Omdia Infrastructure Software Market Climate forecast Provides revenue opportunity estimates for 12 key segments: Database Infrastructure and Management, Server Virtualization, Storage Virtualization, Network Virtualization, Desktop as a Service and VDI, Hyper-Converged Infrastructure, Data Protection, Multi- and Hybrid Cloud Management and Orchestration, DevOps ( Release management), AIOps and container management platforms/services and Data Center Infrastructure Management (DCIM). The forecast covers the period 2021-26 and includes four regions, eight sub-regions, 27 countries, and 16 vertical industries.
Key Growth Engines
The software infrastructure market was valued at about $143 billion at the end of 2021. Omdia expects the market to grow at a compound annual growth rate of 16% during the period from 2021 to 2026, which will bring the market to an estimated value of $296 billion by the end of 2026. This growth Driven by the convergence of some of the key technologies shaping the technology landscape for the foreseeable future. The main technology trends are as follows:
- The move to greater use of edge computing and its integration with cloud environments effectively extends the cloud to the edge for latency-sensitive applications or workloads where data sovereignty and real-time responsiveness are key features.
- Broader adoption of cloud computing, as 2021-2026 will see increased use of the cloud for core mission-critical workloads, accelerated in part by the COVID-19 pandemic that has forced organizations to review operational activities and cloud usage for both flexibility and agility.
- Shifting from legacy services to cloud-native, containerized, serverless, microservices and platform requirements to manage the complex technologies needed to provide flexibility across a range of environments.
- Expanded use of artificial intelligence and machine learning technologies that are becoming integrated into more management tools, providing simplified operational management of a more complex technology landscape.
- Increased use of software-defined or abstraction techniques to separate hardware infrastructure from business service delivery. The growth of environmental sustainability and the need for organizations to monitor and manage their impact on carbon emissions.
The combined effect of this convergence is the need for IT infrastructure programs that can provide flexibility quickly To meet the job demand. Although the cloud provides this capability, the on-premises data center will remain an important part of any IT environment for the foreseeable future due to data sovereignty requirements, current technical debt, and a lack of cloud-related skills. The transition to edge computing and cloud computing is increasing the complexity of the software environment. Software infrastructure technologies must work across and between these different realms (cloud, edge, and on-premises), effectively shaping the hybrid bridge and ensuring that organizations can adopt the most appropriate architecture that matches their business strategy. Adding to this complexity is the need to meet the stricter environmental requirements that governments will introduce as part of their globally agreed targets to reduce greenhouse gas emissions.
Key findings and developments
Omdia estimates that the fastest growing segment during the forecast period will be the container management platforms/solutions market, which is expected to grow at a compound annual growth rate of 37%. hybrid and Multi cloud management And Orchestration and DevOps Release management is expected to grow at a 27% CAGR during the period. These three markets are intrinsic to the transition to a cloudy world where service delivery will depend on infrastructure usually provided by a third party, yet service quality remains the responsibility of the CIO. AIOPs, storage virtualization, and network virtualization are three other segments that will grow more than 21%, with compound annual growth rates (CAGRs) over the forecast period of 21.3%, 21.16%, and 21.05%, respectively, valued at $2.8 billion, and 13.8 billion dollars, and $34.2. billion by the end of 2026. In terms of market size, the database infrastructure and management solutions segment holds the majority share, but this share will decrease from 50% in 2021 to 43% in 2026, when the market is valued at $127 billion.
Omdia expects spending on infrastructure programs in the Americas to grow from $71 billion in 2021 to more than $144 billion by the end of 2026. India is likely to be the fastest growing country with a compound annual growth rate of 24.36%, followed by China with an annual growth rate of 24.36%. Composite of 22.95% over the forecast period (2021-2026).
Roy Elsley is Omdia’s Senior IT Systems and Operations Analyst. Roy’s main research areas include cloud computing, cloud-native technologies, IT strategy, IT operations management, and data center technologies.