Multi-cloud Management Market - Size, Share, Industry Trends, and Forecasts (2024 - 2031)

By Offering:

Based on the offering, the market is segmented into Platforms (Cloud Automation, Cloud Migration, Cloud Governance, Cloud Monitoring & Analytics) and Services (Professional Services and Managed Services).

Trends in the Offering:

• With the advances in cloud automation, businesses can handle complex multi-cloud environments, with tools to automate the infrastructure.
• Automation of tasks, real-time monitoring, and optimization of cloud performance are enabled with the advancements in AI and ML in the management services sector.

The platform (cloud automation) sector accounted for the largest revenue in 2023.

• The automation of repetitive cloud management tasks, scalability, and resource optimization is achieved through cloud automation.
• Complex cloud configurations, operational efficiency, and minimal human error, especially in multi-cloud environments are achieved using automation tools.
• The workload and manual interventions are reduced with the use of these automation technologies.
• In May 2023, the IBM Hybrid Cloud Mesh at ONUG was launched by IBM, in order to achieve the management and connectivity of the infrastructure. It is used to improve performance, cost, and availability.
• In conclusion the enhancement in efficiency and optimization of tasks is driving the growth of the cloud automation sector in the market.

The services (managed services) sector is anticipated to register the fastest CAGR during the forecast period.

• Companies can focus on core business operations, while management services assist in outsourcing cloud management tasks, increasing organizational efficiency.
• Businesses lacking expertise in managing complex multi-cloud environments, continuous monitoring, and troubleshooting, are benefitted from these services.
• For instance, the Forrester Wave™: Multi-cloud Managed Services Providers, Q1 2023, Tata Consultancy Services (TCS) was recognized as a leader. Additionally, it also secured the highest score in the category for the current offering.
• In conclusion, the reduced workload with the involvement of third-party services drives the growth of the market significantly in the management services sector.

By Deployment Mode:

The market is segmented based on deployment mode into public cloud, private cloud, and hybrid cloud.

Trends in the Deployment Mode:

• The seamless integration of on-premises and cloud environments is enabled with the utilization of hybrid cloud platforms.
• AI-based services are continuously integrated into these platforms to balance workload across private and public cloud platforms.

The public cloud sector accounted for the largest revenue of 62.03% of the total multi-cloud management market share in 2023.

• Shared cloud resources which are managed by vendors like AWS, Microsoft Azure, and Google Cloud are provided by the public cloud infrastructure.
• They provide scalability and flexibility, providing an upfront low cost for infrastructure.
• To manage complex applications such as big data analytics, and storage services, businesses are adopting public cloud solutions.
• In June 2023, a series of studies focused on Multi Public Cloud Services and Solutions was launched by ISG, highlighting the growing demand for cloud service providers, ensuring cost-efficiency, cloud transformation, security, and efficiency.
• In conclusion, analysis of segmental trends depicts that the cost-effectiveness and scalability provided drive the multi-cloud management market demand.

The hybrid cloud sector is anticipated to register the fastest CAGR during the forecast period.

• Hybrid cloud environments utilize the benefits of both public and private cloud infrastructures, to provide increased efficiency, data privacy, flexibility, and low cost.
• They are used to provide data privacy for organizations with sensitive data and workloads for critical operations.
• They ensure workload balance between on-premises and cloud environments, to seamless business operations and recovery from disasters.
• In May 2023, Project Beacon was announced by Nutanix, ensuring the delivery of Hybrid Multi-cloud Platform-as-a-Service. This allows the applications to be run from anywhere, once they are built.
• In conclusion, the management of sensitive data and workload balance provided by the hybrid cloud drives the multi-cloud management market trends.

By Organization Size:

The market is segmented into Large Enterprises and Small & Medium Enterprises (SMEs).

Trends in the Organization Size:

• To improve data protection across operations, businesses are continuously adopting multi-cloud security.
• To ensure fast deployment of products and improve operational efficiency SMEs utilize cloud-native technologies.

The large enterprises sector accounted for the largest revenue share of the overall multi-cloud management market share in 2023.

• The solutions to reduced cloud vendor lock-in, operational efficiency, and availability of mission-critical applications are solved with the adoption of multi-cloud management by large enterprises.
• They provide improved visibility, continuous monitoring, and resource optimization across various platforms.
• The systems for disaster recovery are implemented by these large enterprises using such platforms ensuring enhanced work efficiency.
• In August 2022, VMware launched a multi-cloud management portfolio called VMware Aria in the VMware Explore 2022. This ensures the enhanced delivery of infrastructure and cloud-native applications, cost management, performance, and configuration.
• In conclusion, the analysis of the segment shows that risk management and utilization of resources efficiently position the sector as the largest in the market.

The small & medium enterprises (SMEs) sector is anticipated to register the fastest CAGR during the forecast period

• The cost-effectiveness and scalability of operations provided by multi-cloud platforms allow SMEs to increase operational efficiency and flexibility.
• They reduce the reliance on a single vendor or platform allowing them to optimize resource allocation through multiple vendors.
• This allows SMEs to focus on the core operations improving time management and simplifying the cloud management tasks.
• They reduce the risk of cyber threats or system failures, by improving data security and optimizing the disaster recovery system.
• In conclusion, the need for cost-effectiveness and scalability in SMEs drives the multi-cloud management market trends.

By Industry Vertical:

The market is segmented based on industry verticals into BFSI, Retail & E-commerce, Healthcare, IT & Telecom, Government, Manufacturing, and Others.

Trends in the Industry Vertical:

• Faster data processing, and lower latency across multi-cloud platforms are enabled by advancements in edge computing in the IT & Telecom sector.
• The integration of AI-driven solutions is driving and contributing to the enhancement of inventory management, demand forecasting, and real-time tracking.

The BFSI sector accounted for the largest revenue share in 2023.

• To ensure data privacy security, and regulatory compliance many BSFI organizations adopt multi-cloud solutions.
• These solutions enable improved resilience and optimized performance in critical operations in the BSFI institutions.
• Cloud-based analytics are also giving deeper insights to the institutions to enhance customer experience and improve detection of fraud.
• In July 2021, the IZO™ Financial Cloud platform was launched by Tata Communications. This ensures the optimization of data security and enhanced performance of banking and financial services.
• Hence, data security and enhanced customer satisfaction place the BSFI sector as the largest sector in the multi-cloud management market demand.

The healthcare sector is anticipated to register the fastest CAGR during the forecast period.

• The real-time data access across multiple cloud environments enhances patient care in the healthcare sector.
• The process such as cloud-based electronic health records (EHR), telemedicine, and medical imaging are enhanced with the integration of these platforms.
• They also improve collaboration in critical areas across the healthcare institutions, for medical research and precision medicine.
• In June 2022, a multi-cloud platform, which used the VMware Cloud Foundation was announced by Saudi Arabia's Ministry of Health (MoH) in order to make advancements in healthcare services. This utilizes a set of highly secure services in order to ensure resiliency, agility, and efficiency.
• In conclusion, the effectiveness of patient care and betterment in medical research drives the multi-cloud management market opportunities.

Regional Analysis:

The regions covered are North America, Europe, Asia Pacific, the Middle East and Africa, and Latin America.

Asia Pacific region was valued at USD 2,231.30 Million in 2023. Moreover, it is projected to grow by USD 2,862.59 Million in 2024 and reach over USD 18,518.97 Million by 2031. Out of this, China accounted for the maximum revenue share of 34.5%.

As per the multi-cloud management market analysis, the growth in the adoption of digital platforms and cloud-based services in businesses is driving the market in this region. This is more significant in the industries like IT, telecom, and e-commerce, especially in the countries like China and India.

• A 2022 article by McKinsey Digital, highlights the surge in trend in cloud-based services in China, with the market growing from $32 billion in 2021 to $90 billion by 2025, majorly due to the increasing demand for elastic computing power across organizations.

North America is estimated to reach over USD 23,678.62 Million by 2031 from a value of USD 2,940.49 Million in 2023 and is projected to grow by USD 3,762.74 Million in 2024. The growing dependence on cloud-native infrastructure and the rapid digitalization are driving the market in this region. There is also a significant increase in the adoption of multi-cloud platforms in industries such as finance, healthcare, and retail. The region also focuses on data privacy and stringent regulations further accelerating the multi-cloud management market expansion.

• In December 2023, Solix Common Data Platform 3.0 was launched by Solix Technologies, Inc., an American company . This technology is a multi-cloud data fabric solution, which ensures the monitoring and security of organizations' data.

The regional analysis portrays that the increasing data protection and privacy laws are driving the market in the region of Europe. In the Middle East and Africa, there is a growing trend towards modernizing IT infrastructure and enhancing recovery capabilities from disasters, further accelerating the market. Latin America's focus on scalable solutions and reduced costs in sectors like manufacturing and retail, is driving the multi-cloud management market expansion in this region.