PUBLISHER: The Business Research Company | PRODUCT CODE: 1888327
PUBLISHER: The Business Research Company | PRODUCT CODE: 1888327
Managed hybrid cloud hosting is a service model that integrates public and private cloud infrastructures, with a third party provider responsible for managing and optimizing the entire environment. It allows businesses to achieve a balance between scalability, security, and performance while simplifying operations through professional management and support.
The primary service types of managed hybrid cloud hosting include infrastructure as a service (IaaS), platform as a service (PaaS), software as a service (SaaS), disaster recovery as a service (DRaaS), and backup as a service (BaaS). Infrastructure as a service provides on demand virtualized computing resources such as servers, storage, and networking. Types include cloud based and on premises, and these services cater to organizations of various sizes, including small and medium enterprises and large enterprises. Managed hybrid cloud hosting is widely adopted across several industry verticals such as banking, financial services and insurance (BFSI), information technology (IT) and telecommunications, healthcare, retail, manufacturing, government, and others.
Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report's Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.
The rapid escalation of U.S. tariffs and the resulting trade tensions in spring 2025 are significantly impacting the information technology sector, particularly in hardware manufacturing, data infrastructure, and software deployment. Higher duties on imported semiconductors, circuit boards, and networking equipment have raised production and operational costs for tech firms, cloud service providers, and data centers. Companies relying on globally sourced components for laptops, servers, and consumer electronics are facing longer lead times and increased pricing pressures. In parallel, tariffs on specialized software tools and retaliatory measures from key international markets have disrupted global IT supply chains and reduced overseas demand for U.S.-developed technologies. To navigate these challenges, the sector is accelerating investments in domestic chip fabrication, diversifying supplier bases, and adopting AI-driven automation to enhance operational resilience and cost efficiency.
The managed hybrid cloud hosting market research report is one of a series of new reports from The Business Research Company that provides managed hybrid cloud hosting market statistics, including the managed hybrid cloud hosting industry global market size, regional shares, competitors with the managed hybrid cloud hosting market share, detailed managed hybrid cloud hosting market segments, market trends, and opportunities, and any further data you may need to thrive in the managed hybrid cloud hosting industry. This managed hybrid cloud hosting market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The managed hybrid cloud hosting market size has grown rapidly in recent years. It will grow from $35.37 billion in 2024 to $40.99 billion in 2025 at a compound annual growth rate (CAGR) of 15.9%. The growth during the historic period can be attributed to the growing adoption of cloud computing, the increasing demand for IT infrastructure flexibility, the rising need for data security and compliance, cost optimization through hybrid deployment models, the expansion of digital transformation initiatives, the growing reliance on managed service providers, and the surge in enterprise workload migration to the cloud.
The managed hybrid cloud hosting market size is expected to see rapid growth in the next few years. It will grow to $72.95 billion in 2029 at a compound annual growth rate (CAGR) of 15.5%. The growth during the forecast period can be attributed to the growing adoption of artificial intelligence and machine learning workloads, the increasing demand for edge computing integration, the rising emphasis on data sovereignty and compliance, the expansion of 5G enabled cloud infrastructure, the growing need for unified cloud management platforms, and the accelerating digital transformation across industries. Key trends in the forecast period include advancements in artificial intelligence powered workload optimization, the adoption of edge and distributed cloud architectures, enhanced automation through infrastructure as code (IaC), the integration of zero trust and advanced cybersecurity frameworks, the development of unified multi cloud management platforms, and the implementation of sustainability focused data center innovations.
The rising adoption of cloud computing is fueling the growth of the market due to growing demand for cost efficient and scalable IT infrastructure solutions. The increasing use of cloud computing is expected to drive the expansion of the managed hybrid cloud hosting market going forward. Cloud computing refers to the delivery of computing resources such as servers, storage, databases, networking, software, and analytics over the internet to provide faster innovation, flexible resources, and economies of scale. The adoption of cloud computing is increasing due to its cost efficiency, enabling organizations to reduce infrastructure expenses while accessing scalable resources on demand. Managed hybrid cloud hosting in cloud computing integrates public and private cloud environments under expert management to optimize performance, security, and scalability for enterprise workloads. For instance, in December 2023, according to Eurostat, a Luxembourg based government organization, 45.2 percent of enterprises across the European Union purchased cloud computing services, with 77.6 percent of large enterprises, 59 percent of medium sized enterprises, and 41.7 percent of small businesses adopting cloud services. The most purchased cloud computing services included email systems at 82.7 percent, file storage at 68.0 percent, and office software at 66.3 percent. Therefore, the increasing adoption of cloud computing is driving the growth of the managed hybrid cloud hosting market.
Key companies operating in the managed hybrid cloud hosting market are focusing on developing advanced private cloud solutions integrated with unified cloud management software and disaggregated infrastructure technologies to enhance scalability, reduce costs, and simplify hybrid IT operations. Private cloud solutions provide exclusive cloud infrastructure for a single organization, offering improved security, control, and flexibility in managing data and applications. For instance, in May 2025, Hewlett Packard Enterprise (HPE), a US based information technology company, launched its next generation private cloud portfolio designed to modernize hybrid IT with greater cost efficiency, performance, and simplicity. The launch includes HPE Private Cloud Business Edition featuring Morpheus VM Essentials, which reduces VM licensing costs by up to 90 percent and provides a 2.5 times lower total cost of ownership through disaggregated infrastructure. The HPE Morpheus Software suite, which includes enterprise software for unified cloud management, enables automation, artificial intelligence driven operations, and multi cloud integration. With enhanced scalability, security, and ecosystem support from partners such as Commvault, HPE aims to help enterprises streamline virtualization, reduce costs, and accelerate digital transformation across hybrid environments.
In August 2024, Hewlett Packard Enterprise (HPE), a US based information technology company, acquired Morpheus Data for an undisclosed amount. Through this acquisition, HPE aims to strengthen its GreenLake cloud platform by integrating Morpheus' advanced hybrid and multi cloud management tools to deliver unified provisioning, workload optimization, and simplified IT operations across diverse environments. Morpheus Data is a US based software company that specializes in providing hybrid and multi cloud management solutions.
Major players in the managed hybrid cloud hosting market are Amazon.com Inc., Google LLC, Microsoft Corporation, Alibaba Cloud Computing Ltd., Huawei Technologies Co. Ltd., Hitachi Ltd., Cisco Systems Inc., Hewlett Packard Enterprise Company, Capgemini SE, NEC Corporation, Cognizant Technology Solutions Corporation, Infosys Limited, Super Micro Computer Inc., VMware Inc., Rackspace Technology Inc., Nutanix Inc., Penguin Computing Inc., Broadberry Data Systems Ltd., Cirrascale Cloud Services LLC, Microway Inc.
North America was the largest region in the managed hybrid cloud hosting market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in managed hybrid cloud hosting report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
The countries covered in the managed hybrid cloud hosting market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The managed hybrid cloud hosting market includes revenues earned by entities by providing services such as hybrid cloud infrastructure management, on-premises and cloud integration, monitoring, and optimization services. The market value also includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Managed Hybrid Cloud Hosting Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on managed hybrid cloud hosting market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for managed hybrid cloud hosting ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The managed hybrid cloud hosting market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the technological advancements such as AI and automation, Russia-Ukraine war, trade tariffs (government-imposed import/export duties), elevated inflation and interest rates.