Big Data as a Service Market - Forecasts from 2022 to 2027

The global Big Data as a Service (BDaaS) market was valued at US$6.615 billion in 2020 and is expected to grow at a CAGR of 29.39% over the forecast period to reach a market size of US$40.169 billion in 2027.

Big data as a service is a form of software service that is available on a cloud-based network. The cloud platform helps to manage, and analyze large data sets that help in the organization process. Such analysis is done so that the company can generate effective insights and through that, the company can improve its business operations and gain competitive analysis. With growing technological advancements and an increase in the data size, the big data as a service market is likely to have a positive impact. BdaaS is particularly used for the analysis of very large, messy, unstructured datasets. The market players provide the cloud infrastructure for leveraging big data. The cloud platform delivers cloud-built data warehousing, data lake, and data sharing that natively ingests structured and semi-structured data seamlessly.

The emergence of voluminous data and technological advancements will propel the market growth

Various sectors such as IT, telecommunication, and BFSI are expanding, and therefore the size of data is becoming voluminous. Many firms have realized the power of cloud technology and are in the early stage of success. Hence, on witnessing the current market trend, the market players are putting efforts into research and development in order to make mindful investments. For instance, in November 2021, Digiboxx, a cloud storage service or file storage and sharing startup raised USD 1.5 million in a pre-series-A funding round. The company was formed in 2020 and within a year of its existence, it has secured more than 1 million users. It is a digital file storage, sharing, and data management solution. It allows its customers- small businesses and individuals to store work as well as personal data. Similarly, in November 2022, Google announced that it has expanded the workspace storage of google drive from 15GB to 1TB in its free version.

Increased technological advancements

Furthermore, data analytics has emerged as a very powerful tool. It has enabled organizations to gather information regarding consumer preferences as well as their demographics. For instance, many grocery stores have discount cards. It enables customers to receive discounts on some commonly used items. In return for the shopping discounts offered to the customer, valuable data on shopping behavior is gathered by the retailer that highlights shopping trends and buying preferences. This analysis is helpful for marketing purposes. Due to leveraging of data, the market placers are hence able to increase their sales and meet the desired targets. Moreover, organizations that have implemented big data systems into their businesses face significant costs for setting up infrastructure and obtaining specialized manpower. Additionally, on witnessing a surge toward technological advancements like AI, IoT, ML, and others, the IT sector is rapidly investing and working on R&D in order to help the market player do well in their business, helping them to reduce complexities, and increase flexibility. For instance, in 2019 Microsoft formed an alliance with Oracle Corporation to assist users in transferring and operating critical business over advanced analytics offered by both companies.

Market Restraints

With a shift toward cloud technology due to its numerous benefits, the market players have to take care of the cyber security aspect as well. When technology is put in the wrong hands, it can lead to disasters. As the data is now being saved online on a cloud, there is a potential risk of it getting stolen by cyber hijackers. A system of two-factor authentication or better security codes should be inbuilt into the cloud system so that data privacy and security are not compromised.

Key Developments

• In October 2022, IDB announced two major core banking modernization projects in Europe using hybrid cloud technology. A Spanish banking IT services company, Rural Services Informaticos (RSI) will be making use of the cloud technology and industry expertise from Red Hat as well as IBM in order to boost its digital services and product offerings through Cloud Office. Along with this, IDB has also announced the launch of IBM Z16, which has an integrated on-chip, AI accelerator. It has been designed to analyze transactions in real-time at scale to detect and prevent financial fraud more efficiently.
• In August 2022, Temenos formed an alliance with North International Bank (NIBank) to digitally private wealth business lines and transform the retail banking of North International Bank. The TEMENOS Banking Platform will provide NIBank with the latest cloud-agnostic technology flexibility, and agility and to adapt to new and developing trends such as banking-as-a-service. The TEMENOS's openness and built-in APIs will enable NIBank to create a fully integrated ecosystem of technology and financial services partners.

The North American region will hold a significant share during the anticipated period

The North American region is currently undergoing rapid technological advancements. Furthermore, the incoming of Artificial Intelligence is acting like another stepping stone for the market. American enterprises in different sectors such as IT, telecommunication, retail, financial institutions, and media are rapidly shifting toward cloud computing technology. Therefore, the market players are actively working on investment projects and product launches. For example, in 2020, a leading provider of Cloud enterprise platform technology in the Contech and Proptech sector announced an investment in a leading cloud team- Intech, it has a leading customer base across the United States and Latin America. Through this investment, the alliance will be looking after a 24/7 fully managed network, cyber security, contact center, firewall, backup, and recovery. Along with this, infrastructure as a service will be provided for MTWO clients. Cloud platforms, digital transformation solutions, and services will also be taken care of through this investment project.

Market Segmentation:

• By Deployment

Private

Public

Hybrid

• By End-user

BFSI

IT & Telecommunication

Healthcare

Manufacturing

Others

• By Geography

North America

• USA
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Others
• Europe
• Germany
• United Kingdom
• Spain
• France
• Others
• Middle East and Africa
• Saudi Arabia
• UAE
• Others
• Asia Pacific
• China
• Japan
• South Korea
• India
• Thailand
• Taiwan
• Others