Press release
Cloud Migration Services Market to Reach US$ 63.6 Billion by 2032 at 18.4% CAGR; North America Leads with 40% Share | Key Players Amazon, Microsoft, IBM
Cloud Migration Services
Growth is driven by increasing digital transformation initiatives, the need to optimize IT infrastructure costs, and growing reliance on advanced analytics, AI, and remote workforce enablement. Service providers are offering end-to-end solutions covering assessment, planning, re-platforming, refactoring, security, and post-migration optimization to reduce downtime and risk. While challenges such as data security, compliance requirements, and application complexity persist, ongoing innovation in automation tools and best-practice frameworks continues to strengthen market adoption globally.
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Cloud Migration Services Market is the global market for professional services that help organizations plan, move, optimize, and manage applications and data from on-premises environments to cloud platforms.
Key Developments
✅ January 2026: In the United States, enterprises accelerated cloud migration initiatives by moving mission-critical applications, databases, and workloads to hybrid and multi-cloud environments, supported by AI-driven assessment, automation, and migration orchestration tools.
✅ January 2026: In Japan, organizations increased adoption of cloud migration services focused on legacy system modernization, mainframe-to-cloud transitions, and secure workload replatforming across finance, manufacturing, and public-sector sectors.
✅ January 2026: In Asia-Pacific, demand for cloud migration services rose as enterprises pursued digital transformation, data analytics, and remote operations, driving large-scale migrations to public cloud platforms.
✅ December 2025: In the United States, companies strengthened cloud migration strategies by prioritizing security, compliance, and cost optimization, including governance frameworks and post-migration performance management.
✅ December 2025: In Japan, enterprises collaborated with global cloud providers and system integrators to accelerate phased migration programs while minimizing downtime and operational risk.
✅ December 2025: In Europe, organizations expanded use of cloud migration services to support data residency requirements, regulatory compliance, and industry-specific cloud adoption in sectors such as BFSI, healthcare, and government.
Mergers & Acquisitions
✅ January 2026: In the United States, a global IT services and consulting firm acquired a cloud migration and modernization specialist to strengthen capabilities in large-scale enterprise migrations and cloud-native transformation.
✅ December 2025: In the United States, a cloud services provider completed the acquisition of a migration automation and assessment software company to enhance speed, accuracy, and scalability of cloud migration projects.
✅ December 2025: In Japan, a major system integrator increased its investment in a cloud migration services firm specializing in enterprise workload transitions and cloud optimization.
✅ August 2025: In Europe, an international IT services company acquired a regional cloud migration consultancy to expand expertise in hybrid cloud, data migration, and regulated industry workloads.
Key Players
Cisco Systems | Amazon | Microsoft Corporation | IBM Corporation | Tech Mahindra | NTT DATA, Inc. | VMware, Inc. | WSM International LLC | RiverMeadow Software, Inc. | Others
Key Highlights
Amazon holds 24.6% share, driven by its leadership in cloud infrastructure, scalable migration solutions, and widespread enterprise adoption.
Microsoft Corporation holds 21.3% share, supported by Azure cloud services, strong hybrid cloud offerings, and deep integration with enterprise IT ecosystems.
IBM Corporation holds 13.8% share, leveraging hybrid cloud platforms, enterprise consulting expertise, and large-scale digital transformation projects.
Cisco Systems holds 11.9% share, driven by networking leadership, cloud connectivity solutions, and secure enterprise infrastructure offerings.
VMware, Inc. holds 7.4% share, leveraging virtualization leadership, multi-cloud management platforms, and strong enterprise IT adoption.
NTT DATA, Inc. holds 4.2% share, driven by IT services, cloud consulting, and global enterprise customer base.
Tech Mahindra holds 3.5% share, focused on cloud migration services, managed services, and telecom-led digital transformation solutions.
RiverMeadow Software, Inc. holds 2.1% share, supported by automated workload migration and disaster recovery solutions for hybrid and multi-cloud environments.
WSM International LLC holds 1.6% share, driven by niche cloud migration and infrastructure modernization services.
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Market Drivers
- Growing need among enterprises to modernize legacy IT systems and reduce dependence on on-premise infrastructure.
- Rising adoption of cloud computing to improve scalability, flexibility, and cost efficiency across business operations.
- Increasing demand for remote work enablement, business continuity, and disaster recovery solutions.
- Expansion of data-intensive workloads, AI, analytics, and digital applications requiring cloud-native environments.
- Pressure on organizations to improve security, compliance, and operational resilience through managed cloud platforms.
Industry Developments
- Launch of end-to-end cloud migration services covering assessment, planning, migration, and post-migration optimization.
- Integration of automation, AI, and tools for faster, less disruptive application and data migration.
- Strategic partnerships between cloud service providers, system integrators, and managed service vendors.
- Growing adoption of hybrid and multi-cloud migration strategies to reduce risk and avoid vendor lock-in.
- Increased focus on migration security, compliance validation, and workload optimization after cloud adoption.
Regional Insights
North America - 40% share: "Driven by strong enterprise cloud adoption, presence of major cloud providers, high IT modernization spending, and mature migration ecosystems."
Europe - 28% share: "Supported by digital transformation initiatives, regulatory compliance needs, and growing migration of enterprise workloads to the cloud."
Asia Pacific - 24% share: "Fueled by rapid digitalization, expanding SME cloud adoption, and increasing investments in cloud infrastructure and services."
Latin America - 5% share: "Driven by modernization of enterprise IT environments, rising cloud awareness, and improving regional cloud infrastructure."
Middle East & Africa - 3% share: "Supported by government-led digital initiatives, growing data center investments, and increasing enterprise cloud migration activity."
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Key Segments
By Deployment
Public cloud holds the largest share, driven by scalability, cost efficiency, and wide availability of on-demand services. Private cloud accounts for a significant segment, supported by enhanced data security, compliance requirements, and greater control over infrastructure. Hybrid cloud is growing rapidly, driven by the need to balance flexibility, performance, and data governance across public and private environments.
By Services
Professional services represent a major segment, driven by demand for consulting, system integration, deployment, and customization support. Managed services are expanding steadily, supported by organizations seeking ongoing monitoring, optimization, and operational efficiency.
By Vertical
BFSI dominates adoption, driven by requirements for secure data handling, regulatory compliance, and advanced analytics. Healthcare and life sciences are growing steadily, supported by digital health initiatives, data-driven research, and patient management systems. Telecommunications and IT-enabled services hold a significant share, driven by high data volumes and network modernization. Consumer goods and retail adoption is increasing, supported by e-commerce expansion and customer analytics. Government and public sector usage is rising, driven by digital transformation and smart governance initiatives. Other verticals include education, energy, logistics, and media sectors.
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