iPaaS market to be worth $2.9B by 2021
|Richard Harris in Cloud Services Sunday, December 18, 2016|
MarketsandMarkets has published a new report that shows the iPaaS(Integration Platform as a Service) market size is estimated to grow from $528.0 Million in 2016 to $2,998.3 Million by 2021. That's a 41.5% Compound Annual Growth Rate (CAGR) during the forecast period. If this prediction comes to fruition, we can expect to see the Cloud Services industry become an exciting hub for new innovation and technologies within a quickly maturing market.
The demand for iPaaS is driven by factors such as the need for business agility, faster deployment, scalability, increasing awareness about iPaaS among enterprises, and reduced cost of ownership. With the increase in adoption of cloud computing among enterprises, the iPaaS market is expected to gain major traction during the forecast period.
Here's an overview of the report:
Cloud service orchestration service segment is expected to contribute the largest market share
The cloud service orchestration segment offers enterprises the flexibility to scale up or scale down resource consumption depending on business requirements. The major factors that have been driving the adoption of cloud service orchestration are flexibility, growing demand for optimum resources utilization, and increasing need for self-service provisioning. The service provides additional benefits such as assistance in strategic decision making, improved productivity & performance, and decrease in business downtime & losses.
Media and entertainment segment is projected to grow at the highest rate during the forecast period
The iPaaS offers attractive solutions to media and entertainment enterprises to manage enormous volume of digital media and data generated across various applications, due to increase in video consumption. The integration services would enable media and entertainment companies to manage their processes and workflows more effectively as they are scalable, flexible, and reliable. The Small and Medium Enterprises (SMEs) and large enterprises operating in this vertical are rapidly getting inclined towards deploying cloud-based services to store and manage their business-critical data, which will drive the growth in this segment.
North America is expected to contribute the largest market share, Asia-Pacific (APAC) to grow at the highest rate
North America is expected to hold the largest market share and dominate the iPaaS market from 2016 to 2021, owing to the availability of technical expertise, large investments in research & development, early adoption of new & emerging technologies, and presence of a large number of players in this region.
The APAC region is in the initial growth phase; however, it is the fastest growing region for the global iPaaS market. The key reasons for the high growth rate in APAC are increased spending on IT infrastructure, rising cloud-based applications, and growing demand for automation of processes.
The major vendors providing iPaaS are Dell Boomi, Inc. (Pennsylvania, U.S.), Informatica Corporation (California, U.S.), MuleSoft, Inc.(San Francisco, U.S.), IBM Corporation (New York, U.S.), Oracle Corporation (California, U.S.), SAP SE (Walldorf, Germany), SnapLogic, Inc. (California, U.S.), Celigo, Inc. (San Mateo, California, U.S.), Jitterbit, Inc. (California, U.S.), Scribe Software Corporation (New Hampshire, U.S.), DBSync (Tennessee, U.S.), Flowgear (Johannesburg, South Africa).