Public Cloud - Nigeria

Nigeria

Revenue in the Public Cloud market is projected to reach US$828.00m in 2024.
Infrastructure as a Service dominates the market with a projected market volume of US$288.90m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 27.38%, resulting in a market volume of US$2,777.00m by 2029.
The average spend per employee in the Public Cloud market is projected to reach US$10.60 in 2024.
In global comparison, most revenue will be generated in the United States (US$388.50bn in 2024).

Key regions: United States, Germany, China, Japan, United Kingdom

Definition:

A public cloud is defined as the digital infrastructure and computing resources that are managed by a service provider. Examples of public cloud computing resources include virtual machines, storage, and services, all of which are available for purchase with flexible (e.g., pay as you go and subscription) business models. Such payment options make it possible for customers to access, scale, and utilize resources as needed. Public cloud solutions make it possible for users to save on IT costs, increase their efficiency, and take advantage of advanced technologies without having to invest in long-term IT solutions. Public cloud service providers own and maintain the physical infrastructure, hardware, and software. Users only need to pay for the computing resources that they require. The Public Cloud market refers to the companies that provide these cloud computing resources and services to individuals, businesses, and organizations.

Structure:

The Public Cloud market is structured into five markets based on the type of service models provided by the companies.

The Infrastructure as a Service (IaaS) market covers the resources and services related to the data center infrastructure.
The Platform as a Service (PaaS) market covers the resources and services related to the virtual environments used for software development.
The Software as a Service market (SaaS) market covers the resources and services related to software applications that can be accessed via a web browser.
The Business Process as a Service (BPaaS) market covers the resources and services related to the various business processes such as finance and accounting, human resources, customer service, and supply chain management, all delivered through the cloud.
The Desktop as a Service (DaaS) market covers the resources and services related to virtual desktop environments, which are accessible from any device with an internet connection.

Additional Information:

The public cloud 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 public cloud market include companies such as Amazon (Amazon web services), Microsoft (Azure), Google (Cloud), and IBM (Cloud).

For more information on the data displayed, use the info button right next to the boxes.

Market

Region

Region comparison

Currency

Analyst Opinion

The Public Cloud market in Nigeria is experiencing significant growth and development. Customer preferences in the Nigerian Public Cloud market are driven by several factors. Firstly, businesses in Nigeria are increasingly recognizing the benefits of cloud computing, such as cost savings, scalability, and flexibility. As a result, there is a growing demand for cloud services among businesses of all sizes. Additionally, the need for remote access to data and applications has become more important in recent years, especially with the rise of remote work. This has further fueled the adoption of Public Cloud services in Nigeria. Several trends can be observed in the Nigerian Public Cloud market. One trend is the increasing popularity of Software-as-a-Service (SaaS) solutions. Businesses in Nigeria are turning to SaaS applications for their various needs, such as customer relationship management, human resources management, and collaboration tools. This trend can be attributed to the ease of deployment and the ability to access applications from anywhere with an internet connection. Another trend in the Nigerian Public Cloud market is the rise of local cloud service providers. While global cloud providers dominate the market, local providers are gaining traction by offering customized solutions tailored to the Nigerian market. These local providers understand the unique needs and challenges of businesses in Nigeria, such as unreliable internet connectivity and data sovereignty concerns. By addressing these challenges, local cloud providers are able to attract customers who value personalized service and local expertise. Local special circumstances in Nigeria also contribute to the development of the Public Cloud market. One such circumstance is the rapid growth of the Nigerian economy. As the economy expands, businesses are looking for ways to improve efficiency and reduce costs. Public Cloud services offer a cost-effective solution for businesses to access the latest technologies without the need for significant upfront investments. Additionally, Nigeria has a large population of young and tech-savvy individuals who are driving the adoption of cloud services both in their personal lives and in the workplace. Underlying macroeconomic factors also play a role in the development of the Public Cloud market in Nigeria. The government of Nigeria has recognized the importance of digital transformation and has implemented policies to promote the growth of the technology sector. This includes initiatives to improve internet connectivity and support the development of local tech startups. These efforts have created a favorable environment for the adoption of Public Cloud services. In conclusion, the Public Cloud market in Nigeria is experiencing growth and development driven by customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors. Businesses in Nigeria are increasingly turning to cloud services to meet their needs for cost savings, scalability, and flexibility. The rise of SaaS solutions and local cloud service providers further contribute to the growth of the market. The rapid growth of the Nigerian economy and government support for the technology sector also play a role in the development of the Public Cloud market in Nigeria.

Methodology

Data coverage:

The data encompasses B2B, B2G, and B2C enterprises. Figures are based on the money spent at manufacturer price level (excluding VAT).

Modeling approach / Market size:

Market sizes are determined through a top-down approach with a bottom-up validation, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of the market-leading companies and reports from our primary research. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and level of telecommunications infrastructure. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. 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.