Application Hosting Market to Surpass USD 178.1 Billion by

Pune, Oct. 31, 2023 (GLOBE NEWSWIRE) —

“The SNS Insider report states that the Application Hosting Market was valued at USD 67.0 billion in 2022 and is projected to reach USD 178.1 billion by 2030, with a compound annual growth rate (CAGR) of 13% anticipated during the forecast period from 2023 to 2030.”

Market Overview

Application hosting is the practice of deploying and operating software applications on remote servers, making them accessible to users over the internet. Instead of installing and running applications locally on individual devices, users can access these applications via a web browser. The hosting service provider is responsible for maintaining the servers, ensuring uptime, and handling technical aspects, allowing businesses and individuals to focus on using the applications rather than managing the underlying infrastructure.

Market Analysis

The proliferation of smartphones and the increasing reliance on mobile apps across various industries have significantly boosted the demand for application hosting services. As businesses develop mobile applications to enhance customer engagement and expand their reach, reliable hosting solutions become crucial. Application hosting providers offer optimized infrastructure to ensure seamless performance and accessibility of these mobile apps, catering to the growing market needs. In an era where data breaches and cyber threats are prevalent, businesses prioritize the security and compliance aspects of application hosting. Hosting providers are investing heavily in robust security measures, including encryption protocols, multi-factor authentication, and regular security audits. Moreover, adherence to industry-specific regulations and compliance standards ensures that businesses can trust their hosting partners with sensitive data, thereby fueling application hosting market growth.

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Key Company Profiles Listed in this Report are:

  • IBM
  • Google
  • Rackspace
  • Microsoft
  • Liquid Web
  • Sungard AS
  • DXC
  • Apprenda
  • Navisite
  • GoDaddy & Other Players

Application Hosting Market Report Scope:

Report Attributes Details
Market Size in 2022  US$ 67.0 Bn
Market Size by 2030  US$ 178.1 Bn
CAGR  CAGR of 13% From 2023 to 2030
Base Year  2022
Forecast Period  2023-2030
Report Scope & Coverage Market Size, Segments Analysis, Competitive Landscape, Regional Analysis, DROC & SWOT Analysis, Forecast Outlook
Key Regional Coverage • By Hosting Type (Managed, Cloud, Colocation)
• By Service Type (Application Monitoring, Application Programming Interface Management, Infrastructure Services, Data Based Administration, Backup, Application Security)
• By Application (Mobile Based, Web Based)
• By Organization Size (Large Enterprise, Small and Medium Size Enterprise)
• By Industry (BFSI, Retail and Ecommerce, Healthcare, Media and Entertainment, Energy and Utilities, Telecommunications and IT, Manufacturing)

Key Takeaway from Application Hosting Market Study

  • The application monitoring segment stands out as a crucial segment, dominating the market with its advanced technologies and innovative solutions. This segment is marked by its ability to monitor applications in real-time, ensuring seamless performance, optimal user experience, and robust security protocols.
  • The large enterprise segment stands as a powerhouse, driving innovation and shaping the industry’s future. Large enterprises, characterized by their extensive resources, complex infrastructures, and diverse customer bases, are at the forefront of adopting advanced application hosting solutions. Their unique requirements and substantial investments fuel the growth of this segment, making it a dominant force in the application hosting market.

Recent Developments

  • HostPapa has recently announced its acquisition of Cloud 9 Hosting. HostPapa’s reputation for reliability and Cloud 9 Hosting’s expertise in advanced hosting solutions seem to complement each other seamlessly, promising customers a host of benefits.
  • Kinsta, a leading player in the web hosting industry, has recently unveiled its innovative Application Hosting and Database Hosting services. Kinsta’s new Application Hosting services are designed to cater to the dynamic needs of modern applications.

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Market Dynamics Analysis

As enterprises increasingly migrate their operations to cloud-based applications, the demand for reliable and scalable hosting solutions surges. Moreover, the growing trend of remote workforces amplifies this need, pushing organizations to invest in hosting services that ensure seamless access and data security. Additionally, the rapid advancements in technologies such as edge computing and IoT devices are compelling businesses to seek hosting solutions capable of handling complex and data-intensive applications. However, amidst these opportunities, there exist significant challenges and restraints. Security concerns loom large as cyber threats become more sophisticated, posing a substantial threat to hosted applications and sensitive data. Compliance with regulations and standards also presents a challenge, especially for industries with strict data governance requirements. Furthermore, the fast-paced evolution of hosting technologies creates a challenge for businesses to keep up, requiring constant adaptation and skill development. In this dynamic application hosting market, the competition among hosting service providers intensifies, making it essential for companies to differentiate their offerings and provide unparalleled value to their clients.

Application Hosting Market Key Segmentation:

By Hosting Type

 By Service Type

  • Application Monitoring
  • Application Programming Interface Management
  • Infrastructure Services
  • Data Based Administration
  • Backup, Application Security

 By Application

By Organization Size

  • Large Enterprise
  • Small and Medium Size Enterprise

By Industry

  • BFSI
  • Retail and Ecommerce
  • Healthcare
  • Media and Entertainment
  • Energy and Utilities
  • Telecommunications and IT
  • Manufacturing

Key Regional Developments

North America stands tall as the hub of technological innovation, fostering a highly developed application hosting market. The presence of major tech giants and a robust IT infrastructure drive the market growth. Europe embraces a diverse landscape of hosting solutions tailored to meet the unique needs of various industries. The market in Europe is characterized by a mix of cloud, dedicated, and shared hosting services. The Asia-Pacific region is witnessing unprecedented growth in digital transformation, propelling the market to new heights. Countries like China, India, and Japan are experiencing a surge in e-commerce, mobile apps, and online services, leading to an increased demand for hosting services.

Impact of Recession on Application Hosting Market Growth

The recession has accelerated the shift from traditional in-house hosting to manage hosting services. With managed hosting, businesses can outsource their hosting needs to specialized providers, reducing the burden on their IT departments and cutting operational costs. This trend is likely to continue as companies recognize the value of expert management and support, especially when facing economic uncertainties. Despite the challenges posed by the recession, the application hosting market is witnessing a surge in innovation. Hosting providers are investing in research and development to offer more efficient, secure, and user-friendly hosting solutions.

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Table of Contents

1. Introduction

2. Research Methodology

3. Market Dynamics

4. Impact Analysis

5. Value Chain Analysis

6. Porter’s 5 forces model

7. PEST Analysis

8. Application Hosting Market Segmentation, by Hosting Type

9. Application Hosting Market Segmentation, by Service Type

10. Application Hosting Market Segmentation, by Application

11. Application Hosting Market Segmentation, by Organization Size

12. Application Hosting Market Segmentation, By Industry

13. Regional Analysis

14. Company Profile

15. Competitive Landscape

16. USE Cases and Best Practices

17. Conclusion

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About Us:

SNS Insider is one of the leading market research and consulting agencies that dominates the market research industry globally. Our company’s aim is to give clients the knowledge they require in order to function in changing circumstances. In order to give you current, accurate market data, consumer insights, and opinions so that you can make decisions with confidence, we employ a variety of techniques, including surveys, video talks, and focus groups around the world.

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