Data Protection as a Service (DPaaS) Market Trend, Share, Growth, Size, Analysis and Forecast 2032

Data Protection as a Service (DPaaS) Market Insights

According to Zion Market Research, the global Data Protection as a Service (DPaaS) Market was worth USD 8.59 Billion in 2023. The market is forecast to reach USD 28.38 Billion by 2032, growing at a compound annual growth rate (CAGR) of 14.2% during the forecast period 2024-2032. The report offers a comprehensive market analysis, highlighting the factors that will determine growth, potential challenges, and opportunities that could emerge in the Data Protection as a Service (DPaaS) Market industry over the next decade.

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Data protection as a service (DPaaS) is a collection of cloud-based or web-delivered services that enable companies to secure their data assets and improve their network security and recovery options through a range of provided features on a subscription-style model. DPaaS can be used in a variety of ways, but the most common use is to protect network vulnerabilities and prevent data loss due to human error. The increasing virtualization of information technology (IT) infrastructure across the globe, the rise of cyber-threat incidents, the widespread adoption of cloud computing, and software-defined storage data centers are the driving market growth. Enterprises are implementing cloud-based data management solutions to manage and retrieve data as per their requirements.

COVID-19 Impact Analysis

The Data Protection as a Service (DPaaS) market globally has been relatively unaffected by the COVID-19 pandemic as compared to other industries. One of the major reasons behind the same was the significant increase in the adoption of the remote working system by multiple industries. This increased the need for privacy and protection. As a result, the market has benefited in terms of revenue. In the healthcare sector, increased data analytics and clinical insight standards, as well as high investment in cloud-based product creation and ERP technologies, are generating business prospects for cloud service providers in the wake of the COVID-19 pandemic.

Data Protection as a Service (DPaaS) Market: Growth Factors

Due to changes, in data regulations, organizations are required to operate and manage the data effectively. As a result, they are enhancing their hosted services for improved benefits such as higher scalability, efficient management, and recovery options. These factors are expected to provide huge opportunities to the vendors providing these services and thus are positively impacting the data protection as a service market.

The number of incidents of data breaches has been steadily increasing. Not only has the number of breaches risen, but the complexity of these breaches has also increased. In the last few years, almost every country and business sector has announced a data breach. These factors necessitate the need for encryption of data prompting organizations to deploy more comprehensive, secure, and reliable systems.

Data Protection as a Service (DPaaS) Market: Segmentation Analysis

Segment Analysis By Deployment Model

The hybrid cloud segment will grow at a CAGR of over 30% from 2024 to 2032. This growth is attributable to the benefits that the hybrid cloud combines, that of both public and private clouds, giving businesses greater flexibility and more implementation opportunities. For example, businesses might use the public cloud for low-security, high-volume data and the private cloud for high-security and critical operations. As a result of its efficient management, versatility, and cost-effectiveness, the hybrid cloud model is gaining popularity.

The public cloud deployment model is expected to expand at a substantial pace after the hybrid cloud model. The public cloud is very common with small and medium-sized businesses due to its low-cost offerings as opposed to other deployment models.

Segment Analysis By Organization Size

SMEs segment held a share of around 30% in 2023. This is attributable to the increased adoption of cloud-based solutions by SMEs. Since they lack high computing on-premise IT infrastructure to exchange and store data, SMEs tend to use cost-effective deployment solutions. Furthermore, the increasing risk of data loss, the need for long-term data protection, and the need for effective storage systems all add to the adoption of cloud computing.

Data Protection as a Service (DPaaS) Market: Report Scope

Data Protection as a Service (DPaaS) Market: Regional Analysis

The European region held a share of over 22% in 2023. This is attributable to factors like an increased emphasis on third-party risk management, along with stricter regulations such as the General Data Protection Regulation (GDPR), that are pushing the European market for data protection-as-a-service. To gain a competitive advantage, several European market vendors are innovating their product offerings by entering various industries, contributing to the growth of the market.

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Asia Pacific region is projected to grow at a CAGR of over 28% during the forecast period. Continuous advancements, developing technological infrastructure, and growing adoption of security solutions across industries such as BFSI, healthcare, government, and others are driving demand for DPaaS markets in China, India, and other emerging countries of the region.

Data Protection as a Service (DPaaS) Market: Key Market Players

Some of the key players in the Data Protection as a Service (DPaaS) market are

• IBM Corporation
• Hewlett Packard Enterprise Development LP
• Oracle Corporation
• CA Technologies
• VMware Inc.
• Amazon Web Services Inc.
• Commvault Systems Inc.
• Quantum Corporation
• Symantec Corporation
• McAfee
• Dell Inc. 
• NetApp Inc.

To gain a significant share, these players are focusing on their research and development spending allocations to launch innovative solutions, strategic partnerships, and other organic and inorganic growth strategies. In February 2020, Hewlett Packard Enterprise, in collaboration with Veeam, a European software provider, announced advancements in its data security services.

The global data protection as a service (DPaaS) market is segmented as follows:

By Service Type

• Backup as a Service
• Storage as a Service
• Disaster Recovery as a Service

By Deployment Model

• Private Cloud
• Hybrid Cloud
• Public Cloud

By Organization Size

• Large Enterprises
• SMEs

End Use Industry

• BFSI
• Telecom & IT
• Government & Public Sector
• Healthcare
• Others

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa