Web Hosting Market Share, Growth, Analysis – Forecast 2023

September 7, 2020

Web Hosting Services Market Research Report- Forecast 2023

Market Overview , The era of digitization has created boundless scopes for the World Wide Web, expanding it beyond our expectations. As a result, web hosting has come under the spotlight and internet companies are quickly recognizing the business opportunities that it brings along. In 2017, the global market for web hosting reached a valuation of USD 32.14 Bn and is projected to expand at 15.9% CAGR between 2018 and 2023. With rapid internet proliferation, enterprises are giving up their traditional representations to adopt the new-age virtual identity. Having a spot on the internet is a crucial part of the growth strategies of modern businesses. Demand for digital space continues to grow, creating opportunities for web hosting service providers. Advances in technology have made web hosting robust and more efficient, allowing individuals and enterprises to channelize their marketing efforts through various internet tools., Report Abstract , This MRFR report offers a comprehensive analysis of the web hosting market. The primary objective of the report is to provide a five-year (2018-2023) revenue analysis of the global web hosting market and identify the opportunities and threats. The report offers an unbiased outlook towards the advancements in web hosting services and potentials over the next five years. The primary web hosting services that have been assessed in the report include website builder, shared hosting, dedicated hosting and collocated hosting. For opportunity analysis, major application areas for web hosting such as public website, mobile application, Intranet site and online application were studied. The connectivity technologies discussed in the report include xDSL, fiber, MPLS, Ethernet, and IP-VPN. Evaluation of the market in terms of revenue also covers public cloud, private cloud, and hybrid cloud deployments. The report forecasts revenue for web hosting market at the global level covering North America, South America, Asia Pacific (APAC), Europe, and the Middle East & Africa (MEA)., Report Coverage, Historical market trends, market dynamics, forecast, market value by region as well as by segmentation, country-level analysis for each market segme

Market Overview

The era of digitization has created boundless scopes for the World Wide Web, expanding it beyond our expectations. As a result, web hosting has come under the spotlight and internet companies are quickly recognizing the business opportunities that it brings along. In 2017, the global market for web hosting reached a valuation of USD 32.14 Bn and is projected to expand at 15.9% CAGR between 2018 and 2023. With rapid internet proliferation, enterprises are giving up their traditional representations to adopt the new-age virtual identity. Having a spot on the internet is a crucial part of the growth strategies of modern businesses. Demand for digital space continues to grow, creating opportunities for web hosting service providers. Advances in technology have made web hosting robust and more efficient, allowing individuals and enterprises to channelize their marketing efforts through various internet tools.

Report Abstract

This MRFR report offers a comprehensive analysis of the web hosting market. The primary objective of the report is to provide a five-year (2018-2023) revenue analysis of the global web hosting market and identify the opportunities and threats. The report offers an unbiased outlook towards the advancements in web hosting services and potentials over the next five years. The primary web hosting services that have been assessed in the report include website builder, shared hosting, dedicated hosting and collocated hosting. For opportunity analysis, major application areas for web hosting such as public website, mobile application, Intranet site and online application were studied. The connectivity technologies discussed in the report include xDSL, fiber, MPLS, Ethernet, and IP-VPN. Evaluation of the market in terms of revenue also covers public cloud, private cloud, and hybrid cloud deployments. The report forecasts revenue for web hosting market at the global level covering North America, South America, Asia Pacific (APAC), Europe, and the Middle East & Africa (MEA).

Report Coverage

Historical market trends, market dynamics, forecast, market value by region as well as by segmentation, country-level analysis for each market segment, key player’s market share analysis and market factor analysis which covers supply chain and Porter’s five forces analysis of the market.

Companies Covered

The Prominent Key Players in web hosting market are – Hosting.co.uk (UK), AT&T Inc.(US), Amazon Web Services, Inc.(US), Combell NV (Belgium), Equinix Inc.(US), Endurance International Group (US), Just Host (UK), Google Inc.(US), GoDaddy Inc.(US), LeaseWeb (Netherlands), Easyhost (UK), 1&1 Internet Inc.(US).

Research Methodology

A multi-layered and proven research methodology ensures the rendering of comprehensive market insights with critical observation and extrapolation of current and historical market trends. The extensive primary and secondary research processes ensure reliability and objectivity of the market insights. Primary collection of data is carried out by conducting surveys and first-hand interviews with company executives and opinion holders across the value chain (CEOs, MDs, and VPs). Secondary research process verifies the authenticity and accuracy of primary data by gleaning and analyzing information from credible sources such as SEC filings, white paper references, research publications and other sources available in public domain. Furthermore, top-down and bottom-up approaches are utilized to validate the data offered in our reports.

Other Description

  • Currency- USD Million
  • Base Year- 2017
  • Forecast Period- From 2018 to 2023

Intended Audience:

  • IT Solution Providers
  • Government Organizations
  • Research/Consultancy firms
  • Business Organizations
  • Web Hosting Service Providers

For the scope of the research, MRFR’s report offers a comprehensive segmental analysis of the web hosting market

By Type

  • Website builder
  • Shared Hosting
  • Dedicated Hosting
  • Collocated Hosting

By Application

  • Public Website
  • Mobile Application
  • Intranet Site
  • Online Application

By Connectivity

  • xDSL
  • Fiber
  • MPLS
  • Ethernet
  • IP-VPN

By Deployment

  • Public Cloud
  • Private Cloud
  • Hybrid Cloud

By Region

  • North America

    • US
    • Canada
    • Mexico

  • Europe

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

  • Asia-Pacific

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

  • South America
  • The Middle East & Africa (MEA)

Frequently Asked Questions (FAQ) :

What are the Key Insights of Web Hosting Services Market?

Historical market trends, market dynamics, forecast, market value by region as well as by segmentation, country-level analysis for each market segment, key player’s, market share analysis and market factor analysis which covers supply chain and Porter’s five forces analysis of the market.

What is the size of the Web Hosting Services market?

The Global Market Size for Web Hosting reached a valuation of USD 32.14 Bn and it is projected to expand at 15.9% CAGR by Forecast period 2018 and 2023.

What are the best web hosting companies for 2019?

Market players covered in the report by MRFR are Amazon Web Services (US), Google (US), AT&T (US), GoDaddy (US), Combell NV (Belgium), LeaseWeb (Netherlands), Equinix (US), Endurance International Group (US), Easyhost (UK), Just Host (UK) and Hosting.co.uk (UK).

What is the Regional Overview of Web Hosting Services market?

By region, the global web hosting services market has been segmented into North America, Europe, Asia-Pacific, and the Rest of the World.

Global Web Hosting Market-Report Summary:

Global web hosting market is set to grow from USD 32.14 Bn in 2017 to USD 76.2 Bn in 2023. Market Research Future (MRFR) projects that the market will thrive saliently at 15.9% CAGR during the forecast period 2018 to 2023. Over the years, the focus has been shifting towards website and application speed as a key experience metric, which has boosted the web hosting market. The surge in demand for better performances of websites coupled with seamless user experience is likely to influence the market growth positively. The competitive landscape of the market is consolidated with various regional, national, and international players striving to gain traction in the market. The unexplored opportunities in developing and under developing nations have attracted the attention of market operators and are poised to encourage market proliferation.  The competition among the vendors is intensified based on factors such as cost, service quality, reliability, and aftermarket service.

Increased consumption of smartphones and changing preferences of consumers have necessitated the adoption of web hosting services across different platforms and screen resolutions. The market exhibits tremendous potential for growth in the foreseeable future. Additionally, the rising threats posed by cyber attacks and data breaches have catapulted the web hosting market on an upward trajectory. The market players are investing massive amounts for upgrading the web hosting domain and assuring data protection to the clients. Furthermore, the emerging trend of green web hosting technology as a means to reduce carbon emissions and reach cost-effectiveness has catalyzed the market expansion. Nevertheless, challenges related to backup and restoration of data remains an impediment for the market.

By type, the website builders segment is likely to retain its dominance through the forecast period registering a CAGR of 14.6%. Meanwhile, the collocated hosting segment is expected to exhibit a relatively steeper rise in market size, growing at 18.5% CAGR. The segment is poised to reach a valuation of USD 12750.1 Mn across the review period.

By application, the mobile application segment is projected to capture the maximum share of the market. The segment is set to thrive from USD 10,509.1 Mn in 2017 to USD 26713.2 Mn by the end of the assessment period. The accelerated adoption of mobile application hosting is attributable to low maintenance, easily accessible, easy integration, and customer support service.

By connectivity, the fiber segment is estimated to capture a dominant market share, expanding at 16% CAGR. Meanwhile, MPLS segment is set to value at USD 11,092 Mn by 2023-end up from USD 4,026.5 Mn in 2017. MPLS opens avenues of next-gen intelligent networks for providing a wide variety of advanced, value-added services over a single infrastructure.

By deployment, the public cloud segment exhibited dominance over the market in 2017. The segment is estimated to register a robust CAGR of 14.6%. On the other hand, the private cloud segment is set to witness accelerated adoption due to a higher level of security offered. Thriving at 17% CAGR, the segment is projected to reach a value over USD 28423.9 Mn over 2023.

Regional Overview:

Geographically, the web hosting market has been analyzed across five regions-North America, Europe, Asia-Pacific, and the Rest of the World. North America is projected to retain its pole position throughout the forecast period. The U.S. is estimated to be the most substantial market in the region. The value of the revenue generated by the U.S. is poised to reach USD 31,748.3 Mn in 2023 up from USD 14,039.8 Mn in 2017. Additionally, the economic acceleration in Canada and Mexico are further expected to aid market proliferation. Europe is anticipated to remain a highly lucrative market over 2023. Germany is expected to retain its prominence in the region, striking a CAGR of 19.5% from 2018 to 2023. The web hosting market in Germany is projected to grow from USD 2417.6 Mn in 2017 to USD 6804.0 Mn in 2023. Asia Pacific is an emerging growth pocket in the global web hosting market. The surge in demand for hosting services in the region is expected to aid market proliferation.

Competitive Analysis:

Market players covered in the Web Hosting market report by MRFR are Amazon Web Services, Inc. (US), Google Inc. (US), AT&T Inc. (US), GoDaddy Inc. (US), Combell NV (Belgium), LeaseWeb (Netherlands), Equinix Inc. (US), 1&1 Internet Inc. (US), Endurance International Group (US), Easyhost (UK), Just Host (UK) and Hosting.co.uk (UK).

TABLE OF CONTENT

1  Executive Summary $ 1,350.00

1.1 Prologue 14

2  Market Introduction $ 0.00

2.1 Definition 16

2.2 Scope of the Study 16

2.3 List of Assumptions 16

2.4 Market Structure 17

3  Research Methodology $ 0.00

3.1 Research Process 19

3.2 Primary Research 20

3.3 Secondary Research 21

3.4 Market Size Estimation 22

3.5 Forecast Model 22

4  Market Dynamics $ 950.00

4.1 Introduction 24

4.2 Drivers 25

4.2.1 Increasing need to upsurge the website performance 25

4.2.2 Improving security in the cloud 25

4.2.3 Drivers Impact Analysis 25

4.3 Challenges 25

4.3.1 Backup Facility 25

4.4 Challenge Impact Analysis 26

4.5 Opportunities 26

4.5.1 Growing focus on green web hosting 26

5  Market Factor Analysis $ 950.00

5.1 Value Chain Analysis 28

5.1.1 Internet Management 28

5.1.2 Web Host 28

5.1.3 Internet Service Provider 28

5.1.4 Consumer Device 29

5.2 Porter’s Five Forces Model 29

5.2.1 Threat of New Entrants 29

5.2.2 Bargaining Power of Suppliers 29

5.2.3 Bargaining Power of Buyers 29

5.2.4 Threat of Substitutes 30

5.2.5 Intensity of Rivalry 30

6  Global Web Hosting Services Market, By Type $ 1,650.00

6.1 Overview 32

6.1.1 Website builder 32

6.1.2 Shared Hosting 32

6.1.3 Dedicated Hosting 32

6.1.4 Collocated Hosting 32

7  Global Web Hosting Services Market, By Application $ 1,650.00

7.1 Overview 35

7.1.1 Public Website 35

7.1.2 Mobile Application 35

7.1.3 Intranet Site 35

7.1.4 Online Application 35

8  Global Web Hosting Services Market, By Connectivity $ 1,650.00

8.1 Overview 38

8.1.1 xDSL 38

8.1.2 Fiber 38

8.1.3 MPLS 38

8.1.4 Ethernet 38

8.1.5 IP-VPN 38

9  Global Web Hosting Services Market, By Deployment $ 1,650.00

9.1 Overview 41

9.1.1 Public Cloud 41

9.1.2 Private Cloud 41

9.1.3 Hybrid Cloud 41

10  Global Web Hosting Services Market, By Region $ 1,650.00

10.1 Introduction 44

10.1.1 North America 46

10.1.2 Europe 56

10.1.3 Asia Pacific 73

10.1.4 Rest of World 85

11  Competitive Landscape $ 1,050.00

11.1 Competitive Landscape 93

12  Company Profiles $ 900.00

12.1 Amazon Web Services, Inc. 96

12.1.1 Company Overview 96

12.1.2 Financial Overview 96

12.1.3 Product Offerings 96

12.1.4 Key Developments 97

12.1.5 SWOT Analysis 97

12.1.6 Strategy 97

12.2 Google Inc. 98

12.2.1 Company Overview 98

12.2.2 Financial Overview 98

12.2.3 Product Offerings 99

12.2.4 Key Developments 99

12.2.5 SWOT Analysis 99

12.2.6 Strategy 99

12.3 AT&T Inc. 100

12.3.1 Company Overview 100

12.3.2 Financial Overview 100

12.3.3 Product Offerings 100

12.3.4 Key Developments 101

12.3.5 SWOT Analysis 101

12.3.6 Strategy 101

12.4 GoDaddy Inc. 102

12.4.1 Company Overview 102

12.4.2 Financial Overview 102

12.4.3 Services Offerings 103

12.4.4 Key Developments 103

12.4.5 SWOT Analysis 103

12.4.6 Strategy 103

12.5 Combell NV 103

12.5.1 Company Overview 103

12.5.2 Solution Offerings 104

12.5.3 Key Developments 104

12.5.4 SWOT Analysis 105

12.5.5 Strategy 105

12.6 LeaseWeb. 106

12.6.1 Company Overview 106

12.6.2 Solution Offerings 106

12.6.3 Key Developments 106

12.6.4 SWOT Analysis 107

12.6.5 Strategy 107

12.7 Equinix Inc. 108

12.7.1 Company Overview 108

12.7.2 Financial Overview 108

12.7.3 Service Offerings 109

12.7.4 Key Developments 109

12.7.5 SWOT Analysis 109

12.7.6 Strategy 109

12.8 1&1 Internet Inc. 110

12.8.1 Company Overview 110

12.8.2 Financial Overview 110

12.8.3 Services Offerings 111

12.8.4 Key Developments 111

12.8.5 SWOT Analysis 112

12.8.6 Key Strategy 112

12.9 Endurance International Group 113

12.9.1 Company Overview 113

12.9.2 Financial Overview 113

12.9.3 Product Portfolio 114

12.9.4 Key Developments 114

12.9.5 SWOT Analysis 115

12.9.6 Key Strategy 115

12.10 Easyhost 116

12.10.1 Company Overview 116

12.10.2 Services Offerings 116

12.11 Just Host 117

12.11.1 Company Overview 117

12.11.2 Services Offerings 117

12.12 Hosting.co.uk 118

12.12.1 Company Overview 118

12.12.2 Services Offerings 118

13  List od Tables $

          14  List of Figures $

Increasing need to upsurge the website performance is driving the web hosting market creating a highly competitive landscape

The global Web hosting market consists of various global, regional, and local service providers that are evolving to enhance their market position. Intense competition and rapid advances in technology are key factors that aid the market growth. The vendors compete based on cost, service quality, reliability, and aftermarket service. It is important for the vendors to provide cost-efficient, reliable and robust security standards to survive and succeed in an intensely competitive market environment.

Vendors in the Web hosting market are focused on improving their services and expanding into the under-developed and developing economies. Moreover, the growth of the market vendors is dependent on the market conditions, government support, and industry development. GoDaddy Inc., Amazon Inc., Equinix Inc., Google Inc., and AT&T Inc. are the major companies in the market, which compete in terms of security standards, overall service suite, quality, price, and website performance. Their primary focus is to provide Web hosting services coupled with powerful data encryption. Although the international players are dominating the market, regional and foreign players with small market shares also have a presence. The international players may strengthen their presence worldwide through acquisitions & partnership during the forecast period. Projections also indicate that improvement of the global economic scenario combined with Web hosting awareness in emerging nations, will fuel the market growth.

GoDaddy Inc. is one of the prominent players in the global Web hosting market and holds a 15% market share. GoDaddy offers Web hosting, business hosting and managed WordPress, providing fast, secure and reliable services to businesses. The company keeps enhancing its product offerings to help customers connect with their users and run their ventures. Recently, GoDaddy launched “Virtual Private Server” (VPS), a high performance managed hosting solution, designed for web professionals in India.

Amazon Inc. holds the share of 14% as of 2016. Amazon Web Services offers cloud Web hosting solutions that provide businesses, non-profits, and governmental organizations to deliver their websites and web applications with low-cost. It offers content management system (CMS), such as WordPress, an eCommerce application, such as Magento, or a development stack, like LAMP, and also provide SDKs for popular platforms like Java, Ruby, PHP, Node.js, and .Net.  It focuses on offering valuable services to customers through their technical expertise. It also emphasizes on becoming the lowest cost customer-centric online marketplace. It has set several strategic priorities that would drive growth and improve revenue.

Equinix Inc. is another prominent player that held the share of 12% in 2016. Equinix key strategy is to expand its global position as a premier network and cloud-neutral data center provider. It also aims to provide an interconnection platform for enterprises, cloud and IT service providers, media & content companies, financial services firms, IoT and big data providers, and network and mobile service providers. Equinix announced the expansion of its LD4 International Business Exchange (IBX) data center at its London Slough campus which is expected to enable customers to interconnect securely with more than 1,000 businesses in London including leading capital markets participants, insurers and electronic payments firms, as well as more than 200 network service providers and more than 275 cloud and IT service providers.

Google Inc. holds the share of 7% as of 2016. Google offers fully-managed and self-managed Web hosting and deployment solutions to small and medium businesses. Google Cloud Platform provides services and infrastructure that enable users to develop and deploy scalable, globally available applications and websites. H2, a premier global leadership network for the technology industry collaborated with Google to bring together the worldwide networks and resources of both H2 and Google for entrepreneurs to support technology leaders in innovation centers globally.

Service providers with better technical and financial resources can develop innovative hosting feature that render the competitors’ products, obsolete and non-competitive even before they are launched, or costs are recovered. Therefore, vendors must leverage innovation to stay abreast of emerging technologies that could affect the continuing competitiveness of their service in the market. The competitive environment in the market is likely to intensify further due to rise in hosting service providers, need to improve website performance, strong security standards, and partnership.

Source