The global virtual private cloud (VPC) market size is expected to grow at a Compound Annual Growth Rate (CAGR) of 23.0% during the forecast period, to reach USD 58.9 billion by 2024 from USD 20.9 billion in 2019. Increased flexibility and performance, and reduced time and cost are expected to spur the demand for VPC offerings across the globe. Many emerging players providing niche and differentiated offerings for target enterprises have come to the forefront.
Asia Pacific (APAC) is expected to grow at the highest CAGR in the global Virtual Private Cloud market during the forecast period, owing to the large-scale adoption of VPC services by enterprises in the region. Looking at the increasing adoption of advanced application development technologies and growing data volumes, APAC is expected to witness significant growth during the forecast period.
The retail vertical segment is expected to grow at a higher CAGR during the forecast period. Various factors driving this adoption are the rising purchasing power of customers and the need to satisfy customer expectations leading to the existing customer retention and new customer acquisition. Online retailing and cloud technologies have significantly disrupted the retail vertical leading to the adoption of cloud computing mainly for storage, backup, and security services.
The support and maintenance segment is expected to grow at a higher CAGR during the forecast period. Support and maintenance include the support related to the implementation and use of solutions, and are provided by VPC vendors. Support services empower organizations to efficiently tackle service requests, such as end-user issues and technical issues. Support and maintenance form an integral part of VPC implementation. These services ensure uninterrupted operations of the VPC solutions and services deployed in organizations.