The global application hosting market was valued at USD XX Bn in 2018 and is expected to reach USD XX Bn by 2026, growing at a CAGR of 11.8% during the forecast period.
Application hosting, also known as online applications, Internet-based applications, and Web applications, is a type of software-as-a-service hosting solution that allows users to operate and execute a software application completely from the cloud on a periodic subscription and to be retrieved by users globally through the internet. It enables the virtualization of business applications. It is an easy-to-deploy hosted application than any other conventional software, as it has minimal integration requirements and requires no upfront installation. The availability of comprehensive hosting solutions with an assortment of complementing services is one of the major factors to drive the growth of the global application hosting market.
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Apart from these, the benefits offered by application hosting solutions such as easy maintenance, reduced administration, lesser costs due to pay-as-you-go module, unified and easy upgrades in functionality, ease of assimilating hosted applications with existing data and systems, and other related benefits are the major driving factors for the market. Enterprises are heavily investing in securing the external hosting infrastructure. Further, growing awareness about technological advancements and increasing use of mobile application services are going to drive the shift towards application hosting solutions during the forecast period.
However, concerns regarding privacy and security of applications, lack of control over applications, limited bandwidth, and sluggish regional IT developments are creating an infrastructural challenge for executing the hosting technology, which in turn, is expected to impede the growth of the global application hosting market.
Key Findings:
• Based on Deployment, the on-premise segment is expected to have the highest market share during the forecast period.
• Based on the Application Type, the mobile-based segment is expected to hold the largest share in the market during the forecast period.
• Based on the Hosting Type, the managed hosting segment is expected to hold the largest share in the market during the forecast period.
• Based on the Service Type, the backup and recovery segment is expected to hold the largest share in the market during the forecast period.
• Based on the Organization Size, the large enterprises segment is expected to hold the largest share in the market during the forecast period.
• Based on the End-use Industry, the BFSI segment is expected to hold the largest share in the market during the forecast period.
• Based on regions, North America is anticipated to capture a significant portion of the global application hosting market during the forecast period.
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Company Profiles and Competitive Intelligence:
The major players operating in the global application hosting market are, Amazon Web Services, IBM Corporation, Rackspace Inc., Google LLC, Liquid Web, Microsoft Corporation, Sungard Availability Services, DXC Technology, NaviSite, Inc., and Apprenda Inc., among others.
Recent News:
• In March 2017, NaviSite Inc. employed Cisco Application Centric Infrastructure (Cisco ACI) to computerize NaviSite data centers globally and speed time-to-market for its clients. It also offers new personalized services according to its clients’ needs, such as embedding a load balancer or specific firewall to meet the client's requirements within private cloud managed hosting environments and manage performance and capacity within their environment.
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