PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1100665
PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1100665
In 2020, the global everything as a service (XaaS) market was worth USD 6,800.7 million. The market is expected to increase at a CAGR of 23.9% during the study period.
Everything as a Service (XaaS), often known as anything as a Service, is a subscription-based broad category of cloud computing and remote access services. It encompasses a wide range of products, tools, and technology that are now given to users as a service via the internet. The key advantages of Everything-as-a-Service include improving the expenditure model, speeding up new apps and business processes, and transferring IT personnel to higher-value projects (XaaS).
Customers want more control over the services they subscribe to or purchase. As a result, enterprises are shifting away from traditional infrastructure and toward cloud-based platforms, software, and services. Cloud-based products and services help businesses remain ahead of the competition and increase client engagement. Cloud-based solutions/services allow enterprises to improve workforce efficiency, lower costs, simplify deployment and use, and provide improved support and maintenance. For instance, in August 2021, Baxter International Inc., a medical product company, partnered with Amazon Web Services to accelerate digital transformation through cloud technology solutions. To upgrade the organization's platform and apps for patients, consumers, clinicians, and workers, the company shifted from traditional physical data centers to the AWS cloud. Baxter will also use AWS cloud services to provide digital health solutions and analytics to clients and patients. As a result, the market is projected to be driven by the increasing usage of cloud-based services to improve business operations and customer experience.
Rather than purchasing technology or solution, today's consumers choose to pay on a subscription-based model on their needs and consumption. The subscription-based pricing model allows users to choose the technology or solutions that best meet their needs. High-tech firms use the subscription-based approach to deliver products or services as SaaS or cloud offerings. Customers can spend IT dollars as operational expenditures using subscription-based products.
Moreover, Users can save money by purchasing services or solutions on a subscription basis with XaaS. The service aids in the monitoring of consumer usage and the enhancement of service offerings in response to customer demand. Subscription-based services are offered by companies such as Netflix, Amazon, Apple, and Spotify in order to increase client loyalty and engagement. The subscription-based approach increases service and solution adoption.
Everything as a service (XaaS) industry is divided into types, enterprise size, end-user, and region.
On the basis of type, the market is divided into several categories, including hardware as a service (HaaS), software as a service (SaaS), platform as a service (PaaS), cybersecurity as a service, infrastructure as a service (IaaS), edge computing as a service, technologies as a service (AI as a service, IoT as a service ) among others.
Software as a service (SaaS) refers to business applications such as customer relationship management, enterprise resource planning, collaboration, messaging applications, and others that are delivered as a service through the internet. Low maintenance costs, scalability, ease of integration, updates, and a subscription-based pricing mechanism are all predicted to drive SaaS use. As a result, SaaS is predicted to have a sizable market share of everything as a service during the projection period.
The market is divided into small and medium-sized enterprises and large enterprises, based on enterprise size.
Due to significant investments in implementing sophisticated technologies, IoT as a service, AI as a service, and new solutions, major organizations have the largest market share. Several significant corporations have already embraced the XaaS paradigm. Many intend to use it for corporate transformation, and it is expected to account for the lion's share of revenue during the forecast period. During the predicted period, the CAGR for small and medium-sized firms (SMEs) is the greatest. The increased usage of cloud services and solutions among SMEs is driving market expansion in this sector due to low capital investment and minimal IT infrastructure requirements.
To increase their market presence, top market players rely on partnerships, collaborations, product expansion, and new product offerings. Amazon Web Services and others are creating innovative applications for everything as a service in order to capitalize on new growth opportunities. Strategic mergers and acquisitions allow market participants to enhance their existing product portfolios by incorporating new capabilities.
For instance, in October 2021, Avaya Inc. collaborated with Infoline and Omantel to improve customer experience through the use of Avaya OneCloud Contact Center as a service (CCaaS). The collaboration seeks to deliver a cloud-based solution that consolidates consumer insights from numerous apps into a single platform for Omantel and Infoline to develop personalized experiences.
The scope of this report covers the market by its major segments, which include as follows: