$5.2bn
$XXX.Xm
3,960
1,037
$XXX.Xm
Cloud storage is the new way forward for many businesses and organisations. Big data and artificial intelligence have crept into all facets of society. Ever-increasing internet traffic has heightened the need for businesses to outsource cloud storage, leading to cloud computing's rising prominence across several channels. Firms that have opted out of cloud storage and maintained their own servers have faced climbing capital expenditure and utility costs. Cloud computing has helped companies reduce their in-house storage and computing costs, while also being able to quickly scale capacity up or down depending on demand. The COVID-19 pandemic accelerated demand for cloud storage and computing services as more businesses shifted to remote working conditions. That’s why revenue is expected to expand at an annualised 5.6% over the five years through 2023-24, to $5.2 billion. Demand for outsourced cloud storage services has been mounting in recent years as businesses adapt to the changing technological landscape. That’s why revenue is anticipated to jump by 11.8% in 2023-24.
Data centres are capital-intensive, volume-based businesses. Data centres require sophisticated cooling, security and energy backup systems so clients can access their data at any time. The bulk of revenue for cloud storage operators comes from financial, government and telecommunication clients that are concerned about their data security, particularly in light of recent, highly publicised data breaches.
While some Australian businesses will continue to opt for in-house data storage, data centres provide obvious efficiencies and avenues to make better use of artificial intelligence. As more businesses see the need for computing power and data analytics, space, energy and cooling efficiencies will attract a wider net of clients across all sectors. Data centre operators will bolster capacity by strengthening data centre rack density, but will need to improve electricity and water efficiency to maintain profit margins and win over environmentally conscious clients. Remote working arrangements implemented in response to the pandemic are set to continue propelling demand for ongoing remote working environments, supporting cloud storage services. Revenue is forecast to strengthen at an annualised 8.0% over the five years through 2028-29, to $7.7 billion.
Industry revenue has grown at a CAGR of 5.6 % over the past five years, to reach an estimated $5.2bn in 2024.
Market size is projected to grow over the next five years.
Company | Market Share (%)
2024 | Revenue ($m)
2024 |
---|---|---|
Amazon | 754.3 | |
Microsoft | 555.3 | |
Equinix Australia | 283.4 |
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Industry revenue is measured across several distinct product and services lines, including Colocation storage, Cloud storage and Managed storage. Colocation storage is the largest segment of the Cloud Storage Services in Australia.
Standard cloud storage providers have generated demand across multiple new verticals
Cloud storage centre operators provide electronic information storage and retrieval services. Electronic information storage allows third parties to upload, download, back up and access files and systems over the internet. The industry excludes web hosting services, which mainly provide access to information stored on the internet as a means to disseminate information, and modular data centres sales, factory-produced, standardised data centre systems that store data in-house.
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ANZSIC 5922 - Cloud Storage Services in Australia
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
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Smaller cloud storage service providers are taking advantage of infrastructure enhancements to compete with major facilities. Barriers to entry are dropping as transmission c...
Learn about the performance of the top companies in the industry.
Major tech companies are setting up a strong presence in the market, but have not been able to completely dominate. Well-known companies are often beaten out by local firms s...
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The GDPR dictates strong protections regarding the security and consent of consumer data use in the European Union. Cloud storage operators that provide services for customer...
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Profitability has remained strong as downstream businesses clamour for cloud storage. Expenses in the form of energy and water costs for cooling and server rack maintenance a...
Including values and annual change:
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Key data sources in Australia include:
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These sources include:
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The market size of the Cloud Storage Services industry in Australia is $5.2bn in 2024.
There are 1,037 businesses in the Cloud Storage Services industry in Australia, which has grown at a CAGR of 7.0 % between 2019 and 2024.
The market size of the Cloud Storage Services industry in Australia has been growing at a CAGR of 5.6 % between 2019 and 2024.
Over the next five years, the Cloud Storage Services industry in Australia is expected to grow.
The biggest companies operating in the Cloud Storage Services market in Australia are Amazon, Microsoft and Equinix Australia
Colocation storage and Cloud storage are part of the Cloud Storage Services industry.
The company holding the most market share in Australia is Amazon.
The level of competition is high and increasing in the Cloud Storage Services industry in Australia.