disaster recovery as a service market report size, share, growth drivers, trends, opportunities & forecast 2025–2030
Description
Disaster Recovery as a Service Market Overview
The Disaster Recovery as a Service market is valued at USD 12 billion, based on a five-year historical analysis. This growth is primarily driven by the increasing frequency and complexity of cyberattacks, such as ransomware and data
eaches, as well as natural disasters and the rising need for business continuity solutions across various sectors. Organizations are increasingly adopting DRaaS solutions to ensure robust data protection, minimize downtime, and optimize operational costs through scalable, cloud-based recovery models, which has significantly contributed to the market's expansion.
Key players in this market include the United States, Canada, and the United Kingdom, which dominate due to their advanced technological infrastructure, high adoption rates of cloud services, and stringent regulatory requirements for data protection. The presence of major IT companies, substantial investments in digital transformation, and a robust startup ecosystem further enhance their market leadership. North America holds the largest market share globally, with the United States accounting for over one-third of global DRaaS revenue.
In 2023, the European Union implemented the Digital Operational Resilience Act (DORA), issued by the European Parliament and Council, mandating financial institutions to ensure their IT systems are resilient against disruptions. DORA requires operational resilience testing, incident reporting, and third-party risk management, emphasizing the importance of disaster recovery planning and leading to increased investments in DRaaS solutions among financial service providers.
Disaster Recovery as a Service Market Segmentation
By Service Type:
The service type segmentation includes various offerings such as Managed DRaaS, Assisted DRaaS, Self-Service DRaaS, Backup & Restore Services, Real-Time Replication Services, Data Protection Services, and Professional Services. Among these, Managed DRaaS is the leading sub-segment, as organizations prefer outsourcing their disaster recovery needs to specialized providers, allowing them to focus on core business activities while ensuring robust data protection. Managed DRaaS continues to gain traction due to its cost efficiency, scalability, and ability to address complex IT environments, while Real-Time Replication Services are emerging as a fast-growing segment driven by demand for minimal downtime and rapid data recovery.
By Organization Size:
The organization size segmentation includes Large Enterprises and Small & Medium Enterprises (SMEs). Large Enterprises dominate the market due to their extensive IT infrastructure, higher budgets for disaster recovery solutions, and greater regulatory compliance requirements. They are more likely to invest in comprehensive DRaaS solutions to protect critical data and ensure business continuity, while SMEs are increasingly adopting these services as awareness of data protection and cloud-based recovery grows. The adoption among SMEs is further accelerated by the availability of cost-effective, scalable DRaaS offerings tailored to their needs.
Disaster Recovery as a Service Market Competitive Landscape
The Disaster Recovery as a Service Market is characterized by a dynamic mix of regional and international players. Leading participants such as IBM Corporation, Microsoft Corporation, Amazon Web Services, Inc., VMware, Inc., Acronis International GmbH, Zerto, Inc., Commvault Systems, Inc., Arcserve LLC, Datto, Inc., Carbonite, Inc., Veeam Software, StorageCraft Technology Corporation, Infrascale, Inc., Unitrends, Inc., Databarracks Ltd., HYCU, Inc., Sungard Availability Services, iland Cloud, Rackspace Technology, Inc., TierPoint, LLC contribute to innovation, geographic expansion, and service delivery in this space.
IBM Corporation
1911
Armonk, New York, USA
Microsoft Corporation
1975
Redmond, Washington, USA
Amazon Web Services, Inc.
2006
Seattle, Washington, USA
VMware, Inc.
1998
Palo Alto, California, USA
Acronis International GmbH
2003
Schaffhausen, Switzerland
Company
Establishment Year
Headquarters
Organization Size (Large, Medium, Small)
Annual Revenue from DRaaS
Revenue Growth Rate (YoY)
Number of Customers/Clients
Customer Retention Rate
Market Penetration Rate
Disaster Recovery as a Service Market Industry Analysis
Growth Drivers
Increasing Demand for Data Protection:
The global data protection market is projected to reach $122 billion in future, driven by the need for businesses to safeguard sensitive information. With cyberattacks increasing by 31% annually, organizations are prioritizing disaster recovery solutions to mitigate risks. In future, 60% of companies reported investing more in data protection strategies, reflecting a growing recognition of the importance of safeguarding data assets in an increasingly digital landscape.
Rising Frequency of Natural Disasters:
According to the National Oceanic and Atmospheric Administration (NOAA), the U.S. experienced 22 weather and climate disasters in future, each causing over $1 billion in damages. This trend underscores the urgent need for robust disaster recovery solutions. As businesses face heightened risks from natural disasters, the demand for Disaster Recovery as a Service (DRaaS) is expected to surge, with companies seeking reliable recovery options to ensure business continuity.
Growing Adoption of Cloud-Based Solutions:
The global cloud computing market is anticipated to reach $1.6 trillion in future, with a significant portion attributed to disaster recovery services. In future, 70% of enterprises reported using cloud-based solutions for data backup and recovery. This shift is driven by the flexibility, scalability, and cost-effectiveness of cloud services, enabling organizations to implement comprehensive disaster recovery strategies that align with their operational needs and budget constraints.
Market Challenges
High Initial Investment Costs:
Implementing Disaster Recovery as a Service can require substantial upfront investments, often exceeding $100,000 for mid-sized companies. This financial barrier can deter organizations from adopting DRaaS solutions, particularly small businesses with limited budgets. As a result, many companies may delay necessary upgrades to their disaster recovery plans, increasing their vulnerability to data loss and operational disruptions in the event of a disaster.
Complexity of Integration with Existing Systems:
Integrating DRaaS solutions with legacy systems can be a daunting task, often requiring specialized expertise. In future, 45% of IT managers reported challenges in aligning new disaster recovery solutions with existing infrastructure. This complexity can lead to extended implementation timelines and increased costs, ultimately hindering the effectiveness of disaster recovery strategies and leaving organizations exposed to potential data loss during critical incidents.
Disaster Recovery as a Service Market Future Outlook
The Disaster Recovery as a Service market is poised for significant evolution, driven by technological advancements and changing business needs. As organizations increasingly prioritize data security and operational resilience, the demand for automated recovery solutions is expected to rise. Additionally, the integration of artificial intelligence and machine learning into disaster recovery processes will enhance efficiency and effectiveness, enabling businesses to respond swiftly to disruptions while maintaining compliance with evolving regulatory standards.
Market Opportunities
Expansion into Emerging Markets:
Emerging markets, particularly in Asia-Pacific and Latin America, present significant growth opportunities for DRaaS providers. With increasing internet penetration and digital transformation initiatives, these regions are witnessing a surge in demand for reliable disaster recovery solutions, creating a favorable environment for service expansion and innovation.
Development of Innovative Service Offerings:
The market is ripe for innovative service offerings, such as tailored DRaaS solutions for specific industries. By addressing unique sector needs, providers can differentiate themselves and capture a larger market share. This focus on customization will enhance customer satisfaction and drive long-term loyalty in a competitive landscape.
Please Note: It will take 5-7 business days to complete the report upon order confirmation.
The Disaster Recovery as a Service market is valued at USD 12 billion, based on a five-year historical analysis. This growth is primarily driven by the increasing frequency and complexity of cyberattacks, such as ransomware and data
eaches, as well as natural disasters and the rising need for business continuity solutions across various sectors. Organizations are increasingly adopting DRaaS solutions to ensure robust data protection, minimize downtime, and optimize operational costs through scalable, cloud-based recovery models, which has significantly contributed to the market's expansion.
Key players in this market include the United States, Canada, and the United Kingdom, which dominate due to their advanced technological infrastructure, high adoption rates of cloud services, and stringent regulatory requirements for data protection. The presence of major IT companies, substantial investments in digital transformation, and a robust startup ecosystem further enhance their market leadership. North America holds the largest market share globally, with the United States accounting for over one-third of global DRaaS revenue.
In 2023, the European Union implemented the Digital Operational Resilience Act (DORA), issued by the European Parliament and Council, mandating financial institutions to ensure their IT systems are resilient against disruptions. DORA requires operational resilience testing, incident reporting, and third-party risk management, emphasizing the importance of disaster recovery planning and leading to increased investments in DRaaS solutions among financial service providers.
Disaster Recovery as a Service Market Segmentation
By Service Type:
The service type segmentation includes various offerings such as Managed DRaaS, Assisted DRaaS, Self-Service DRaaS, Backup & Restore Services, Real-Time Replication Services, Data Protection Services, and Professional Services. Among these, Managed DRaaS is the leading sub-segment, as organizations prefer outsourcing their disaster recovery needs to specialized providers, allowing them to focus on core business activities while ensuring robust data protection. Managed DRaaS continues to gain traction due to its cost efficiency, scalability, and ability to address complex IT environments, while Real-Time Replication Services are emerging as a fast-growing segment driven by demand for minimal downtime and rapid data recovery.
By Organization Size:
The organization size segmentation includes Large Enterprises and Small & Medium Enterprises (SMEs). Large Enterprises dominate the market due to their extensive IT infrastructure, higher budgets for disaster recovery solutions, and greater regulatory compliance requirements. They are more likely to invest in comprehensive DRaaS solutions to protect critical data and ensure business continuity, while SMEs are increasingly adopting these services as awareness of data protection and cloud-based recovery grows. The adoption among SMEs is further accelerated by the availability of cost-effective, scalable DRaaS offerings tailored to their needs.
Disaster Recovery as a Service Market Competitive Landscape
The Disaster Recovery as a Service Market is characterized by a dynamic mix of regional and international players. Leading participants such as IBM Corporation, Microsoft Corporation, Amazon Web Services, Inc., VMware, Inc., Acronis International GmbH, Zerto, Inc., Commvault Systems, Inc., Arcserve LLC, Datto, Inc., Carbonite, Inc., Veeam Software, StorageCraft Technology Corporation, Infrascale, Inc., Unitrends, Inc., Databarracks Ltd., HYCU, Inc., Sungard Availability Services, iland Cloud, Rackspace Technology, Inc., TierPoint, LLC contribute to innovation, geographic expansion, and service delivery in this space.
IBM Corporation
1911
Armonk, New York, USA
Microsoft Corporation
1975
Redmond, Washington, USA
Amazon Web Services, Inc.
2006
Seattle, Washington, USA
VMware, Inc.
1998
Palo Alto, California, USA
Acronis International GmbH
2003
Schaffhausen, Switzerland
Company
Establishment Year
Headquarters
Organization Size (Large, Medium, Small)
Annual Revenue from DRaaS
Revenue Growth Rate (YoY)
Number of Customers/Clients
Customer Retention Rate
Market Penetration Rate
Disaster Recovery as a Service Market Industry Analysis
Growth Drivers
Increasing Demand for Data Protection:
The global data protection market is projected to reach $122 billion in future, driven by the need for businesses to safeguard sensitive information. With cyberattacks increasing by 31% annually, organizations are prioritizing disaster recovery solutions to mitigate risks. In future, 60% of companies reported investing more in data protection strategies, reflecting a growing recognition of the importance of safeguarding data assets in an increasingly digital landscape.
Rising Frequency of Natural Disasters:
According to the National Oceanic and Atmospheric Administration (NOAA), the U.S. experienced 22 weather and climate disasters in future, each causing over $1 billion in damages. This trend underscores the urgent need for robust disaster recovery solutions. As businesses face heightened risks from natural disasters, the demand for Disaster Recovery as a Service (DRaaS) is expected to surge, with companies seeking reliable recovery options to ensure business continuity.
Growing Adoption of Cloud-Based Solutions:
The global cloud computing market is anticipated to reach $1.6 trillion in future, with a significant portion attributed to disaster recovery services. In future, 70% of enterprises reported using cloud-based solutions for data backup and recovery. This shift is driven by the flexibility, scalability, and cost-effectiveness of cloud services, enabling organizations to implement comprehensive disaster recovery strategies that align with their operational needs and budget constraints.
Market Challenges
High Initial Investment Costs:
Implementing Disaster Recovery as a Service can require substantial upfront investments, often exceeding $100,000 for mid-sized companies. This financial barrier can deter organizations from adopting DRaaS solutions, particularly small businesses with limited budgets. As a result, many companies may delay necessary upgrades to their disaster recovery plans, increasing their vulnerability to data loss and operational disruptions in the event of a disaster.
Complexity of Integration with Existing Systems:
Integrating DRaaS solutions with legacy systems can be a daunting task, often requiring specialized expertise. In future, 45% of IT managers reported challenges in aligning new disaster recovery solutions with existing infrastructure. This complexity can lead to extended implementation timelines and increased costs, ultimately hindering the effectiveness of disaster recovery strategies and leaving organizations exposed to potential data loss during critical incidents.
Disaster Recovery as a Service Market Future Outlook
The Disaster Recovery as a Service market is poised for significant evolution, driven by technological advancements and changing business needs. As organizations increasingly prioritize data security and operational resilience, the demand for automated recovery solutions is expected to rise. Additionally, the integration of artificial intelligence and machine learning into disaster recovery processes will enhance efficiency and effectiveness, enabling businesses to respond swiftly to disruptions while maintaining compliance with evolving regulatory standards.
Market Opportunities
Expansion into Emerging Markets:
Emerging markets, particularly in Asia-Pacific and Latin America, present significant growth opportunities for DRaaS providers. With increasing internet penetration and digital transformation initiatives, these regions are witnessing a surge in demand for reliable disaster recovery solutions, creating a favorable environment for service expansion and innovation.
Development of Innovative Service Offerings:
The market is ripe for innovative service offerings, such as tailored DRaaS solutions for specific industries. By addressing unique sector needs, providers can differentiate themselves and capture a larger market share. This focus on customization will enhance customer satisfaction and drive long-term loyalty in a competitive landscape.
Please Note: It will take 5-7 business days to complete the report upon order confirmation.
Table of Contents
99 Pages
- 1. disaster recovery as a service size, share, growth drivers, trends, opportunities & – Market Overview
- 1.1. Definition and Scope
- 1.2. Market Taxonomy
- 1.3. Market Growth Rate
- 1.4. Market Segmentation Overview
- 2. disaster recovery as a service size, share, growth drivers, trends, opportunities & – Market Size (in USD Bn), 2019–2024
- 2.1. Historical Market Size
- 2.2. Year-on-Year Growth Analysis
- 2.3. Key Market Developments and Milestones
- 3. disaster recovery as a service size, share, growth drivers, trends, opportunities & – Market Analysis
- 3.1. Growth Drivers
- 3.1.1 Increasing demand for data protection
- 3.1.2 Rising frequency of natural disasters
- 3.1.3 Growing adoption of cloud-based solutions
- 3.1.4 Regulatory compliance requirements
- 3.2. Restraints
- 3.2.1 High initial investment costs
- 3.2.2 Complexity of integration with existing systems
- 3.2.3 Limited awareness among small businesses
- 3.2.4 Data security concerns
- 3.3. Opportunities
- 3.3.1 Expansion into emerging markets
- 3.3.2 Development of innovative service offerings
- 3.3.3 Strategic partnerships with technology providers
- 3.3.4 Increased focus on hybrid solutions
- 3.4. Trends
- 3.4.1 Shift towards automated recovery solutions
- 3.4.2 Growing emphasis on compliance and governance
- 3.4.3 Rise of subscription-based pricing models
- 3.4.4 Increased investment in AI and machine learning
- 3.5. Government Regulation
- 3.5.1 Data protection regulations
- 3.5.2 Disaster recovery planning mandates
- 3.5.3 Cybersecurity compliance requirements
- 3.5.4 Environmental regulations impacting data centers
- 3.6. SWOT Analysis
- 3.7. Stakeholder Ecosystem
- 3.8. Competition Ecosystem
- 4. disaster recovery as a service size, share, growth drivers, trends, opportunities & – Market Segmentation, 2024
- 4.1. By Service Type (in Value %)
- 4.1.1 Managed Disaster Recovery as a Service (Managed DRaaS)
- 4.1.2 Assisted Disaster Recovery as a Service (Assisted DRaaS)
- 4.1.3 Self-Service Disaster Recovery as a Service (Self-Service DRaaS)
- 4.1.4 Backup & Restore Services
- 4.1.5 Real-Time Replication Services
- 4.1.6 Data Protection Services
- 4.1.7 Professional Services
- 4.2. By Organization Size (in Value %)
- 4.2.1 Large Enterprises
- 4.2.2 Small & Medium Enterprises (SMEs)
- 4.3. By Industry Vertical (in Value %)
- 4.3.1 Banking, Financial Services & Insurance (BFSI)
- 4.3.2 IT & Telecommunications
- 4.3.3 Healthcare
- 4.3.4 Retail & E-commerce
- 4.3.5 Manufacturing
- 4.3.6 Government
- 4.3.7 Transportation & Logistics
- 4.3.8 Others
- 4.4. By Deployment Model (in Value %)
- 4.4.1 Public Cloud
- 4.4.2 Private Cloud
- 4.4.3 Hybrid/Multi-Cloud
- 4.5. By Geographic Coverage (in Value %)
- 4.5.1 North America
- 4.5.2 Europe
- 4.5.3 Asia-Pacific
- 4.5.4 Latin America
- 4.5.5 Middle East & Africa
- 4.6. By Pricing Model (in Value %)
- 4.6.1 Subscription-Based
- 4.6.2 Pay-As-You-Go
- 4.6.3 One-Time Payment
- 5. disaster recovery as a service size, share, growth drivers, trends, opportunities & – Market Cross Comparison
- 5.1. Detailed Profiles of Major Companies
- 5.1.1 IBM Corporation
- 5.1.2 Microsoft Corporation
- 5.1.3 Amazon Web Services, Inc.
- 5.1.4 VMware, Inc.
- 5.1.5 Acronis International GmbH
- 5.2. Cross Comparison Parameters
- 5.2.1 Annual Revenue from DRaaS
- 5.2.2 Number of Customers/Clients
- 5.2.3 Customer Retention Rate
- 5.2.4 Market Penetration Rate
- 5.2.5 Pricing Strategy (Subscription, Pay-As-You-Go, etc.)
- 6. disaster recovery as a service size, share, growth drivers, trends, opportunities & – Market Regulatory Framework
- 6.1. Compliance Requirements and Audits
- 6.2. Certification Processes
- 7. disaster recovery as a service size, share, growth drivers, trends, opportunities & – Market Future Size (in USD Bn), 2025–2030
- 7.1. Future Market Size Projections
- 7.2. Key Factors Driving Future Market Growth
- 8. disaster recovery as a service size, share, growth drivers, trends, opportunities & – Market Future Segmentation, 2030
- 8.1. By Service Type (in Value %)
- 8.2. By Organization Size (in Value %)
- 8.3. By Industry Vertical (in Value %)
- 8.4. By Deployment Model (in Value %)
- 8.5. By Geographic Coverage (in Value %)
- 8.6. By Pricing Model (in Value %)
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