Virtual Private Cloud (VPC) Market Size, Share, Trends & Forecast 2019-2025

Posted by nabeel on December 30th, 2020

A significant rise in the adoption of cloud-based services is the major factor supporting to drive the growth of the global virtual private cloud market. Rising adoption of the cloud platform is attributed to the faster deployment of new capabilities. Large storage space is required by the commercial data that varies in small & medium-sized enterprises (SMEs) and large enterprises. With the increasing amount of data generated through IoT, many enterprises have shifted their data to the cloud storage by choosing service providers such as Amazon Web Services, Microsoft Azure, and Google Cloud Platform. Furthermore, in the European Union, the demand for cloud-based services among enterprises has been growing significantly. For instance, according to Eurostat, in 2018, the percentage of EU enterprises adopted cloud computing was 26%.

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Various factors can influence the adoption of cloud-based by SMEs such as organization characteristics, competitiveness, and management strategies. The SMEs are adopting cloud services to enhance flexibility and scalability of their business performance, and to lower the cost. The flexibility and economies of scale, liability and data confidentiality are the significant complications in the SMEs business. SMEs require the right organizational cloud infrastructure to provide essential functionalities for supporting their business processes. The organizational cloud infrastructure allows SMEs to secure, process, store and manage information so that it is accessible for pronouncement construction. SMEs can improve their performance in strategic areas such as customer service, productivity and cost reduction by aligning their organizational ICT infrastructure with cloud-based services. 

A cloud-based infrastructure across organizations has led these improvements by making it easier for SMEs to communicate, share information, and to streamline business processes that raise the demand for cloud-based services between SMEs. This, in turn, is supporting to drive the growth of the global VPC market. Virtual private cloud (VPC) is a private network within the public cloud infrastructure. There are many benefits to using a virtual private cloud. It is a cost-effective solution that allows businesses the security they need without the expensive infrastructure. It offers scalability as it allows cloud administrators to add resources on-demand to accommodate additional users and allows you to scale up and down as workloads change and develop.

Using a VPC for internal business purposes allows customers to purchase a cloud environment from a provider and reduces cost by helping to consolidate infrastructure. Further, it increases security in the cloud and provides scalability for the business. VPC provides the potential for companies as a viable IT solution. For companies looking to migrate toward the cloud safely and securely, this is a flexible offering that can be used in any workplace. Since VPC provides a higher level of service-level agreements (SLA), cloud services from VPC are always available to the users. Therefore, it is also considered as the best solution to move towards VPC rather than the public cloud. The adoption of VPC enables to achieve efficient business processes in a secure environment. Since it provides a separate dedicated virtual network for transmission across the public cloud, VPC can be considered as secure.

Global VPC Market Segmentation

By Vertical

  • Healthcare
  • Banking, Financial Services and Insurance (BFSI)
  • IT and Telecom
  • Government and Defense
  • Retail
  • Manufacturing
  • Others (Energy and Media and Entertainment)

By Organization Size

  • Large Enterprises
  • Small and Medium Enterprises (SMEs)

Global VPC Market – Segment by Region

North America

  • US
  • Canada


  • Germany
  • UK
  • France
  • Spain
  • Italy
  • Rest of Europe


  • China
  • Japan
  • India
  • Rest of Asia-Pacific

Rest of the World

  • Middle East & Africa
  • Latin America

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Joined: November 26th, 2020
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