Desktop as a Service - South Africa

Revenue in the Desktop as a Service market is projected to reach US$29.51m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 14.47%, resulting in a market volume of US$58.01m by 2029.
The average spend per employee in the Desktop as a Service market is projected to reach US$1.17 in 2024.
In global comparison, most revenue will be generated United States (US$2.04bn in 2024).

Definition:

Desktop as a Service (DaaS) refers to the type of public cloud service that provides virtual desktop environments and is accessible from any device with an internet connection. It is a cloud solution that virtualizes the desktop experience, thus providing convenience, mobility, and ease of management while freeing the users from the constraints of traditional hardware-based computing. A typical example of this type of service is VMware Horizon Cloud.

Additional Information:

The Desktop as a Service (DaaS) market comprises revenue, revenue change, average spend per employee, and key player market shares as key performance indicators. Only revenues that are generated by primary vendors at the manufacturer price level either directly or through distribution channels (excluding value-added tax) are included, and revenues generated by resellers are excluded. Revenues are generated through both online and offline sales channels and include spending by consumers (B2C), enterprises (B2B) as well as governments (B2G). Detailed definitions of each market can be found on the respective page where the market data is displayed.

Key players in the DaaS market include companies such as VM Ware (Horizon Cloud), Dell Technologies cloud, and Nutanix Frame.

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Virtual desktop services for remote work, such as Amazon WorkSpaces and Zoho Workplace
Virtual desktop infrastructure (VDI), such as VMware Horizon Cloud and Citrix Virtual Apps and Desktops
Virtual desktop services for graphics-intensive applications, such as Teradici cloud access software and NVIDIA Virtual GPU (vGPU)
Virtual desktop services for other use cases, eg, specific industry applications and secure and compliant solutions, such as HPE GreenLake VDI and Dizzion DaaS

Private cloud services, such as IBM Cloud Private, Microsoft Azure Stack HCI, and VMware vCloud Suite
Physical data centers, such as Dell PowerEdge Servers, Lenovo Think System Servers, and HPE ProLiant Servers

The Desktop as a Service market within the Public Cloud in South Africa is witnessing considerable growth, fueled by increasing remote work trends, enhanced cybersecurity needs, and the demand for scalable IT solutions among businesses and organizations.

Customer preferences: In South Africa, there is a growing preference for flexible work environments, prompting businesses to adopt Desktop as a Service (DaaS) solutions within the Public Cloud. This shift reflects a cultural embrace of work-life balance, as employees increasingly prioritize remote access and collaboration tools. Additionally, the rise of the gig economy is influencing organizations to seek scalable IT solutions that adapt to fluctuating workforce demands. Enhanced focus on data security further drives the adoption of DaaS, as companies aim to protect sensitive information in an evolving digital landscape.

Trends in the market: In South Africa, the Desktop as a Service (DaaS) market within the Public Cloud is experiencing significant growth, driven by the increasing demand for remote work solutions. Organizations are prioritizing flexible work environments, enabling employees to access essential tools from anywhere. This trend is coupled with a heightened emphasis on data security, as businesses seek to safeguard sensitive information. Additionally, the rise of the gig economy is prompting companies to adopt scalable DaaS solutions that can efficiently respond to changing workforce needs, ultimately reshaping IT strategies and enhancing operational agility for industry stakeholders.

Local special circumstances: In South Africa, the Desktop as a Service (DaaS) market within the Public Cloud is being shaped by unique local factors, including a diverse workforce and varying internet accessibility across urban and rural areas. The country's commitment to digital transformation is supported by government initiatives aimed at fostering technology adoption. Additionally, cultural attitudes towards work-life balance are driving the demand for flexible remote work solutions. Regulatory considerations, such as data protection laws, further influence organizations to prioritize secure DaaS implementations, ensuring compliance while enhancing operational efficiency.

Underlying macroeconomic factors: The Desktop as a Service (DaaS) market in South Africa is significantly influenced by macroeconomic factors, including the national economic health and global economic trends. As South Africa navigates its post-pandemic recovery, fiscal policies aimed at stimulating growth and encouraging tech investment play a crucial role in shaping the DaaS landscape. Additionally, fluctuations in exchange rates and inflation impact the affordability and adoption of cloud services. The increasing demand for remote work solutions, driven by global shifts in workplace dynamics, further propels the DaaS market. Lastly, ongoing investments in broadband infrastructure are essential for bridging the urban-rural digital divide, enhancing overall market performance.

Data coverage:

The data encompasses B2B and B2C enterprises. Figures are based on the money spent at manufacturer price level (excluding VAT).

Modeling approach / Market size:

The segment size is determined through a top-down approach. We use financial statements such as annual reports, quarterly earnings, and expert opinions to analyze the markets. To estimate the segment size for each country individually, we use relevant key market indicators and data from country-specific industry associations, such as GDP and level of telecommunications infrastructure.

Forecasts:

We use a variety of forecasting techniques, depending on the behavior of the relevant segment. The main drivers are the GDP and the level of digitization.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level.

This report presents a comprehensive analysis and additional information on the Technology market, in a PDF format.

Together with platform as a service (PaaS) and infrastructure as a service (IaaS), software as a service (SaaS) is one of the three primary tiers of cloud computing. It allows businesses to redirect resources away from IT hardware, software, and personnel expenses, and towards other business needs. Currently, the most prominent companies in the SaaS market are Microsoft, Salesforce, Oracle, SAP, and Google.