Platform as a Service Market Trends

Growth Drivers

• Growing Adoption of Cloud Services – PaaS offers a foundation on which developers may construct or modify cloud-based applications. Almost 44% of all applications are still installed locally, and roughly 95% of businesses plan to expand their cloud investment over the next 12 months.

• Rising Penetration of Digitization – PaaS may have the biggest influence on how successfully businesses' digital changes turn out. A digital-first firm strategy has been embraced by 55% of startups, but 90% of all businesses have already implemented digitization in their organizations

• Rise in the Number of New Enterprises – Higher new enterprises are expected to drive the demand for the platform as a service. Almost 300 million people worldwide are attempting to launch nearly 150 million enterprises. It is anticipated that around 50 million new firms are to be started annually since approximately one-third will be started. or roughly 137,000 each day.

• Need to Reduce Time to Market – PaaS has the potential to reduce the product deployment time by reducing the time on coding, by increasing the scalability, and offering cost-effective and faster deployment of products and services. Around 71% of the sampled goods underwent the concept-to-launch process in around two years. Moreover, in energy products and services, the lowest TTM is around 7 years, however, for some products or services it can reach up to 20 years.

• Rise of Internet of Things (IoT) Connected Devices – IoT PaaS platforms give users greater autonomy over their systems connected to the Internet of Things (IoT) and freedom from being tied to a single software platform. In 2021, there were around 12 billion, connected devices an approximately 8% increase in the total number of IoT connections. Also, it is anticipated that nearly 27 billion gadgets would link to the Internet of Things.

Challenges

• Privacy issues associated with the public cloud- Due to the possibility of data being exposed in an unencrypted form on a computer owned and maintained by a company other than the data owner. Moreover, there is a chance that information processed or stored on the cloud will be used improperly. Public cloud services provide an inherent risk to data privacy.
• Low awareness among SMEs about the platform as a service (PaaS)
• Rising Risk of Cloud Washing