Disaster Recovery-as-a-Service Market by Operating Model (Managed DRaaS, Assisted DRaaS), Function, Organization Size, Sector (IT & Telecommunications, BFSI, Retail, Healthcare), and Geography - Global Forecast to 2030

The Disaster Recovery-as-a-Service Market is expected to reach $31.6 Billion by 2030, growing at a CAGR of 20.5% from 2024 to 2030. The growth of the disaster recovery-as-a-service market is driven by the growing demand for data security and scalability, rising data breaches and ransomware attacks, and the growing adoption of disaster recovery-as-a-service in the BFSI sector. However, the complexity of deployment and setting terms restrains the growth of the disaster recovery-as-a-service market.

Furthermore, the growing adoption of advanced technologies such as AI and machine learning and the increasing adoption of cloud-based solutions among SMEs are expected to create growth opportunities in the market. However, one of the major challenges for players operating in this market is the lack of awareness and misconceptions regarding disaster recovery solutions among potential customers.

Growing Adoption of Disaster Recovery-as-a-Service in the BFSI Sector to Drive Market Growth

The BFSI sector is highly dependent on IT infrastructure for delivering services, such as mobile, online, and core banking. Identity fraud is a major concern when performing financial transactions through online banking portals and insurance apps. With consistent technological advancements across BFSI channels, banks and other financial services institutions face business outages or system failures, data breaches, and cyber-attacks. For instance, according to the VMware Carbon Black Threat Data report in May 2020, cyberattacks against banks and financial institutions increased by 238% globally between February 2020 and April 2020 amidst the COVID-19 crisis. To overcome such challenges, disaster recovery-as-a-service is an optimum solution for banks to use, such as a cloud computing environment for faster recovery time and data restoration. Hence, banks and financial institutions are investing heavily in incorporating disaster recovery-as-a-service to improve work agility and customer experience.

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Key Findings in the Disaster Recovery-as-a-Service Market Study:

In 2024, the Large Enterprises Segment is Expected to Account for the Larger Market Share

Based on organization size, in 2024, the large enterprise segment is expected to account for the larger share of the disaster recovery-as-a-service market. This segment's large market share is attributed to its strong IT infrastructure, skilled IT personnel's management of disaster recovery platforms, and the growing adoption of advanced technologies such as cloud, AI, and machine learning. However, the small & medium-sized enterprises segment is slated to register a higher CAGR during the forecast period.

The Backup & Recovery Segment to Register the Highest CAGR

Based on function, the backup & recovery segment is projected to register the highest CAGR during the forecast period. The rising adoption of cloud data backup, increasing risk of data breaches, and growing adoption of backup & recovery solutions in the BFSI sector are some of the factors supporting the growth of this segment.

Backup and recovery is the process of creating and storing copies of data that can be used to protect organizations against data loss. This is sometimes referred to as operational recovery. Recovery from a backup typically involves restoring the data to the original location or to an alternate location where it can be used in place of the lost or damaged data. Backup and recovery are essential for several reasons:

Overall, backup and recovery are critical components of an organization's risk management, security, and resilience strategies. By implementing robust backup practices and recovery plans, organizations can safeguard their data, maintain operational continuity, comply with regulatory requirements, and build trust with customers and stakeholders.

In addition, the benefits offered by backup & recovery, such as safeguarding assets, cost efficiency, actionable insights, maintaining reputation, reducing business downtime & reputational damage, and enhanced security, drive the growth of this segment.

Some of the recent developments in this space are as follows:

• In November 2024, SADA, Inc. (U.S.) launched its new business continuity and disaster recovery solution. This solution provides organizations with a tailored framework, best practices, and documentation plan that ensures the protection and recovery of company data, minimizes operational impacts, and retains customer confidence.
• In March 2021, Infrascale Inc. (U.S.) launched its Infrascale Backup and Disaster Recovery (IBDR), the next generation of the Infrascale Disaster Recovery (IDR) product to delivers new appliances and bespoke cloud configurations for improved performance and scale.

Such developments are expected to support the growth of this segment.

The BFSI Segment to Register the Highest CAGR

Based on sector, the BFSI segment is projected to register the highest CAGR during the forecast period. The rising fraudulent activities, rising adoption of disaster recovery-as-a-service for various financial processes, and surging need for improving the agility of work and customer experience are expected to support the growth of this segment.

Asia-Pacific to be the Fastest-growing Regional Market

The market in Asia-Pacific is slated to record the fastest growth rate during the forecast period. The infrastructural growth in APAC, especially in China, South Korea, Japan, and India; the rapid growth of regional economies; the rising adoption of advanced technologies such as cloud, AI, and machine learning; growing awareness regarding disaster recovery among small & medium-sized organizations; and government initiatives promoting the adoption of advanced disaster recovery-as-a-service contribute to the rapid growth of this regional market.

Key Players

The report includes a competitive landscape based on an extensive assessment of the key growth strategies adopted by leading market participants in the last 3 to 4 years. The key players operating in the disaster recovery-as-a-service market are IBM Corporation (U.S.), Microsoft Corporation (U.S.), Sungard Availability Services LP (U.S.), VMware, Inc. (U.S.), Axcient, Inc. (U.S.), Cloudian Inc. (U.S.), Acronis International GmbH (Switzerland), Oracle Corporation (U.S.), TierPoint, LLC (U.S.), Datto, Inc. (U.S.), Unitrends, Inc. (U.S.), Cloud4C Services Pte. Ltd (Singapore), Recovery Point Systems, Inc. (U.S.), Infrascale Inc. (U.S.), and InterVision Systems, LLC. (U.S.).

Report Summary:

Key questions answered in the report: