Global Cloud Native Platforms Market - 2023-2030

Overview

Global Cloud Native Platforms Market reached US$ 4.9 billion in 2022 and is expected to reach US$ 27.4 billion by 2030, growing with a CAGR of 24.1% during the forecast period 2023-2030.

The global cloud-native platform market is experiencing robust growth as organizations increasingly embrace cloud-native architectures. Cloud-native solutions offer agility, scalability and cost-efficiency, driving their adoption. The shift necessitates new roles and a product-oriented operating model. Furthermore, the market's expansion is propelled by the surge in low-code and no-code technologies, making application development more accessible and efficient.

In December 2022, Kyndryl, formerly IBM's Managed Infrastructure Services unit, introduced Cloud Native Services to support enterprise efforts in modernizing their cloud applications. The services enable businesses to migrate their on-premises applications to public cloud platforms like Amazon Web Services (AWS), Google Cloud (GCP) and Microsoft Azure. Kyndryl also offers management services for these cloud applications in hybrid or multicloud environments.

North America holds the largest share in the cloud-native platform market. Forrester reports that in both U.S. and Canada, a significant portion of enterprise infrastructure decision-makers are actively embracing cloud deployments. Modernization and cloud-native approaches are high priorities for these organizations, with cloud-native practices like containerization and serverless computing becoming increasingly common. Furthermore, the COVID-19 pandemic has accelerated cloud adoption in U.S., with a growing importance attributed to cloud services in various industries.

Dynamics

Explosive Growth in Global Public Cloud Spending

In 2023, the global cloud-native platform market is expanding as companies increase spending on public cloud applications and infrastructure. Hyperscalers face heightened competition, driving a shift toward multi-cloud adoption. Despite cloud spending becoming commonplace, analysts emphasize the need for cost-effective solutions, as organizations seek better value. ESG survey reveals that 59% plan to increase spending on public cloud applications and 56% on infrastructure services.

Multi-cloud approaches are prevalent, with 26% using two public clouds, 23% using three and 42% using four or more. Cloud-native security investment is expected to rise by 55%. Forrester Research anticipates increased price competition among cloud services, with Oracle Cloud Infrastructure and Akamai Technologies challenging AWS dominance. As cloud adoption continues, companies seek flexibility, cost reduction and optimized spending in a dynamic market.

Cloud-Native Market Surge: Embracing SASE for Hybrid Work Solutions

In 2023, the globally cloud-native platform market, the platform like Secure Access Service Edge (SASE), is poised for substantial growth. As hybrid work scenarios drive the convergence of networking and security services, G2 predicts a continued 192% surge in traffic to the Cloud Edge Security category. The SASE architecture, combining network and security solutions in a cloud-based service, addresses the increased network traffic resulting from global events like the pandemic.

G2's data reveals significant growth in collaboration and productivity categories, with the Virtual Workplaces subcategory expanding by 178% in 2022. SASE components, including Cloud Access Security Broker (CASB), Zero Trust Network Access (ZTNA) and Secure Web Gateway (SWG), offer a simplified, cloud-native solution appreciated by enterprises seeking enhanced accessibility, efficiency and security for their networks amid the ongoing rise of hybrid work.

Rising Cybersecurity Challenges

The cloud native platform market is significantly impacted by cybersecurity issues. The cloud native applications are more susceptible to various security risks, such as container-based vulnerabilities, unsecured APIs, data breaches, insecure network connections and cloud misconfigurations. The vulnerabilities will result in severe consequences which can include data theft, data loss, compliance breaches and damage to an organization's reputation.

Nowadays, businesses are prioritizing robust security measures like identity and access management, encryption, continuous monitoring and security audits which can protect sensitive data and maintain the trust of customers and partners. Ensuring the security of cloud-native platforms is paramount in a technology landscape where data protection and privacy are paramount concerns.

Segment Analysis

The global cloud native platforms market is segmented based on component, deployment, end-user and region.

Hybrid Cloud Dominance: A Solution for Seamless Cloud-Native Transition

Hybrid cloud solutions have gained dominance in the cloud-native platform market due to their unique advantages. Combining both public and private clouds, hybrid architectures provide flexibility, scalability and cost-efficiency while maintaining data control. The setup allows seamless workload migration between private and public environments, adapting to business needs. Benefits include flexibility, scalability, cost-effectiveness and enhanced security. Nevertheless, managing hybrid environments can be complex and security and investment in both private and public cloud resources are challenges.

In April 2023, Cognizant announced the launch of "Cognizant Skygrade," a robust multi-hybrid cloud and edge management platform tailored to assist organizations in transitioning to modern cloud-native architectures and optimizing their cloud management operations. Skygrade is designed to streamline the cloud journey for businesses by offering a curated library of solution accelerators tailored to specific industries. The approach enables enterprises to unlock greater business value swiftly and efficiently, while also promoting simplification, sustainability and cost-effectiveness.

Geographical Penetration

North America Leads Cloud-Native Platform Market as Top Providers Compete

North America commands the Cloud Native platforms market, notably in healthcare, where cloud market share is forecasted to rise by US$ 25.54 billion from 2020 to 2025 as per AAG IT Service report. The U.S. plays a central role, driving a substantial 40% growth in healthcare cloud computing. The dominance is rooted in the region's advanced technological infrastructure, a robust IT ecosystem and a concerted emphasis on digital transformation.

North America's proactive adoption and expansion of cloud-native platforms underscore its position as a global leader in shaping the evolution of cloud services. The significant investment in healthcare cloud solutions reflects the region's commitment to leveraging advanced technologies for enhanced efficiency and innovation, solidifying North America's pivotal role in influencing the trajectory of cloud computing across vital sectors.

COVID-19 Impact Analysis

The COVID-19 pandemic has accelerated the adoption of cloud-native IT solutions. As businesses swiftly moved online to adapt to remote work models, cloud-native ecosystems, technologies and Kubernetes gained momentum. Traditional IT vendors began recognizing and supporting cloud-native technologies. Kubernetes and containers, which are pivotal to cloud-native development, saw substantial adoption, with Kubernetes being used by 78% of companies that utilize containers in production.

Cloud-native approaches require a mindset shift and infrastructure as code. Data management, data protection and observability became key challenges in cloud-native environments. Self-service capabilities are evolving, enabling developers to deploy and manage resources independently. Multi-cluster management and security remain significant concerns in the cloud-native landscape.

Russia-Ukraine War Impact Analysis

The Russia-Ukraine war played a role in escalation in cyber-attacks, with both state-sponsored threat actors and opportunistic cyber-criminals targeting Ukrainian entities. Cloud services have become a preferred attack vector due to their flexibility, resilience and trustworthiness. Threat actors have exploited platforms like Discord for content delivery and abuse, with Discord's content delivery network used to host and distribute malicious payloads.

Furthermore, cloud storage services such as Microsoft OneDrive and Google Drive have played a role in attack campaigns, with phishing emails containing links to malicious documents hosted on these platforms. The reliance on cloud services for malicious activities has become a well-established modus operandi for cyber-attackers in the context of the ongoing conflict. Security measures to counter cloud-native threats must go beyond cloud service providers and organizations need to adopt comprehensive cloud-delivered security platforms for protection.\

AI Impact Analysis

AI is significantly impacting the cloud-native platform market by enhancing automation, security and efficiency. AI technologies are being used to optimize resource allocation, improve performance monitoring and enhance cybersecurity within cloud-native environments. Machine learning and AI-driven analytics enable predictive maintenance and self-healing systems, reducing downtime and enhancing reliability. Moreover, AI plays a vital role in managing the complexity of modern cloud-native applications, making them more resilient and adaptable to changing workloads and user demands.

Sopra Banking Software (SBS) has introduced its SBP Core Platform, an AI-enabled core banking system that leverages cloud technology. The platform boasts open architecture, high scalability and integrated AI features, designed to support various banking services, including deposits, payments, lending, compliance and regulatory reporting. SBS's Digital Engagement Platform is seamlessly integrated with the SBP Core Platform, offering a cost-effective and quick-to-market solution for banks seeking comprehensive banking services.

By Component

• Solution
• Service

By Deployment

• Private Cloud
• Public Cloud
• Hybrid Cloud

By End-User

• IT & Telecom
• BFSI
• Retail and E-commerce
• Media & Entertainment
• Government
• Healthcare & Life Science
• Others

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
• Middle East and Africa

Key Developments

• On March 14, 2023, Intellect Design Arena launched eMACH.ai, the world's largest open finance platform designed to assist banks and financial institutions in creating future-ready technology solutions. The cloud-native platform incorporates artificial intelligence powered by Amazon Web Services (AWS). eMACH.ai offers 285 pre-built microservices, 1,214 APIs and 200 events available on the cloud, enabling financial institutions to innovate and develop market-leading solution.
• In May 2023, NVIDIA introduced the NVIDIA Spectrum-X, an accelerated networking platform designed to enhance the performance and efficiency of Ethernet-based AI clouds. The platform combines the NVIDIA Spectrum-4 Ethernet switch and the NVIDIA BlueField-3 DPU, resulting in a 1.7x improvement in overall AI performance and power efficiency. The NVIDIA Spectrum-X platform is empowered by NVIDIA's acceleration software and SDKs, enabling developers to build software-defined, cloud-native AI applications.
• In October 2023, Microsoft introduced Radius, an open-source, language-agnostic application platform designed for building and running cloud-native applications. Developed within the Microsoft Azure Incubation team, this platform offers the capability to deploy applications in private clouds, Microsoft Azure and Amazon AWS, with Google Cloud support coming soon. Radius is focused on abstracting the complexities of cloud-native applications, enabling developers to concentrate on writing their applications. Unlike some other platforms, Radius aims to be flexible, supporting various application architectures and accommodating complex microservices-based applications.

Competitive Landscape

The major global players in the market include: Infosys Corp., Bacancy technology Pvt ltd., Pivotal infrastructure Pvt ltd., Cloudhelix Limited., LTI Infotech Corp., Computaris Inc., Cognizant Technology Inc., IndiaNIC infotech ltd, Infostretch corporation and Sciencesoft Corp.

Why Purchase the Report?

• To visualize the global cloud native platforms market segmentation based on component, deployment, end-user and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of cloud native platforms market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Component mapping available as excel consisting of key Components of all the major players.

The global cloud native platforms market report would provide approximately 61 tables, 60 figures and 190 Pages.

Target Audience 2023

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies