Distributed Cloud Market Size To Surpass USD 8.3 Bn By 2030

Published Date : 19 Dec 2022

The global distributed cloud market size accounted for USD 2.33 billion in 2022 and is expected to surpass around USD 8.3 billion by 2030, poised to grow at a compound annual growth rate (CAGR) of 17.18% during the forecast period 2022 to 2030.

Services are 'distributed' to specified locations in a distributed cloud to decline latency, also these services have single, steady control points through public and private cloud environments. According to Gartner, enterprises may experience significant performance advantages by minimizing latency and reducing the risk of outage or control plane inefficiencies. 

A distributed cloud extends the complete computing heap, not just application, to many places where it has been more needed, whether there has been a public cloud provider, on-premises or may be present at a third-party facility. The speed of data transport is directly proportional to the amount of computing power required by the system to process the user's request and provide the required information. Data in public clouds must travel a great distance before being given to users. 

The usage of distributed cloud overcomes this difficulty and allows data to travel faster owing to the dispersed data center's greater physical proximity. This advantage of distributed cloud computing is clearly linked to the one mentioned above. 

The less computer power you need to submit a request and receive a response, the less you must pay the distributed cloud provider. Unlike the hybrid cloud, which requires users to change between public and private cloud environments to administer cloud data, distributed computing allows users to manage and request cloud data from a single dashboard. In addition, the firm must work with only one distributed cloud computing vendor rather than several. The latter feature demonstrates the advantage of a distributed strategy over the multi-cloud alternative.

The development of semi-autonomous and self-driving automobiles is the most notable example of the use of distributed clouds in the automotive sector. The fundamental concept underlying such cars is the ability to record data in real-time, access the road condition, evaluate this data, and make rapid judgments. Cars of the future are predicted to have AI functions such as object identification, data processing, and decision intelligence. They will also be able to collect real-time data thanks to 5G. In this situation, leveraging dispersed clouds presents a superior choice for immediate data transfer and subsequent decision-making. Tesla's efforts, for example, are instances of edge computing and distributed cloud utilization. 

Distributed Cloud Market Report Scope

Report Coverage Details
Market Size In 2022 USD 2.33 Billion 
Market Size By 2030 USD 8.3 Billion
Growth Rate from 2022 to 2030 CAGR of 17.18%
Base Year 2022
Forecast Period 2022 to 2030
Segments Covered By End User, By Service Type, By Deployment Type, By Organizational Size and By Application
Regions Covered North America, Europe, Asia-Pacific, Latin America and Middle East & Africa

Report Highlights

With the rising volume of data created by various sources, the need for low-cost data backup and data protection & safety alternatives among enterprises is increasing, consequently boosting the market growth. Furthermore, the increasing prevalence of internet services and the growing use of smart devices are important drivers driving the market. 

Various end-user industries are reducing their reliance on paperwork as most organizations are rapidly digitalizing in their operations. The mounting adoption of digital systems by numerous companies is leading to the generation of large data volumes. Distributed clouds help store, share, & process massive datasets in the least possible time while providing easy data access to educational institutes, companies, & governments. As a result, the need for distributed clouds is significantly rising across different industrial verticals, thereby driving the global market.

Regional Snapshots

The primary drivers of distributed cloud adoption in the United States are digitalization, the presence of a significant number of organizations, data protection, data backup, and data recovery. In addition, industrial automation, better customer service for faster enquiries, and other factors are increasing demand for distributed cloud. Furthermore, the rising use of cloud computing, the internet of things (IoT), and other technologies is boosting market growth. 

Furthermore, the presence of key market players in the region, as well as the high adoption rate of modern technologies, is driving market expansion in the US. The growing demand for cloud services across numerous business verticals, as well as the availability of experienced individuals, is likely to drive market expansion over the next ten years.

The distributed cloud industry in the MEA region is expected to grow rapidly and to dominate the worldwide cloud integration market between 2021 and 2031. The primary drivers of this market comprise enterprise mobility, greater agility, quick deployment, and platform scalability, which are the significant aspects driving the growth of the distributed cloud business in MEA. However, lack of knowledge, as well as security and privacy concerns, are expected to hamper the market growth in the near future.

Market Dynamics


The rising requirement for minimal data recovery, greater use of mobile technologies, handling higher workloads and data, better data recovery, and growing use of digitalization are some of the main driving factors for the growth of this market. Furthermore, new product releases, increased government interest in implementing and promoting cloud technologies, and fast deployment of cloud technologies for a variety of applications are projected to improve market potential. Furthermore, the ability of public cloud services to transition toward better-distributed cloud computing with high-end security is fueling the market's growth. The ability to immediately analyze and disseminate massive volumes of data is also promising for healthcare. The variety of use cases for this business is nearly limitless. Healthcare providers, for example, can leverage hybrid clouds and edge computing for in-hospital and at-home patient monitoring. 

Furthermore, there are several IoT-based apps and devices available for tracking specific symptoms and illnesses. Consider the example of medical services and smart home solutions as notable examples of edge computing technology for healthcare. Kwido is a next-generation combination of software and hardware designed for the home monitoring of geriatric people. It detects behavioral irregularities in older people using sensors. 


Concerns about security may stymie the market's expansion, in this business intelligence trends guide; consultants addressed the heated discussion over data privacy. Security is a significant worry in the area of cloud-based computing, as they cannot see the actual place where your data is kept or processed, as it is in many other disciplines of technology. This raises the risks associated with the implementation or management process. Currently, 93 percent of prominent firms across all industries are extremely concerned about a large data breach within their cloud-centric ecosystems. 


The distributed cloud preserves the technological, economical, and operational benefits of the cloud while providing improved performance, redundancy, security, and regulatory compliance," according to a Technologent blog post. To make this work, organizations must have a single picture of their expenses, cyber security, and governance. They must also be able to capitalize on technical improvements to ensure top application performance. Computing is becoming more prevalent. Everything is becoming smarter thanks to IoT devices and wearable computing. 

Smart devices create a large amount of data. People and robots upload 24,000 terabytes of data to the internet every second, according to the research. Because the computing and processing brain is still on the cloud, that data must be sent up to the cloud to be analyzed. Another reason that has promoted the growth of this innovation and led to a greater interest in adopting the distributed cloud strategy is the significant increase in the number of places to which cloud services may be expanded or successfully consumed. 

According to a study performed by Ensono, a well-known hybrid IT services company, many IT experts believe that distributed cloud is the solution to various urgent difficulties that enterprises are presently facing. Almost half 49% of poll respondents believe that distributed a cloud is an effective approach to tackling network-related difficulties and outages, with 42 percent believing it may prevent latency concerns.


Security is a significant worry in the area of cloud-based computing, as you cannot see the actual place where your data is kept or processed, as it is in many other disciplines of technology. This raises the risks associated with the implementation or management process. A company may simply increase its processing capacity on the cloud without making huge expenditures in new hardware. Businesses can alternatively get more processing through public suppliers' pay-as-you-go methods. However, because cloud computing services are on-demand and scalable, it can be challenging to specify and estimate quantities and costs.

Recent Developments

  • IBM, one of the market's leading participants, has also created the "IBM Cloud Satellite" distributed cloud system, which allows users to access the IBM cloud from anywhere. It may be installed in the cloud or supplied as a service at the edge.

Key Market Players

  • IBM Corp.
  • Amazon web services
  • Microsoft Corp.
  • VMware Inc.
  • Salesforces Inc.
  • Pivotal Inc
  • Cloud Sigma Inc.
  • Google LLC
  • Alibaba Corp.
  • Digital Ocean Inc

Market Segmentation

By End User

  • Automotive
  • BFSI
  • Healthcare
  • Public Safety
  • Government
  • Private organization
  • Education

By Service Type

  • Data Storage
  • Networking
  • Data Security
  • Autonomy
  • Others

By Deployment Type     

  • Public Cloud
  • Hybrid Cloud
  • Private Cloud

By Organizational Size  

  • Small & Medium Enterprise
  • Large Enterprise

By Application

  • Public Resource Computing
  • Volunteer Cloud
  • Fog/Edge Computing
  • Others

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