Global Analytics as a Service Market Overview
The key driver impacting the analytics as a service market is increasing cloud-based solutions and a rise in data volumes globally. For instance, The BSA Global Cloud Computing Scorecard report estimates show that in 2018, over half of the enterprises had adopted cloud computing across the globe. During the period of 2012 to 2015, demand for cloud computing had reached 70% and is expected to show 60% of growth during the year 2020. About 96% of companies have used at least one cloud software in the last two years. For instance, The UK Cloud Industry Forum (CIF) 2017 report shows that the overall cloud adoption rate reached 88%, with 67% of users estimated to increase their adoption of cloud services over the coming year. Moreover, the rising need to adopt analytical capabilities with minimal infrastructure contributes to analytics as a service market demand in the coming years.
According to Value Market Research, the global Analytics as a Service market size was valued at around USD 6125 million in 2020 and is estimated to grow at a CAGR of about 5.25% during the forecast period 2021 to 2027.
The growing adoption of social media applications is likely to augment the demand in the forecast period. For instance, As per the world data organization report, social media platforms are adopted by one in three people globally and over two-thirds of all internet users. Facebook is the most popular among all the available social media platforms with 2.4 billion users. Instagram, YouTube, and WeChat have around a billion users. TikTok and Tumblr come next, with more than half a billion users. During September 2016 and mid-2018, it had already arrived at half a billion users. Over this period, TikTok represents on an average about 20 million new users each month. However, the Data security and privacy issues may hamper the market in the long run. Also, the absence of analytical skills negatively impacts the market. The current industry trends, such as the growing demand for internet of things devices, are expected to offer several beneficial market opportunities for the key players.
The Analytics as a service market is vast, with many local and global players. The Analytics as a service market is extensive, with many regional and international players. The prominent market leaders follow several strategies to improve their market status, such as extending product portfolio, acquisitions, contracts, acquisitions, amalgamation, acquisitions, product upgrades to mount their market share across the globe. The prominent players studied in the report include Amazon Web Services, Inc., Google LLC, IBM, Oracle Corporation, SAS Institute Inc., GoodData Corporation, Hewlett Packard Enterprise Development LP, Microsoft Corporation, SAP SE, and SAS Institute Inc.
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In this research report, the analytics as a service market is segmented by type, enterprise size, and region.
Analysis by Type:
By type, the report is categorized into predictive, prescriptive, diagnostic, and descriptive. The predictive segment dominates the type segment with over 25% in the forecast period. This is due to the ability of prescriptive analytics to combine tools and techniques such as Artificial Intelligence (AI), computational modeling procedures, and mathematical sciences to prescribe decision-making effectively. Also, increasing demand for prescriptive analytics in the e-commerce, retail, and healthcare sectors contributes to the high demand for predictive type segment growth in the forecast period.
Analysis by Enterprise Size:
By enterprise size, the report is categorized into large enterprise and small & medium enterprise (SME). The large enterprise segment dominates the enterprise size segment with over 60% share in 2020. It is because large enterprises generate a massive amount of data which creates a high demand for solutions such as predictive analytics and big data analytics. Moreover, the increased adoption of analytical solutions for demand forecasting and predictive analytics across large industries such as automotive, manufacturing, oil and gas, contributes to the high demand from large enterprises in the forecast period.
Analysis by Region:
In the regional outlook of the global Analytics as a service market, the North America region dominates globally with a 40% market share in the forecast period. It is due to the rising collaboration between various healthcare organizations and government agencies to develop analytical solutions for the healthcare sector. Moreover, high technology adoption and presence of well established IT infrastructure and key players contributes to tremendous market growth across North America.
Market Segmentation covered in the Report:
By Type
- Predictive
- Prescriptive
- Diagnostic
- Descriptive
By Enterprise Size
- Large Enterprise
- Small & Medium Enterprise (SME)
By Region
- North America
- Europe
- Asia Pacific
- Latin America
- Middle East and Africa
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