European Digital Workplace Market 2025-2035

Description

List of Tables

European Digital Workplace Market Size, Share & Trends Analysis Report by Component (Solutions, and Services) by Deployment (On-Premises, and Cloud-based) by Organization Size (Large Enterprises, and Small and Medium Enterprises (SMEs)) and by Vertical (BFSI (Banking, Financial Services, and Insurance), Healthcare and Pharmaceuticals, Telecommunications and IT Services (ITeS), Manufacturing, Consumer Goods and Retail, Government and Public Sector, Media and Entertainment, and Others) Forecast Period (2025-2035)

Industry Overview

European digital workplace market is projected to experience steady growth from $13.7 billion in 2024 to $90.9 billion by 2035, reflecting a compound annual growth rate (CAGR) of 18.7% forecast period (2025-2035). The market's expansion is being driven by the sustained adoption of hybrid and remote work models, enterprise investment in employee experience (DEX) platforms, cloud migrations, and increased spend on security and compliance to meet GDPR and other regional data-sovereignty requirements. Solutions (software platforms such as collaboration suites, virtual desktop infrastructure, DEX analytics, and workflow automation) already account for the largest share of revenue within the component mix, while services (managed services, integration and professional services) are growing rapidly as organizations outsource workplace transformation and require ongoing managed support.

Market Dynamics

Hybrid & Remote Work Permanence

Hybrid working models have matured from emergency measures into strategic workplace models. Enterprises are investing in unified collaboration stacks, secure remote access (ZTNA/SDP), virtual desktops and collaboration analytics to ensure continuity, productivity and compliance across distributed teams. This structural shift is the single largest ongoing demand driver for digital workplace spend.

Cloud Migration and Managed Services

Organisations are shifting workloads and workplace tooling from on-premises to cloud or hybrid cloud environments. The move accelerates adoption of SaaS collaboration suites, DEX analytics, and cloud-hosted virtual desktop/secure access services; in parallel, many firms outsource management (managed workplace services) to reduce operational overhead and gain specialist security and compliance expertise.

Employee Experience & Analytics (DEX)

IT and HR are aligning around employee experience as a measurable KPI - using telemetry, sentiment feedback tools, and DEX analytics to optimize tooling, onboarding, and support. Investment in DEX platforms (monitoring, remediation, feedback loops) is accelerating as organizations seek to reduce helpdesk costs and improve retention/productivity. Regulatory pressure (GDPR/data localization) also shapes vendor selection and architecture.

Market Segmentation

Based on the component, the market is segmented into solutions and services.
Based on the deployment, the market is segmented into on-premises and cloud-based.
Based on the organization size, the market is segmented into large enterprises and small and medium enterprises (SMEs).
Based on the vertical, the market is segmented into BFSI (banking, financial services, and insurance), healthcare and pharmaceuticals, telecommunications and it services (ITeS), manufacturing, consumer goods and retail, government and public sector, media and entertainment, and others.

Solutions Segment to Lead the Market with the Largest Share

Across multiple recent analyses, the solutions component (which includes collaboration suites, intranet/employee portal platforms, virtual desktop infrastructure/Workspace as a Service, DEX analytics, secure access tools, and workflow automation) contributes the largest share of revenue in the European digital workplace market. Solutions lead because many organisations first purchase or license software platforms (Microsoft 365/Teams, Cisco Webex, Google Workspace, VDI/Workspace products, DEX tools) and then layer services (integration, migration, managed operations, change management) on top. Cloud-delivered solutions are especially dominant in new procurements-they offer faster deployment and subscription pricing attractive to both large enterprises and SMEs. Grand View Research and other regional analyses specifically identify solutions as the largest and fastest-growing component in the forecast window.

Regional Outlook

European digital workplace market is further divided by countries, including the UK, Germany, France, Italy, Spain, Russia, and the Rest of Europe.

Germany Dominates the Market with a Major Share

Germany has emerged as the largest single-country market within Europe for digital workplace solutions and related services. Multiple market analyses show Germany leading the regional market in absolute value - for example, Germany's digital workplace market was cited at approximately USD 3.43 billion in 2024 in one Europe-focused study, the highest national figure reported for the region. Several factors explain Germany's dominant position. First, Germany's strong industrial base and a high concentration of large enterprises (manufacturing, automotive, chemical, and finance) drive demand for enterprise-grade digital workplace solutions that must integrate with complex ERP and industry systems. Second, German corporations tend to invest heavily in compliance, security, and robust on-premises + hybrid architectures - requirements that raise per-user spend compared with markets where lighter, purely SaaS models dominate. Third, Germany's sizable IT services ecosystem (large system integrators, managed service providers, and local software vendors) supports rapid deployment, localization, and long-term managed operations, creating a mature buyer-seller market dynamic that accelerates procurement and scale. Fourth, German government and public sector modernization programs, including federal and state-level investments in secure, resilient digital infrastructure for remote and hybrid public sector workforces, further enlarge market volume. Finally, Germany's emphasis on worker protections, data privacy awareness, and formalized digital transformation roadmaps pushes enterprises to buy higher-quality, fully supported solutions rather than lowest-cost alternatives. These combined structural and policy features make Germany the natural leader in Europe both in per-capita digital workplace spend and in absolute market size - and position it to remain the largest national market through the 2025-2035 forecast horizon. (Market Research Future and supporting regional analyses).

Market Players Outlook

The major companies operating in the European digital workplace market include Accenture Plc, Atos SE, Cisco Systems, IBM Corp., SAP SE, among others. Market players are leveraging partnerships, collaborations, mergers, and acquisition strategies for business expansion and innovative product development to maintain their market positioning.

Recent Developments

In June 2025, AGE partnered with OSHA's campaign for Safety and Health in the Digital Age to raise awareness about the risks and opportunities of digital technologies. The campaign aims to ensure workers' well-being remains at the heart of technological progress, as the global workforce grows older. The integration of digital tools in workplaces impacts occupational safety and health, necessitating broader engagement and targeted strategies.

The Report Covers:

Market value data analysis of 2024 and forecast to 2035.
Annualized market revenues ($ million) for each market segment.
Country-wise analysis of major geographical regions.
Key companies operating in the European digital workplace market. Based on the availability of data, information related to new products and relevant news is also available in the report.
Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
Analysis of market-entry and market expansion strategies.
Competitive strategies by identifying 'who-stands-where' in the market.

Product Code: OMR2024001

1. Report Summary

Current Industry Analysis and Growth Potential Outlook
European Digital Workplace Market Sales Analysis - Component | Deployment | Organization Size | Vertical ($ Million)
European Digital Workplace Market Sales Performance of Top Countries
1.1. Research Methodology
Primary Research Approach
Secondary Research Approach
1.2. Market Snapshot

2. Market Overview and Insights

2.1. Scope of the Study
2.2. Analyst Insight & Current Market Trends
- 2.2.1. Key European Digital Workplace Market Industry Trends
- 2.2.2. Market Recommendations

3. Market Determinants

3.1. Market Drivers
- 3.1.1. Drivers For the European Digital Workplace Market: Impact Analysis
3.2. Market Pain Points and Challenges
- 3.2.1. Restraints For the European Digital Workplace Market: Impact Analysis
3.3. Market Opportunities

4. Competitive Landscape

4.1. Competitive Dashboard - European Digital Workplace Market Revenue and Share by Manufacturers
European Digital Workplace Category Comparison Analysis
Top Market Player Ranking Matrix
4.2. Key Company Analysis
- 4.2.1. Accenture Plc
  - 4.2.1.1. Overview
  - 4.2.1.2. Organization Size Portfolio
  - 4.2.1.3. Financial Analysis (Subject to Data Availability)
  - 4.2.1.4. SWOT Analysis
  - 4.2.1.5. Business Strategy
- 4.2.2. Atos SE
  - 4.2.2.1. Overview
  - 4.2.2.2. Organization Size Portfolio
  - 4.2.2.3. Financial Analysis (Subject to Data Availability)
  - 4.2.2.4. SWOT Analysis
  - 4.2.2.5. Business Strategy
- 4.2.3. Cisco Systems,
  - 4.2.3.1. Overview
  - 4.2.3.2. Organization Size Portfolio
  - 4.2.3.3. Financial Analysis (Subject to Data Availability)
  - 4.2.3.4. SWOT Analysis
  - 4.2.3.5. Business Strategy
- 4.2.4. IBM Corp.
  - 4.2.4.1. Overview
  - 4.2.4.2. Organization Size Portfolio
  - 4.2.4.3. Financial Analysis (Subject to Data Availability)
  - 4.2.4.4. SWOT Analysis
  - 4.2.4.5. Business Strategy
- 4.2.5. SAP SE
  - 4.2.5.1. Overview
  - 4.2.5.2. Organization Size Portfolio
  - 4.2.5.3. Financial Analysis (Subject to Data Availability)
  - 4.2.5.4. SWOT Analysis
  - 4.2.5.5. Business Strategy
4.3. Top Winning Strategies by Market Players
- 4.3.1. Merger and Acquisition
- 4.3.2. Organization Size Launch
- 4.3.3. Partnership And Collaboration

5. European Digital Workplace Market Sales Analysis by Component ($ Million)

5.1. Solutions
5.2. Services

6. European Digital Workplace Market Sales Analysis by Deployment ($ Million)

6.1. On-Premises
6.2. Cloud-based

7. European Digital Workplace Market Sales Analysis by Organization Size ($ Million)

7.1. Large Enterprises
7.2. Small and Medium Enterprises (SMEs)

8. European Digital Workplace Market Sales Analysis by Vertical ($ Million)

8.1. BFSI (Banking, Financial Services, and Insurance)
8.2. Healthcare and Pharmaceuticals
8.3. Telecommunications and IT Services (ITeS)
8.4. Manufacturing
8.5. Consumer Goods and Retail
8.6. Government and Public Sector
8.7. Media and Entertainment
8.8. Others

9. Regional Analysis

9.1. European Digital Workplace Market Sales Analysis - Component | Deployment | Organization Size | Vertical ($ Million)
Macroeconomic Factors for Europe
- 9.1.1. UK
- 9.1.2. Germany
- 9.1.3. Italy
- 9.1.4. Spain
- 9.1.5. France
- 9.1.6. Russia
- 9.1.7. Rest of Europe

10. Company Profiles

10.1. Accenture Plc
- 10.1.1. Quick Facts
- 10.1.2. Company Overview
- 10.1.3. Product Portfolio
- 10.1.4. Business Strategies
10.2. Atos SE
- 10.2.1. Quick Facts
- 10.2.2. Company Overview
- 10.2.3. Product Portfolio
- 10.2.4. Business Strategies
10.3. Capgemini SE
- 10.3.1. Quick Facts
- 10.3.2. Company Overview
- 10.3.3. Product Portfolio
- 10.3.4. Business Strategies
10.4. Cisco Systems, Inc.
- 10.4.1. Quick Facts
- 10.4.2. Company Overview
- 10.4.3. Product Portfolio
- 10.4.4. Business Strategies
10.5. Getronics
- 10.5.1. Quick Facts
- 10.5.2. Company Overview
- 10.5.3. Product Portfolio
- 10.5.4. Business Strategies
10.6. IBM Corp.
- 10.6.1. Quick Facts
- 10.6.2. Company Overview
- 10.6.3. Product Portfolio
- 10.6.4. Business Strategies
10.7. Infosys
- 10.7.1. Quick Facts
- 10.7.2. Company Overview
- 10.7.3. Product Portfolio
- 10.7.4. Business Strategies
10.8. Nexthink
- 10.8.1. Quick Facts
- 10.8.2. Company Overview
- 10.8.3. Product Portfolio
- 10.8.4. Business Strategies
10.9. SAP SE
- 10.9.1. Quick Facts
- 10.9.2. Company Overview
- 10.9.3. Product Portfolio
- 10.9.4. Business Strategies
10.10. SoftwareOne
- 10.10.1. Quick Facts
- 10.10.2. Company Overview
- 10.10.3. Product Portfolio
- 10.10.4. Business Strategies
10.11. Tata Consultancy Services (TCS)
- 10.11.1. Quick Facts
- 10.11.2. Company Overview
- 10.11.3. Product Portfolio
- 10.11.4. Business Strategies
10.12. Telefonica
- 10.12.1. Quick Facts
- 10.12.2. Company Overview
- 10.12.3. Product Portfolio
- 10.12.4. Business Strategies
10.13. Vodafone Group plc
- 10.13.1. Quick Facts
- 10.13.2. Company Overview
- 10.13.3. Product Portfolio
- 10.13.4. Business Strategies
10.14. Wipro
- 10.14.1. Quick Facts
- 10.14.2. Company Overview
- 10.14.3. Product Portfolio
- 10.14.4. Business Strategies