Overview

Fractal clouds: Software will become increasingly complex, requiring more industry services

IBISWorld’s Industry Market Report on Data Processing & Hosting Services in California is a comprehensive guide to market size and growth prospects. Ensure due diligence in your research with our strategic analysis of the factors influencing companies, including new product developments; economic, lifestyle and demographic influences; distribution and supply chain factors; and pricing issues.

REPORT SNAPSHOT

Industry Threats & Opportunities

  • Technology and internet use among consumers and businesses are projected to continue growing, spurring industry demand
  • The use of online services is heavily reliant on data processing and hosting services
  • Profit among industry firms is projected to rise

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    Industry Analysis & Industry Trends

    Over the five years to 2017, businesses have increasingly outsourced their IT infrastructure needs, directly benefiting industry operators. The fast growth and popularization of cloud computing, one of the industry's fastest-growing product offerings, has led to greater demand. The heightened use of technology has prompted many businesses to move data to the cloud, demanding more services from data processing and hosting companies. Growth is projected to continue over the next five years. Software will become increasingly complex and require more data capacity and hosting capabilities to perform properly. As a result, businesses will continue to outsource data and IT functions to third-party specialist providers in this industry to manage their data...

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    Industry Report - Industry Key Buyers Chapter

    The level of concentration in the Data Processing and Hosting Services industry is low, primarily due to the range of services that industry companies provide. In 2017, IBISWorld estimates that the four largest operators in the Data Processing and Hosting Services industry will account for about 20.0% of industry revenue. In terms of staff levels, the industry is highly fragmented, with over 50.0% of all establishments employing fewer than five people in 2017. Large establishments of 100 or more employees represent just under 5.0% of total establishments. These numbers may be skewed due to outsourcing; some companies may have more employees overseas that are not included in the data for this industry.

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    Additional Insights for the Data Processing & Hosting Services in California Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Data Processing & Hosting Services in California Industry are

  • Effective quality control
  • Having a cost-effective distribution system
  • Ability to quickly adopt new technology
  • IBISWorld analysts also discuss how external factors such as Percentage of services conducted online and Private investment in computers and software in the Data Processing & Hosting Services in California industry impact industry performance..

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    Industry Products

    What is the Data Processing & Hosting Services in California Industry?

    This industry provides data processing or hosting services. Data processing services provide specialized reports from information supplied by clients. Hosting services can include web and application hosting. Services range from automated data entry to processing data.

    Industry Products
    Application service provisioning
    Business process management services
    Data storage and management services
    Other services
    Industry Activities
    Application hosting
    Application service provider services
    Data entry services
    Data processing computer services
    Data processing
    Database management
    Web hosting

    Table of Contents

    About this Industry
    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry at a Glance
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Industry Performance
    Executive Summary
    Key External Drivers
  • Percentage of services conducted online
  • Private investment in computers and software
  • Corporate Profit in California
  • Number of Mobile Internet Connections in California

  • Current Performance
  • Shifting to online and mobile
  • Industry growth
  • Chart: Revenue Growth

  • Industry Outlook
  • Continuing tech trends
  • Steady growth
  • Table: Data Processing & Hosting Services in California Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Data Processing & Hosting Services in California Industry Lifecycle vs The Economy

  • Products & Markets
    Supply Chains
    Key Buying Industries
  • Finance and Insurance
  • Public Administration
  • Internet Publishing and Broadcasting

  • Key Selling Industries
  • Computer Manufacturing
  • Computer Peripheral Manufacturing
  • IT Consulting
  • Software Publishing
  • Wired Telecommunications Carriers

  • Products & Services
  • Application service provisioning
  • Other services
  • Business process management services
  • Data storage and management services
  • Chart: Data Processing & Hosting Services in California Industry Products and Services Segmentation

  • Major Markets
  • Nonfinancial enterprises
  • Resellers
  • Financial firms
  • Content providers
  • Government organizations
  • Chart: Major Market Segmentation for the Data Processing & Hosting Services in California Industry

  • Business Locations
    Chart: Business Locations by State
    Competitive Landscape
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitWagesPurchasesDepreciationRent and utilities, marketing and other
  • Chart: Cost Structure Benchmarking – Sector vs Data Processing & Hosting Services in California

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Data Processing & Hosting Services in California Industry

  • Major Companies
    Hewlett Packard Enterprise CompanyAlphabet Inc.Oracle Corp.Salesforce
  • Table: Hewlett Packard Enterprise Company - financial performance
  • Table: Alphabet Inc. - financial performance
  • Table: Oracle Corp. - financial performance
  • Table: Salesforce - financial performance

  • Operating Conditions
    Capital Intensity
  • Chart: Level of Capital Intensity for the Data Processing & Hosting Services in California Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Key Statistics
    Table: Industry Data for the Data Processing & Hosting Services in California Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Number of Mobile Internet Connections in California (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Jargon & Glossary
    Application Service Provider (Asp)
  • A business that provides computer-based services to customers over a network.
  • Cloud Computing
  • Computing model in which companies' computer applications are hosted in outside servers accessible via the internet and managed by third-party operators.
  • Data Warehousing
  • The collection of data and the establishment of a common format for different data sets to allow them to work together and be stored in one place.
  • Information Technology (It)
  • The acquisition, processing, storage and dissemination of vocal, pictorial, textual and numerical information by microelectronics-based computing and telecommunications.
  • Outsourcing
  • To procure goods or services under contract with an outside supplier.
  • Software As A Service (Saas)
  • Software that is deployed over the internet and runs behind a firewall in a person's local area network or personal computer.
  • Why buy this report?

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Data Processing & Hosting Services in California:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Data Processing & Hosting Services in California market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Data Processing & Hosting Services in California, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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