The Data as a Service Market was valued at USD 26.23 billion in 2019 and is expected to reach USD 46.50 billion by 2025, at a CAGR of 10% over the forecast period 2020 - 2025. The rapidly increasing appetite of businesses to gain a competitive advantage over the competition from the use of data coupled with the challenges of managing an increasingly complex and heterogeneous data landscape has created the right conditions for data-as-a-service (DaaS) market.
- Data as a Service is basically based on the cloud deployment model. It can be deployed either on hybrid, public, and private cloud platforms. Owing to the benefits cloud computing offers, it is witnessing a rapid increase in its adoption. According to Forbes, demand for cloud computing is anticipated to increase to USD 160 billion by 2020, attaining a growth rate of 19%.
- DaaS can be seen as a response to the growing quantity and variety of data generated in today’s digital environment across various verticals. Users are consuming data across a variety of systems and processes which can be employed to enhance the enterprise perspective through valuable insights.
- Also, organizations are increasingly adopting real-time data analytics to gain valuable insights from these databases. However, concerns regarding the privacy and security of cloud platform which are involved in DaaS deployment can
challenge the growth of the market.
Scope of the Report
Data as a Service is an information provision and distribution model in which data files are made available to customers over a network. Data as a service is basically a cloud strategy used to facilitate the accessibility of business-critical data in a protected and affordable manner.
Key Market Trends
BFSI Sector to Witness High Growth
- It can be safely considered that DaaS solutions are used in every major financial and Investment related enterprise. Moreover, the growing adoption of these solutions in auditing and accounting firms is also expected to drive the Data as a Service market.
- The banking and financial industry is facing a critical juncture to capitalize on the opportunity created by accessing, analyzing and acting on the data generated in real-time, or risk becoming non-competitive in the market.
- However, it has been observed that only big national and some regional banks are prioritizing on the need for data and analytics. It is clear that smaller banks and financial institutions are yet to get started or see significant benefit. Also, the presence of firms involved in financial analysis or stock markets is expected to be largely benefitted from data as a service, owing to the presence of products such as Bloomberg Terminal.
- With the year on year growth of big data in data centers across the globe, the market is expected to witness further growth
Asia Pacific to Witness the Highest Growth
- The growth of the market in the Asia Pacific region is in direct correlation with the growth of end-user industries of this region. The government of India is using data for various purposes, such as to get an estimate of trade in the country, unreserved railway passengers analysis, urbanization analysis, amongst various others.
- Apart from this, as many international brands are vying to enter this region, they are incorporating social media-based promotion strategies by using data provided by various players in the market to tap into the market.
- Of late, China is trying to maintain its technological edge and sustain its growth, which can result in its economy shifting to a higher value and more advanced industries, with data as one of the instrument to facilitate this shift, it is expected to drive the market forward.
- Moreover, prominent organizations in the country such as Baidu has set up Beijing Big Data Lab which aims to gather data and take insights from searches and other company services.
The data as a service market is highly competitive owing to the presence of many small and large players in the market running their business in domestic as well as in the international market. The market appears to be fragmented with the major players adopting strategies like product and service innovation and mergers and acquisitions. Some of the major players in the market are IBM Corporation, Oracle Corporation, SAP SE, Bloomberg Finance L.P among others.
- July 2019 - IBM corporation and Red Hat announced that they have closed the transaction under which IBM acquired all of the issued and outstanding common shares of Red Hat for USD 190 per share in cash, representing a total equity value of approximately USD 34 billion.
- May 2018 - Oracle announced that it has signed an agreement to acquire DataScience.com, whose platform centralizes data science tools, projects, and infrastructure in a fully-governed workspace.
Reasons to Purchase this report:
- The market estimate (ME) sheet in Excel format
- Report customization as per the client's requirements
- 3 months of analyst support