporation, China Unicom (Hong Kong) Limited, Orange S. A., NTT Communications Corporation, SoftBank Group Corp., Singapore Telecommunications Limited (Singtel), Telstra Corporation Limited, CenturyLink Inc., Colt Technology Services Group Limited, Tata Communications Limited, Zayo Group Holdings Inc., Windstream Holdings Inc.
Which Regions Are Leading the Global Telecom Cloud Market in Revenue?
North America was the largest region in the telecom market in 2024.Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the telecom cloud market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
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