Desktop-As-A-Service (DaaS) Market size was valued at USD 7.15 billion in 2024 and is set to reach USD 61.09 billion by the end of 2037, registering around 18.4% CAGR during the forecast period i.e., between 2025-2037. In the year 2025, the industry size of desktop-as-a-service is assessed at USD 8.21 billion.
The growth of the market can be attributed to the increasing government initiatives to improve IT infrastructure along with increasing IT spending, demand for cloud-based virtual services and adoption of cloud computing services, and growing trends of BYOD (bring-your-own-device) policy. Global IT services spending was estimated to be over USD 1 trillion in 2021, while, in 2020, cloud computing was estimated to have generated over USD 300 billion in revenue.
Organizations are rapidly moving beyond desktop-centric workspace to a multi-device anywhere, anytime infrastructure providing remote access across length. Growing trends of remote working and BYOD policies are creating potential growth opportunities for virtual desktop services, transforming the IT infrastructure. Desktop-as-a-service is a component of virtual desktop infrastructure (VDI) where it is outsourced to and operated by third-party through a cloud-based server. The cloud services provider hosts the infrastructure, network resources, and storage in the cloud server, streaming a virtual desktop, where a user can access the desktop’s data and applications through a web browser or other software. Moreover, benefits such as cost-effectiveness, data control, continuous security control, and centralized administration along with potential opportunities for smart factory are also expected to foster the growth of the global DaaS market. It has been projected that nearly 80% of all virtual desktops will be DaaS by 2024, up from over 30% in 2021 across the globe. Therefore, all these factors are expected to influence the market growth positively over the forecast period.
Growth Drivers
SMEs are functions as a backbone of a nation’s economy. Small and Medium Enterprises (MSME) do not have large capital to begin with, therefore, desktop-as-a-service (DaaS) becomes quite beneficial for those who owns SMEs. DaaS provides scalability and flexibility such as a user can access the virtual desktop from anywhere and the monthly subscription are very cost- effective.
Challenges
Base Year |
2024 |
Forecast Year |
2025-2037 |
CAGR |
18.4% |
Base Year Market Size (2024) |
USD 7.15 billion |
Forecast Year Market Size (2037) |
USD 61.09 billion |
Regional Scope |
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Deployment Type (Public Cloud, Private Cloud, Hybrid Cloud)
The global desktop-as-a-service (DaaS) market is segmented and analyzed for demand and supply by deployment type into public cloud, private cloud, and hybrid cloud. Out of the three types of deployment types, public cloud segment is estimated to gain the largest market share over the projected time frame. The growth of the segment can be attributed to the fact that public cloud is the most cost-effective, where services are offered to customer through a pay-as-you-go model which means there is no upfront investment to be made. The cloud service provider ensures proper management and maintenance of the system and the customer only pays for services consumed. Global public cloud DaaS spending in 2021 was estimated to crossed approximately USD 2 Billion.
Organization (Small & Medium-Sized Enterprises, Large Enterprises)
The global desktop-as-a-service (DaaS) market is also segmented and analyzed for demand and supply by enterprise size into small & medium sized enterprises, and large enterprises. Between these two segments, the small & medium, sized enterprises segment is expected to garner a significant share. Owing to low capital, SMEs have high device-as-a-service adoption rate to prioritize their investments by leasing hardware and associated services instead of purchasing high-cost hardware devices. This leads to higher adoption of desktop virtualization services among SMEs also backed the digital transformation worldwide. As of 2021, approximately USD 1 trillion were spent on the digital transformation across the globe which also anticipated reach around USD 6 trillion in 2023. Hence, all these factors are expected to boost the segment growth over the forecast period.
Our in-depth analysis of the global market includes the following segments:
By Deployment Type |
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By Enterprise Size |
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By End-User |
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APAC Market Statistics
The Asia Pacific desktop-as-a-service (DaaS) market, amongst the market in all the other regions, is projected to hold the largest market share by the end of 2037. The growth of the market can be attributed majorly to the fact owing to rapid adoption of cloud-based solutions and services. Furthermore, strong economic growth in countries such as China and India, and rising digitization along with increasing investments in IT infrastructure are expected to provide potential growth opportunities for the market. For instance, in 2022, the total spending on IT infrastructure in Asia Pacific was evaluated to be approximately USD 550 billion which was as increase of around 15% from previous year.
North American Market Forecast
Furthermore, the market in North America region is also expected to witness significant growth over the forecast period. The growth of the market in the region is ascribed to the higher adoption rate of IT infrastructure coupled with IoT, AI platform, and voice assistant. As of 2021, in United States, over 100 million people were observed to be using digital voice assistant. Additionally, rapid growth in the consumer electronics industry and escalating trend of work from home in the region is further estimated to influence the market growth in the region positively over the forecast period.
Citrix systems, Inc. and Google Cloud teamed up and expanded their strategic partnership to deliver hybrid work for enterprise customers, with Citrix launching a new desktop-as-a-service (DaaS) offered on Google Cloud.
Nutanix, Inc. optimized its multi-cloud services, Xi Frame, Xi Leap and Xi Beam, which are desktop-as-a-service (DaaS) solutions, with additional capabilities.
Author Credits: Abhishek Verma
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