The global cloud migration service market includes a diverse range of cloud migration services such as application migration, re-platforming, infrastructure migration services and data migration among others. The services help enterprises in streamlining operations, agile infrastructure and scalability. Many organizations across industries are migrating workloads, applications, data and IT infrastructure to public/private cloud in order to fully leverage its agility and scalability. The adoption of cloud helps enterprises in cutting infrastructure costs, focus on innovation and gain competitive edge.
The global cloud migration service market is estimated to be valued at US$ 7.88 billion in 2024 and is expected to exhibit a CAGR of 4.6% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
The global cloud migration service market is expected to be flourished by growing digital transformation trend across organizations. Digital transformation initiatives aim at enhancing customer experience through innovative technologies and modernizing legacy systems. Cloud migration is one of the key enablers of digital transformation, enabling enterprises to quickly adopt technologies like artificial intelligence, IoT, analytics etc. and focus on innovation and strategic initiatives rather than infrastructure management. Growing adoption of public cloud due to advantages like agility, scalability and lower costs is another key driver fueling the demand for cloud migration services. Enterprises across industries are leveraging these services to optimize infrastructure spending and tap into cloud capabilities. Moreover, skilled workforce shortage in traditional IT coupled with benefits of cloud like outsourcing infrastructure management is encouraging enterprises to adopt cloud migration services. Vendors are developing cloud migration tools, platforms and managed services to ensure seamless and fast migration to cloud environments.
Segment Analysis
The global cloud migration service market is segmented into enterprise WAN optimization, IP transformation, network security, and application modernization. The network security segment is dominating currently as it ensures cloud migration is securely carried out and protects the digital assets of organizations. The services aids organizations to securely migrate workloads to public, private and hybrid clouds by providing advanced security solutions.
PEST Analysis
Political: Data sovereignty laws in different regions demands organizations to store data locally. This is positively impacting as organizations are adopting cloud migration services to comply with such laws.
Economic: Cost optimization is a major driver for companies to migrate to cloud. Cloud migration services help reduce infrastructure and operational costs in long run.
Social: Younger population is technology savvy and prefer cloud based solutions. This is increasing demand for cloud among SMEs and startups to attract young talent.
Technological: Advances in technologies like AI/ML, serverless computing etc is enabling organizations to modernize legacy apps and workloads. This is fueling adoption of cloud migration services.
Key Takeaways
The Global Cloud Migration Service Market Growth is expected to witness high over the forecast period. The global cloud migration service market is estimated to be valued at US$ 7.88 billion in 2024 and is expected to exhibit a CAGR of 4.6% over the forecast period 2024 to 2031.
North America region dominated currently due to stringent data sovereignty laws and early adoption of cloud technologies by organizations in the region. The network security segment is dominating globally as it ensures secure migration of workloads to public, private and hybrid clouds.
Key players operating in the global cloud migration service market are Archer Daniels Midland Company, Jungbunzlauer Suisse AG, Basel, Pfizer Inc., Shandong Juxian Hongde Citric Acid Co. Ltd., Delek Group, Cargill, Incorporated, Weifang Ensign Industry Co., Ltd., Tate & Lyle plc., COFCO Biochemical (AnHui) Co. Ltd., and RZBC GROUP. Companies are focusing on developing comprehensive cloud migration solutions and strong partner ecosystem to gain higher market share.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
