Hosting Infrastructure Service Market to Register Substantial Expansion by 2027
Cost saving -the company doesn’t need to spend on high cost of hardware, downtime loss, maintenance of hardware and networking equipment or replacement of older hardware parts.
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Scalability and flexibility- hosting infrastructure service benefits end user to scale up and down their storage and infrastructure capability without any limit as this service is based on the pay-as-you-go pricing model.
Better focus on their business- by adopting service based infrastructure model, the company can focus its time and resources where they belong, in company’s growth and expansion.
Global Hosting Infrastructure Service Market: Drivers and Challenges
Increased technological innovation and IT penetration in developing countries are contributing immensely in the growth of global hosting infrastructure service market. The rising number of small and medium enterprises across the globe with adoption of online business model are key factors expected to drive global hosting infrastructure service market.
Furthermore, for past couple of years the rapidly increasing number of hosting service providers in the global world is making the industry competitive and has led to price war between companies, which is the main challenge being faced by hosting infrastructure service providers across the globe specially in developing regions. Also, the increasing complexities in network architecture limits the hosting infrastructure service providers to offer customized end to end solution at comparative lower price.
Global Hosting Infrastructure Service Market: Segmentation
Global hosting infrastructure service market is segmented on the basis of service type, end user, vertical and geography. On the basis of service type, global hosting infrastructure service market is segmented into colocation services, hybrid hosting, managed hosting and virtual private servers. Among all these segments, managed hosting service segment of global hosting infrastructure service market is estimated to be the dominant segment in 2015 and expected to remain dominant throughout the forecast period as various hosting infrastructure service providers keep on improving their service delivery architecture with automation, orchestration, faster provisioning and scaling & flexibility features.
On the basis of end user, global hosting infrastructure service market is segmented into small enterprises, medium enterprises and large enterprises. Among these end user segment, adoption rate of hosting infrastructure service by medium enterprises is highest followed by large enterprises and over the forecast period, small enterprise segment of global hosting infrastructure service market is expected to grow with significant CAGR. Based on the verticals, global hosting infrastructure service market is segmented into BFSI, Retail and E-Commerce, IT and Telecommunication, Energy and Utility, Transportation and Logistics, Government Offices, Aerospace and Defense and Healthcare. BFSI sector is estimated to be the dominant vertical segment of global hosting infrastructure service market.
Global Hosting Infrastructure Service Market: Regional Outlook
On the basis of geography, global hosting infrastructure service market is segmented into seven regions: North America, Latin America, Western Europe, Eastern Europe, MEA, Asia Pacific Excluding Japan and Japan. Among these regions, North America is estimated to be the dominant market followed by Western Europe and Asia Pacific hosting infrastructure service market is expected to grow with highest CAGR over the forecast period owing to tremendously increasing number of SMBs in the region.
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Global Hosting Infrastructure Service Market: Competition Scenario
Prominent players of hosting infrastructure service market are focusing more on managed service to make it more modular and automated. Few of the prominent players of global hosting infrastructure service market are Amazon Web Services, Inc., GoDaddy, Hewlett Packard Enterprise Development LP, Google, IBM Corporation, Rackspace Inc., CenturyLink, Inc., CSC, Internap Corporation, Microsoft and others.
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