Software as a Service - EMEA

EMEA

Revenue in the 0 market in EMEA is projected to reach US$86.02bn in 2024.
The Software as a Service market is anticipated to dominate the market with a projected market volume of 0 in 2024.
Revenue in this region is expected to demonstrate an annual growth rate (CAGR 2024-2029) of 19.25%, leading to a market volume of US$207.40bn by 2029.
In comparison to global figures, the majority of revenue will be generated the United States, which is expected to reach US$187.20bn in 2024.
The EMEA region is witnessing a surge in demand for Software as a Service solutions, driven by increasing digital transformation initiatives across various industries.

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

Market

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Region comparison

Currency

Analyst Opinion

The Software as a Service market in the Public Cloud market in EMEA is experiencing mild growth, driven by factors like increasing digital adoption, heightened health awareness, and the convenience of online health services. This growth is impacted by various factors, such as competition, government regulations, and technological advancements.

Customer preferences: The Software as a Service Market within the Public Cloud Market is experiencing a growing demand for cloud-based collaboration tools and virtual communication solutions, as more businesses embrace remote working models. This trend is further accelerated by the cultural shift towards flexible work arrangements and the need for seamless digital communication in a globalized world.

Trends in the market: In EMEA, the Software as a Service Market within the Public Cloud Market is experiencing an increase in adoption, driven by the need for flexible and cost-effective solutions. This trend is expected to continue, with a projected market growth of 20% by 2025. This shift towards SaaS is significant as it allows organizations to focus on their core business functions, while also providing scalability and accessibility. Additionally, the rise of data privacy regulations in the region is further driving the demand for SaaS solutions, as they offer enhanced security and compliance. Industry stakeholders, including SaaS providers and cloud infrastructure providers, must adapt to this trend and continuously innovate to remain competitive. Failure to do so may result in losing market share to more agile players in the market.

Local special circumstances: In Europe, the Software as a Service market is growing rapidly due to the region's strong focus on digital transformation. Countries like Germany and the UK have strict data privacy laws, which have led to the development of secure and compliant SaaS solutions. In contrast, in the Middle East, the SaaS market is driven by the region's growing business landscape and a demand for flexible and cost-effective cloud solutions. Additionally, in Africa, limited IT infrastructure has accelerated the adoption of SaaS, particularly in the public sector, where it offers a cost-effective way to modernize and streamline operations.

Underlying macroeconomic factors: The growth of the Software as a Service Market within the Public Cloud Market is also influenced by macroeconomic factors such as technological advancements, government support for digital transformation, and investment in cloud infrastructure. Countries with favorable regulatory environments and strong investment in cloud technologies are experiencing faster market growth compared to regions with regulatory challenges and limited financial resources. Additionally, the increasing adoption of cloud-based solutions in various industries and the growing trend of remote work are driving the demand for SaaS solutions to improve business efficiency and agility.

Methodology

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.