Platform as a Service Market - Global Industry Size, Share, Trends, Opportunity, and Forecast Segmented By Deployment, By Organization Size, By Application (Application PaaS, Integration PaaS), By Region, By Competition 2018-2028

Global Platform as a Service (PaaS) Market has valued at USD 60.51 Billion in 2022 and is anticipated to project robust growth in the forecast period with a CAGR of 16.32% through 2028. Within the PaaS market, the others segment is estimated to emerge as a fastest growing segment, while the others segment primarily includes Business Analytics (baPaaS) and API management PaaS (APImPaaS). BaPaaS offers analytical capabilities and tools as a service for visualization data discovery and predictive modeling. BI and analytics are data management solutions that are implemented in organizations to gather historical and present data, while using statistics and software to research raw information and deliver insights for creating better future decisions.

Platform-as-a-service (PaaS) offers cost and operational efficiency for enterprises and developers by providing templates and app development tools on a utility basis, thus enabling easy and innovative application development and delivery. Increased enterprise engagement at the appliance level strongly backed by rising mobile adoption is predicted to encourage PaaS growth within the region. The past few years have seen many major cloud providers enter the PaaS space, signaling the growing momentum during this region.

The report focuses on the growth prospects, restraints, and platform as a service market analysis. The study provides Porter's five forces analysis of the Platform-as-a-Service industry to understand the impact of various factors such as bargaining power of suppliers, competitive intensity of competitors, threat of new entrants, threat of substitutes, and bargaining power of buyers on the platform as a service market trends.

Key Market Drivers

The growth of this market is driven by the increasing adoption of cloud computing technology, the growing implementation of IoT technology, and the rising need to reduce time to market and application development costs. However, data security & privacy concerns restrain the growth of this market. The increasing penetration of Artificial Intelligence (AI) and Machine Learning (ML) technologies and the growing demand for video PaaS are expected to create growth opportunities for the stakeholders in this market. However, cloud migration and vendor lock-in are major challenges for market growth.

Growth in IoT Adoption is Expected to Drive the Platform-as-a-Service Market

IoT technology is being increasingly implemented across industries. Most IoT-centric solutions are implemented on PaaS platforms such as application PaaS (aPaaS) and integration PaaS (iPaaS), which is expected to boost the demand for PaaS cloud. Additionally, PaaS is used for IoT device management, orchestration, and business process management Platform-as-a-Service (bpmPaaS), database Platform-as-a-Service (dbPaaS) and analytics services. PaaS reduces coding requirements and time to market; hence, developers can customize apps without having to worry about maintaining software and easily and cost-effectively develop and deploy apps.

Amazon Web Services (AWS) IoT Core: AWS IoT Core is a PaaS platform that provides businesses with a way to connect, manage, and secure their IoT devices. AWS IoT Core can also be used to collect and analyze data from IoT devices.

Microsoft Azure IoT Hub: Microsoft Azure IoT Hub is a PaaS platform that provides businesses with a way to connect, manage, and secure their IoT devices. Azure IoT Hub can also be used to collect and analyze data from IoT devices.

Google Cloud Platform (GCP) IoT Core: GCP IoT Core is a PaaS platform that provides businesses with a way to connect, manage, and secure their IoT devices. GCP IoT Core can also be used to collect and analyze data from IoT devices.

These are just a few examples of the many PaaS platforms that are available to support IoT applications. As IoT adoption continues to grow, we can expect to see PaaS platforms play an even more important role in the IoT ecosystem. PaaS platforms provide businesses with a set of tools and services that they can use to develop, deploy, and manage their applications. This includes everything from infrastructure services, such as compute and storage, to application development tools, such as databases and programming languages. PaaS platforms are well-suited for IoT applications because they can provide the scalability and flexibility that IoT applications need. IoT applications can generate large amounts of data, and they often need to be deployed on a variety of devices. PaaS platforms can help businesses to manage and analyze this data, and they can deploy IoT applications to any device that has an internet connection.

The proliferation of IoT devices has revolutionized the way businesses and individuals interact with the physical world. These smart devices can collect and transmit data in real-time, allowing for improved decision-making, enhanced automation, and increased efficiency across various sectors. IoT applications are widespread and diverse, ranging from smart homes and wearable devices to industrial automation, healthcare, agriculture, and smart cities.

Role of Platform-as-a-Service (PaaS) In the Cloud computing

IoT devices generate vast amounts of data, and managing this data efficiently is a critical challenge. This is where Platform-as-a-Service (PaaS) comes into play. PaaS is a cloud computing service that provides a platform and environment for developers to build, deploy, and manage applications. In the context of IoT, PaaS serves as the foundation for developing, deploying, and scaling IoT applications and solutions. Here's how PaaS contributes to the success of IoT: Data Management: PaaS platforms offer tools and services for collecting, storing, and processing IoT data. They can handle large volumes of data in real-time, ensuring that businesses can make informed decisions based on up-to-the-minute information. IoT solutions often need to scale rapidly as the number of connected devices grows. PaaS provides the infrastructure to accommodate this growth without the need for significant upfront investments in hardware and software. IoT devices are vulnerable to security threats. PaaS providers invest heavily in security measures, including encryption, identity management, and access control, to protect IoT data and devices from cyberattacks. PaaS platforms offer advanced analytics capabilities, allowing organizations to derive actionable insights from IoT data. This can lead to predictive maintenance, improved operational efficiency, and better customer experiences. PaaS solutions often include device management features, enabling organizations to remotely monitor and manage IoT devices, update firmware, and troubleshoot issues. IoT is rarely a standalone technology. PaaS platforms facilitate the integration of IoT solutions with existing systems and applications, ensuring a seamless flow of data and functionality.

Key Market Challenges

Despite the many benefits that PaaS platforms offer, there are a number of challenges that the PaaS market faces. These challenges include:

Complexity: PaaS platforms can be complex to set up and use. This can be a challenge for businesses that are new to PaaS or that have limited IT resources. PaaS platforms are typically proprietary, which means that businesses can become locked into a specific vendor. This can make it difficult and expensive to switch to a different PaaS platform in the future. PaaS platforms are hosted in the cloud, which means that businesses need to trust their cloud provider to protect their data. This can be a challenge for businesses that are concerned about security. There is no single standard for PaaS platforms. This can make it difficult for businesses to compare different PaaS platforms and to choose the right platform for their need.

Key Market Trends

The increase in complexity of modern-day businesses

Modern day business models are becoming complex every day, owing to presence of variables to process, data to be handled, and tasks to be completed. Platform-as-a-Service eases the load on organizations by focusing on the development and business end of the organization rather than to dedicate crucial and expensive IT resources of the organizations. PaaS can help extend the capabilities of development teams while eliminating the need to hire additional trained staff for certain operations. A platform can enable organizations in reducing overheads in the most effective way feasible. For instance, Amazon's AWS offers AWS lambda offers Serverless compute services, which enables organizations to run their applications without the need to worry about servers and other backend needs.

Advancements in the field of cloud computing and its services:

Cloud computing offerings have refined the technology to be more productive, efficient, cheap, and rapidly scalable to match the needs of transforming the business world of the modern day. Today, PaaS services can be availed with minimum or even no-code experience, giving small and medium enterprises a lot of agility to plan and execute their operations accordingly and without the need for a highly skilled and expensive IT team in their organization (or a third-party service) to deploy and maintain their application on localized sever. Cloud solutions have made it easier for businesses to cut down their time to market times for their applications and services, PaaS vendors allow rapid scaling, quick maintenance, and troubleshooting of their applications than traditional methods and teams.

These offerings and advancements in the field of cloud and platform-as-a-service solution are transforming modern businesses and hence, have great opportunities in the coming future.

Segmental Insights

Organization Size Insights

Based on organization size, the market is segmented into small & medium enterprises and large enterprises. In 2023, the large enterprises segment is expected to account for the largest share of the global PaaS market. However, the SMEs segment is projected to register the highest CAGR during the forecast period. The growth of this segment is driven by factors such as the flexibility and scalability offered by the PaaS providers to help SMEs quickly change their cloud storage and application requirements as per their business demands.

Deployment Insights

The Private Cloud segment is estimated to grow at the highest CAGR during the forecast period, as it allows deploying and managing business applications while also meeting stringent security and privacy demand. The private cloud PaaS software can be set up on any kind of infrastructure and can operate within the private cloud that is completely handled by a company's IT unit.

Application Insights

The market is bifurcated into Application Development and Management PaaS (ADM PaaS), Business Process Management PaaS (BPM PaaS), Application PaaS (APaaS), Integration PaaS (IPaaS), and Other PaaS. The Application Development and Management PaaS (ADM PaaS) segment is estimated to grow at the highest CAGR during the forecast period. This is mainly due to the growing capital investments in application development for web, enterprise, and mobile. The growing need to promote the enterprise level of applications & related projects, which involve technical support, information confidence, access to outside services, and disaster recovery, is increasing the Platform As A Service (PaaS) Market.

Regional Insights

The North America region is expected to dominate the market during the forecast period. North America is controlling the market Platform as A Service (PaaS) Market owing to the huge adoption rate of cloud-based services by numerous enterprises and businesses in this region. However, the Asia-Pacific is anticipated to show major growth in the market of Platform as A Service (PaaS) Market due to the tremendous growth in Cloud services & big data, telecom, and IT sectors in this region. Moreover, Europe is also expected to register strong growth in the Platform as A Service (PaaS) Market due to the increased adoption of cloud services by various SMEs & VSMs.

Key Market Players

MessageBird

Apify

Muvi Playout

Muvi Server

Muvi Ad Server

D2C.io

Loudplay

Muvi Live Server

Engati

Pri-Num.

Report Scope:

In this report, the Global Platform as a Service (PaaS) Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

Global Platform as a Service (PaaS) Market, By Deployment:

• Public Cloud
• Private Cloud

Global Platform as a Service (PaaS) Market, By Organization Size:

• Large Enterprise
• Small And Medium Enterprise

Global Platform as a Service (PaaS) Market, By Application:

• Application PaaS (APaaS)
• Integration PaaS (IPaaS)

Global Platform as a Service (PaaS) Market, By Region:

• North America
• United States
• Canada
• Mexico
• Asia-Pacific
• China
• India
• Japan
• South Korea
• Indonesia
• Europe
• Germany
• United Kingdom
• France
• Russia
• Spain
• South America
• Brazil
• Argentina
• Middle East & Africa
• Saudi Arabia
• South Africa
• Egypt
• UAE
• Israel

Competitive Landscape

• Company Profiles: Detailed analysis of the major companies present in the Global Platform as a Service (PaaS) Market.

Available Customizations:

• Global Platform as a Service (PaaS) Market report with the given market data, Tech Sci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up to five).