Storage As A Service (STaaS) Market Size, Share, Opportunities, And Trends By Type (Cloud Backup, Cloud Archiving, Standalone And Platform Attached Storage), By Enterprise Size (SME, Large), By End-User (BFSI, IT And Telecom, Retail, Healthcare, Public Sector, Education, Others), And By Geography - Forecasts From 2024 To 2029

The storage as a service (STaaS) market is expected to grow at a CAGR of 32.93% over the forecast period to reach a market size of US$62.779 billion by 2029 from a valuation of US$8.558 billion in 2022.

"Storage as a service" (STaaS) refers to the provision of a remote storage facility and structure by an external party to companies. This allows access to data and efficient storage of software applications through an internet network, eliminating the need for physical storage facilities. Cloud backup, cloud archiving, and standalone and platform-attached storage are the dominant types of STaaS services being consumed by large, medium, and small-scale enterprises in the market.

The need for cost-effective, flexible, and scalable storage solutions is driving the demand for STaaS solutions since enterprises can pay for the storage they need on a subscription basis instead of investing in and maintaining their storage infrastructure. The enhanced storage service offered by STaaS is substituting conventional storage methods with STaaS, which is expected to result in the STaaS market's growth.

Storage as a Service (STaaS) Market Drivers:

• Rise in the volume of data generated by companies

The exponential growth in the amount of data generated by companies fueled by the globalization and digitalization of business operations is resulting in the need for effective storage solutions that the company can access through online mediums. A survey conducted by Zippia revealed that approximately 90% of the aggregate data generated by the world at all times can be attributed to the data generated in the previous two years. It also showed that the amount of international data generated by the corporate sector that is stored in the cloud majorly increased from 45% in 2018 to 60% in 2022.

In addition, establishing data retention policies by corporate regulatory departments has generated the need for periodic data retention for a wide range of years. For instance, the Companies Act created by the Indian legislation requires companies to digitally store the data and accounts generated by companies for 8 years. In addition, the Basel III standards specify that companies belonging to the prescribed group of industries must retain their data for 7 years. Therefore, the growing need for data retention and the voluminous growth in the data generated by companies operating in different industries is driving the demand for storage as service solutions and services.

• Extensive adoption of cloud services and cloud computing

The rise in the adoption rates of cloud services and cloud computing services is further stimulating the demand for STaaS services as it aids in fortifying and unifying the cloud infrastructure by easy integration. A report generated by Flexera, a software company in the US, revealed that approximately 93% of the companies are utilizing a minimum of one service based on cloud in 2023, with the average number varying from 4.8 in enterprises of large size and 2.2 among SMEs.

In addition, it was also estimated that cloud infrastructure spending increased by 40% in the IT sector, resulting in the adoption of hybrid cloud networks by more than 58% of the companies in 2022, up 51% from 2021. The World Economic Forum also stated that approximately 65% of corporate organizations around the world are innovating their business models to integrate cloud computing. Therefore, the growth in the adoption of cloud computing and services is expected to drive the demand for the STaaS market over the forecast period.

Storage as a Service (STaaS) Market Restraints:

• The data portability and security limitations associated with certain STaaS services can hinder market growth.

Certain companies and enterprises are reluctant to adopt STaaS solutions due to their concerns over being locked into a specific provider or platform. This leads to complications in moving and transmitting their data to a different provider, which could be particularly challenging if the data is stored in a proprietary format that is not easily compatible with other platforms or systems.

In addition, uncertainties about the security measures implemented into STaaS services are leading to restricted use of STaaS to store sensitive or confidential data in the cloud by some operating enterprises, particularly in industries with strict data privacy and security regulations. However, recent advancements in security and compliance features of STaaS services by major companies such as Intel can overcome this limitation.

Storage as a Service (STaaS) Market Segmentation Analysis

• By end-users, the BFSI sector is anticipated to contribute significantly to the development of the STaaS market.

The expansion of data generated by the BFSI sector and the importance of data-driven decision-making in companies operating in this sector will promote the demand for STaaS and other cloud services in this industry. According to IBM Corporation, the average amount of cloud deployment in the banking industry increased from 8.4 in 2020 to 10.9 in 2023.

Storage as a Service (STaaS) Market – Geographical Outlook

• The Asia Pacific region holds a significant share of the storage as a service market and is projected to expand during the forecasted period.

The rise in the importance of big data analytics and the increase in the adoption of hybrid and multi-cloud networks by companies operating in major economies such as China, Japan, South Korea, and Taiwan are expected to promote the regional STaaS market growth.

The surge in consumption of disaster recovery and business continuity solutions and the expansion of the various end-user industries are driven by company growth. This will stimulate the need for STaaS solutions as an efficient and cost-effective method of storing and archiving business operations.

Storage as a Service (STaaS) market Industry Updates:

• October 2023 - Nyriad® Inc., unveiled the introduction of UltraIOTM-as-a-Service. This marked the inception of an on-premise Storage-as-a-Service (STaaS) solution tailored to meet modern enterprises' escalating data management needs. Nyriad’s UltraIO-as-a-Service offering was crafted to address various challenges by offering flexible and easy-to-use STaaS options.
• January 2023 - ePlus Inc., an IT company operating in the US to provide specialized services and solutions, announced the introduction of a new storage as a service product under its Pure Storage's Managed Services Provider Program by using its Pure Storage Evergreen//One technology to offer adaptable storage models based on subscriptions.

Storage As A Service (STaaS) Market Scope:

 

Report Metric	Details
Market Size Value in 2022	US$8.558 billion
Market Size Value in 2029	US$62.779 billion
Growth Rate	CAGR of 32.93%
Study Period	2019 to 2029
Historical Data	2019 to 2022
Base Year	2023
Forecast Period	2024 – 2029
Forecast Unit (Value)	USD Billion
Segments Covered	Type Enterprise Size End-User Geography
Companies Covered	Intel Corporation Google LLC Microsoft AWS Solutions Group IBM
Regions Covered	North America, South America, Europe, Middle East and Africa, Asia Pacific
Customization Scope	Free report customization with purchase

 

Storage As A Service (STaaS) Market is segmented and analyzed as below:

• By Type
  • Cloud Backup
  • Cloud Archiving
  • Standalone and Platform Attached Storage
• By Enterprise Size
  • SME
  • Large
• By End-User
  • BFSI
  • IT and Telecom
  • Retail
  • Healthcare
  • Public Sector
  • Education
  • Others
• By Geography
  • North America
    • USA
    • Canada
    • Mexico
  • South America
    • Brazil
    • Argentina
    • Others
  • Europe
    • Germany
    • France
    • UK
    • Spain
    • Others
  • Middle East and Africa
    • Saudi Arabia
    • UAE
    • Israel
    • Others
  • Asia Pacific
    • China
    • Japan
    • India
    • South Korea
    • Indonesia
    • Taiwan
    • Others

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1. INTRODUCTION

1.1. Market Overview

1.2. Market Definition

1.3. Scope of the Study

1.4. Market Segmentation

1.5. Currency

1.6. Assumptions

1.7. Base, and Forecast Years Timeline

1.8. Key benefits to the stakeholder

2. RESEARCH METHODOLOGY

2.1. Research Design

2.2. Research Process

3. EXECUTIVE SUMMARY

3.1. Key Findings

4. MARKET DYNAMICS

4.1. Market Drivers

4.2. Market Restraints

4.3. Porter’s Five Forces Analysis

4.3.1. Bargaining Power of Suppliers

4.3.2. Bargaining Power of Buyers

4.3.3. Threat of New Entrants

4.3.4. Threat of Substitutes

4.3.5. Competitive Rivalry in the Industry

4.4. Industry Value Chain Analysis

4.5. Analyst View

5. STORAGE AS A SERVICE (STAAS) MARKET BY TYPE

5.1. Introduction

5.2. Cloud Backup

5.2.1. Market opportunities and trends

5.2.2. Growth prospects

5.2.3. Geographic lucrativeness 

5.3. Cloud Archiving

5.3.1. Market opportunities and trends

5.3.2. Growth prospects

5.3.3. Geographic lucrativeness 

5.4. Standalone and Platform Attached Storage

5.4.1. Market opportunities and trends

5.4.2. Growth prospects

5.4.3. Geographic lucrativeness 

6. STORAGE AS A SERVICE (STAAS) MARKET BY ENTERPRISE SIZE

6.1. Introduction

6.2. SME

6.2.1. Market opportunities and trends

6.2.2. Growth prospects

6.2.3. Geographic lucrativeness 

6.3. Large

6.3.1. Market opportunities and trends

6.3.2. Growth prospects

6.3.3. Geographic lucrativeness 

7. STORAGE AS A SERVICE (STAAS) MARKET BY END-USER

7.1. Introduction

7.2. BFSI

7.2.1. Market opportunities and trends

7.2.2. Growth prospects

7.2.3. Geographic lucrativeness 

7.3.  IT and Telecom

7.3.1. Market opportunities and trends

7.3.2. Growth prospects

7.3.3. Geographic lucrativeness 

7.4. Retail

7.4.1. Market opportunities and trends

7.4.2. Growth prospects

7.4.3. Geographic lucrativeness 

7.5.  Healthcare

7.5.1. Market opportunities and trends

7.5.2. Growth prospects

7.5.3. Geographic lucrativeness 

7.6. Public Sector

7.6.1. Market opportunities and trends

7.6.2. Growth prospects

7.6.3. Geographic lucrativeness 

7.7. Education

7.7.1. Market opportunities and trends

7.7.2. Growth prospects

7.7.3. Geographic lucrativeness 

7.8. Others

7.8.1. Market opportunities and trends

7.8.2. Growth prospects

7.8.3. Geographic lucrativeness 

8. STORAGE AS A SERVICE (STAAS) MARKET BY GEOGRAPHY

8.1. Introduction

8.2. North America

8.2.1. By Type

8.2.2. By Enterprise Size

8.2.3. By End-User

8.2.4. By Country

8.2.4.1. United States

8.2.4.1.1. Market Trends and Opportunities

8.2.4.1.2. Growth Prospects

8.2.4.2. Canada

8.2.4.2.1. Market Trends and Opportunities

8.2.4.2.2. Growth Prospects

8.2.4.3. Mexico

8.2.4.3.1. Market Trends and Opportunities

8.2.4.3.2. Growth Prospects

8.3. South America

8.3.1. By Type

8.3.2. By Enterprise Size

8.3.3. By End-User

8.3.4. By Country

8.3.4.1. Brazil 

8.3.4.1.1. Market Trends and Opportunities

8.3.4.1.2. Growth Prospects 

8.3.4.2. Argentina

8.3.4.2.1. Market Trends and Opportunities

8.3.4.2.2. Growth Prospects

8.3.4.3. Others

8.3.4.3.1. Market Trends and Opportunities

8.3.4.3.2. Growth Prospects

8.4. Europe

8.4.1. By Type

8.4.2. By Enterprise Size

8.4.3. By End-User

8.4.4. By Country

8.4.4.1. Germany

8.4.4.1.1. Market Trends and Opportunities

8.4.4.1.2. Growth Prospects

8.4.4.2. France

8.4.4.2.1. Market Trends and Opportunities

8.4.4.2.2. Growth Prospects

8.4.4.3. UK

8.4.4.3.1. Market Trends and Opportunities

8.4.4.3.2. Growth Prospects

8.4.4.4. Spain

8.4.4.4.1. Market Trends and Opportunities

8.4.4.4.2. Growth Prospects

8.4.4.5. Others

8.4.4.5.1. Market Trends and Opportunities

8.4.4.5.2. Growth Prospects

8.5. Middle East and Africa

8.5.1. By Type

8.5.2. By Enterprise Size

8.5.3. By End-User

8.5.4. By Country

8.5.4.1. Saudi Arabia

8.5.4.1.1. Market Trends and Opportunities

8.5.4.1.2. Growth Prospects

8.5.4.2. UAE

8.5.4.2.1. Market Trends and Opportunities

8.5.4.2.2. Growth Prospects

8.5.4.3. Israel

8.5.4.3.1. Market Trends and Opportunities

8.5.4.3.2. Growth Prospects  

8.5.4.4. Others

8.5.4.4.1. Market Trends and Opportunities

8.5.4.4.2. Growth Prospects

8.6. Asia Pacific

8.6.1. By Type

8.6.2. By Enterprise Size

8.6.3. By End-User

8.6.4. By Country

8.6.4.1. China 

8.6.4.1.1. Market Trends and Opportunities

8.6.4.1.2. Growth Prospects

8.6.4.2. Japan

8.6.4.2.1. Market Trends and Opportunities

8.6.4.2.2. Growth Prospects

8.6.4.3. India

8.6.4.3.1. Market Trends and Opportunities

8.6.4.3.2. Growth Prospects

8.6.4.4. South Korea

8.6.4.4.1. Market Trends and Opportunities

8.6.4.4.2. Growth Prospects

8.6.4.5. Indonesia

8.6.4.5.1. Market Trends and Opportunities

8.6.4.5.2. Growth Prospects

8.6.4.6. Taiwan

8.6.4.6.1. Market Trends and Opportunities

8.6.4.6.2. Growth Prospects

8.6.4.7. Others

8.6.4.7.1. Market Trends and Opportunities

8.6.4.7.2. Growth Prospects

9. COMPETITIVE ENVIRONMENT AND ANALYSIS

9.1. Major Players and Strategy Analysis

9.2. Market Share Analysis

9.3. Mergers, Acquisition, Agreements, and Collaborations

9.4. Competitive Dashboard

10. COMPANY PROFILES

10.1. Intel Corporation

10.2. Google LLC

10.3. Microsoft

10.4. AWS Solutions Group

10.5. IBM

10.6. AT&T

10.7. Oracle

10.8. Rackspace

10.9. Hitachi Vantara LLC

10.10. Hewlett Packard Enterprise Development LP

LIST OF TABLES

LIST OF FIGURES

Intel Corporation

Google LLC

Microsoft

AWS Solutions Group

IBM

AT&T

Oracle

Rackspace

Hitachi Vantara LLC

Hewlett Packard Enterprise Development LP