Infrastructure as a Service - North America

Revenue in the Infrastructure as a Service market is projected to reach US$82.62bn in 2024.
0.0 dominates the market with a projected market volume of 0.0 in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 19.53%, resulting in a market volume of US$201.60bn by 2029.
In global comparison, most revenue will be generated United States (US$77.05bn in 2024).

Definition:

Infrastructure as a Service (IaaS) refers to the type of public cloud service that provides virtualized computing resources. IaaS offers on-demand access to virtual machines, storage, and networking components, thus allowing users to build, deploy, and manage IT infrastructure without the need to invest in physical hardware. IaaS offers scalability, flexibility, and cost-efficiency by requiring users to pay only for the resources they consume. The IaaS market includes the companies that provide these types of public cloud resources and services to individuals, businesses, and organizations. A typical example of this type of service is Amazon Web Services (AWS). AWS provides a wide range of virtual machines, storage, and networking resources that users can access on demand to build and manage their IT infrastructures.

Additional Information:

The Infrastructure as a Service (IaaS) 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 of the IaaS market include companies such as Amazon (Amazon web services), Microsoft (Azure), Google (Cloud), and IBM (Cloud).

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Server capabilities, such as Amazon Elastic Compute Cloud (EC2), Azure IaaS, and Google Compute Engine (GCE)
Computing resources, such as Amazon Elastic Compute Cloud (EC2), Azure IaaS, and Google Compute Engine (GCE)
Storage resources, such as Amazon Elastic Block Store (EBS), Azure Blob Storage, and Google Cloud
Network capabilities, such as Google Cloud Interconnect and Alibaba Cloud Express Connect

Business-Process-as-a-Service (BPaaS), such as payroll management and accounting solutions via ADP Workforce Now, Intuit QuickBooks Online, Workday, and Oracle NetSuite
Desktop-as-a-Service (DaaS), such as Amazon WorkSpaces, Microsoft Windows Virtual Desktop, VMware Horizon Cloud, and Citrix Virtual Apps and Desktops
Platform-as-a-Service (PaaS), such as Heroku, AWS Elastic Beanstalk, Google App Engine, Microsoft Azure App Service, and IBM Cloud Foundry
Software-as-a-Service (SaaS), such as Google Workspace, Microsoft 365, Salesforce, Zoom, and Slack
System infrastructure software, such as Microsoft Windows Server, Linux distributions, VMware for virtualization, and Cisco’s networking software
Private cloud services, such as IBM Cloud Private, Microsoft Azure Stack HCI, and VMware vCloud Suite

The Infrastructure as a Service Market in North America is witnessing steady growth in the Public Cloud Market, driven by factors such as increasing demand for digital solutions, growing awareness about health, and the convenience of online services. The market's average growth rate is impacted by factors such as technological advancements, government initiatives, and the rising need for cost-effective solutions.

Customer preferences: As more businesses move towards digital transformation, there is a growing demand for Infrastructure as a Service (IaaS) within the Public Cloud Market. This trend is driven by the need for flexible and scalable solutions, as well as cost savings. The rise of remote work and the need for virtual collaboration tools have also contributed to the increasing adoption of IaaS. Additionally, there is a growing preference for cloud-based solutions that offer enhanced security and data privacy, reflecting a shift towards a more digital and connected society.

Trends in the market: In North America, the Infrastructure as a Service market within the Public Cloud market is experiencing a surge in demand due to the increasing adoption of remote work and virtual collaboration tools. This trend is expected to continue, with businesses realizing the cost-effectiveness and flexibility of cloud-based infrastructure. Additionally, there is a growing emphasis on security and compliance, driving the demand for IaaS solutions with advanced security features. This trend is significant for industry stakeholders as it presents opportunities for growth and innovation, but also poses challenges in meeting evolving customer needs and maintaining a competitive edge. As the market continues to evolve, there may also be implications for traditional IT infrastructure providers, who may need to adapt their offerings to stay relevant in the rapidly expanding IaaS market.

Local special circumstances: In North America, the Infrastructure as a Service Market within the Public Cloud Market is heavily driven by the increasing demand for digital transformation and the adoption of advanced technologies in various industries. The region's highly developed IT infrastructure and favorable government policies have also contributed to the growth of the market. Additionally, the cultural emphasis on innovation and entrepreneurship has led to a thriving startup ecosystem in the region, further fueling the demand for IaaS solutions. However, the strict data privacy regulations and concerns over data security have also played a significant role in shaping the market dynamics in North America.

Underlying macroeconomic factors: The Infrastructure as a Service Market within the Public Cloud Market in North America is greatly impacted by macroeconomic factors such as technological advancements, government policies, and investment in digital infrastructure. Countries with strong economic growth and favorable regulatory environments, such as the United States and Canada, are experiencing significant market growth due to increased adoption of cloud-based services. Additionally, the rising demand for cost-effective and scalable IT solutions in various industries is driving the growth of the Infrastructure as a Service Market. Furthermore, the increasing focus on digital transformation and the adoption of cloud-based services in the public sector are also contributing to the growth of the market in North America.

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.