Global Cloud Collaboration Market - Segmented by Solution (Unified Communication and Collaboration, Enterprise Social Collaboration, Project and Team management, Document Management System, and Support Services), Deployment (Public Cloud, Hosted Private Cloud, and Hybrid Cloud), End-User (Telecommunication and ITES, Media and Entertainment, Education, Healthcare and Life Sciences, Banking and Financial systems, and Government and Public Ssectors), and Region - Growth, Trends, and Forecast (2018 - 2023)
The cloud collaboration market was valued at USD 26.39 million in 2017, and is expected to reach a value of USD 55.54 million by 2023 at a CAGR of 13.2%, over the forecast period (2018-2023). The scope of the report is limited to the types of solutions offered by major players, which include unified communication and collaboration, enterprise social collaboration, project and team management, document management system, and support services. The end users considered under the scope of the report include telecommunication and ITES, media and entertainment, education, healthcare and life sciences, banking and financial systems, and government and public sectors.
With changing data structures and increasing data flow, it has become tough for organizations to manage the data flow. It is expensive to increase capacities, as it needs new infrastructure and computing power. With changing business requirements, companies are now looking for services, which offer easy access and increase productivity. Thus, the need for agile support is also increasing.
Also, with businesses now going mobile and adopting new policies to increase employee interaction and ease of use, it has become important to provide access to data across multiple devices. With businesses adopting BYOD, cloud collaboration offers easy data sharing across devices to streamline the workflow. With businesses going global, organizations are now constantly working across different time zones. Traditional data-sharing options do not provide the flexibility required for operation. Cloud collaborations provide flexibility by providing real-time synchronization across the cloud. These factors are driving the growth of cloud collaboration market.
Increased Mobility and Changing Working Trends, Such as BYOD to Drive the Demand for Cloud Collaboration.
Bring your own device (BOYD) is the perfect model to complement the shifting paradigm of work. With the transition from local storage to cloud, happening at a fast pace, BYOD allows various employees in different organizations to use the devices they are familiar with, which can improve collaboration, general productivity, and drive innovation. For organizations, a well-secured and managed BYOD model is expected to deliver benefits at financial, operational, and organizational levels.
The results of well-supported and deployed cloud collaboration solutions will not only improve business operations, but also raise employees' job-satisfaction levels. With the changing work environment, employees are expecting flexible working alternatives and organizations are providing solutions that meet their needs. This trend is expected to yield higher productivity, as employees will have access to efficient solutions on their preferred devices, at any point of time, from any location, indirectly increasing the adoption of BYOD trend in organizations. Many trends, such as the dependence of work-based environment on social network, has further incentivized the use of a personalized device to ease work. About 67% of the workforce is expected to adopt own devices for work, which further emphasizes on the need for cloud collaboration services, to ensure the safekeeping of information of the company.
Public Cloud is Expected to Have High Growth in the Market, Owing to Cost Cutting Efficiency
The public cloud is based on the standard cloud computing model and is similar to most cloud computing platforms. In this model, the service provider makes resources, such as applications, files, and computing power and storage, available to the general public and companies, over the Internet. Public cloud services may be free or offered on a pay per-usage model. This type of service is inexpensive when compared to the private cloud, as the cloud is shared among multiple users. Companies are now shifting toward public clouds to reduce the cost and overhead expenses. However, security concerns over data are hindering the growth in this segment. On the other hand, with new innovations in technology and service providers offering better security with end-to-end encryption and monitoring, the market in this segment is expected to record a healthy growth rate over the forecast period.
North America is Expected to Have a High Market Share, Owing to High Adoption of Cloud Collaboration.
Cloud collaboration in North America is primarily driven by industries that are moving toward cloud computing to increase capacity and productivity. With automation trends catching on in the region, it has become increasingly important for industries to look for solutions that can offer services to reduce infrastructure costs. Automation trends, especially retail and healthcare automation, are growing at a rapid pace. Additionally, the adoption of cloud technologies in this region is also very high. Many of the world’s largest technology companies are located here, thus making North America one of the primary regions to adopt cloud technologies. Also, the increased sale of smartphones and mobile device penetration has resulted in high adoption of BYOD, which has forced companies to adopt cloud collaboration, to address employee needs. With many industries implementing IoT to enable better operations, the usage of cloud is also increasing. Also, strict government regulations are resulting in companies working to provide secure cloud solutions.
Key Developments in the market
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