The global disaster recovery as a service (DRaaS) market was valued at about $3.16 billion in 2018, and is expected to grow to $11.71 billion at an annual growth rate of 38.8% through 2022.
DRaaS helps in business continuity in any event of system failure. Some features of these solutions are hybrid cloud availability monitoring, cross-cloud infrastructure management, and cross-platform health monitoring.
The rise in need for backing up public and private data drives the growth of the disaster recovery as a service market. There is 2.5 quintillion bytes of data created every day and a major factor contributing to the loss of this data is unplanned downtime of systems which further results in the shutdown of various companies.
The potential losses and damage due to the system downtimes are huge and hence there is a need for backup services. These backup services would insure companies of any unforeseen disasters and hence drive the growth of the DRaaS market.
For instance, according to invenio IT study in 2017, less than 10% of the companies survive a disaster without a disaster recovery plan. These companies include not only small players in the market but also major players such as FedEx and Nissan, who require backup services for their survival.
Lack of trust in data security might restrain market growth for DRaaS
Many companies fear data breaches, as they are concerned about the company’s sensitive information being compromised and hence show a lack of trust in data security when sourcing from a third-party vendor. This lack of trust prevents people from adopting DRaaS, which acts as a restraint for the DRaaS market growth.
For instance, in 2017, over 99 billion records were exposed due to data breaches with a majority share held by cloud data services including Disaster Recovery as a Service. In a report published by digital security specialists Gemalto, it was revealed that 945 data breaches led to a staggering 4.5 billion data records being compromised worldwide in the H1 2018. The number of records compromised increased by a massive 133% year-on-year.
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