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Virtual Private Server Market Production Value, Gross Margin Analysis, Sales, Demand, and Global Research Report 2023
Virtual Private Server Market Production Value, Gross Margin Analysis, Sales, Demand, and Global Research Report 2023
virtual private server market size is expected to grow from USD 2.4 billion in 2018 to USD 5.0 billion by 2023, at a Compound Annual Growth Rate (CAGR) of 15.3% during the forecast period

The global virtual private server market size is expected to grow from USD 2.4 billion in 2018 to USD 5.0 billion by 2023, at a Compound Annual Growth Rate (CAGR) of 15.3% during the forecast period. Major growth drivers for the market include several advantages of VPS such as availability of cost-effective virtual private server, provide greater customizations, and scalability and more control with virtual servers than shared hosting. VPS enables organizations avail dedicated servers in the virtual environment. The approach provides enhanced control over servers, agile deployment of virtualized workloads, reduced infrastructure cost, and improved operational efficiency.

With increasing virtualization, Small and Medium Enterprises (SMEs) are embracing both private and public cloud services to transform their business processes. The adoption of cloud services has, in turn, spurred the demand for virtual private server market for hosting and for supporting other critical business functions.

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New Key Players

The report also studies various growth strategies, such as mergers and acquisitions, partnerships and collaborations, and developments, adopted by major players to expand their presence in the market. Major vendors in the VPS market include AWS (US), United Internet (UK), GoDaddy (US), Endurance International Group (US), OVH (France), DigitalOcean (US), Plesk (Switzerland), Rackspace (US), A2 Hosting (US), Liquid Web (US), Linode (US), Vultr (US), DreamHost (US), InMotion Hosting (US), and TekTonic (US).

The small and medium-sized enterprises (SMEs) segment to grow at a higher CAGR during the forecast period

The SMEs segment usually faces challenges in terms of IT infrastructure resources. However, these organizations are trying to gain enhanced control over their servers. VPS offers a virtually dedicated server options, which is gaining popularity among SMEs. Thus, the SMEs segment is expected to grow at a higher CAGR during the forecast period.

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North America to dominate the VPS market during the forecast period

The global VPS market by region covers 5 major regions: North America, Europe, Asia Pacific (APAC), Middle East and Africa (MEA), and Latin America. North America is estimated to hold the largest market size in 2018, owing to the presence of several vendors and huge investments in adopting VPS solutions in the region. The VPS market in APAC is expected to grow at the highest CAGR during the forecast period, due to the rapid developments of the required infrastructure and the increasing need to adopt innovative technologies.

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