Cloud Backup Market - Size, Share, Industry Trends, and Forecasts (2025-2032)

By Offering:

Based on offering, the market is segmented into solution and services.

Trends in the offering:

• Rising adoption of data backup solutions in business enterprises for protecting businesses against loss from disasters or failures along with ensuring data recovery, accessibility, and scalability for facilitating business continuity, is driving the market.
• Increasing adoption of cloud-based backup services due to its cost savings, high scalability, and improved remote data accessibility is boosting the market.

The solution segment accounted for the largest revenue in the cloud backup market share in 2024, and it is anticipated to register a significant CAGR during the forecast period.

• Cloud-based backup solutions are designed for copying users’ digital data like files, apps, and others, to remote, third-party servers over the internet, instead of storing it on local hardware.
• Moreover, cloud-based backup solutions help in protecting users against loss from disasters or failures while ensuring data recovery, accessibility, and scalability for facilitating business continuity.
• Also, cloud-based backup solutions offer several benefits including cost savings, automated backups, robust security, improved disaster recovery, high scalability, along with improved remote data accessibility, among others.
• For instance, Commvault Systems Inc. offers cloud-based backup solution, which enables users to back up everything from any location. The solution offers improved data availability and business continuity across the entire data set, from a single unified platform.
• Hence, the increasing advancements related to cloud-based backup solutions are driving the cloud backup market size.

By Type:

Based on type, the market is segmented into enterprise cloud backup, personal cloud backup, and disaster recovery.

Trends in the type:

• Rising adoption of cloud-based backup solutions in business enterprises for data protection, regulatory compliance, automated data management, and reliable, fast data recovery for business continuity is driving the market.
• Growing need for scalable data storage and backup solutions among business enterprises, combined with increased scalability and cost savings, is boosting the market.

The enterprise cloud backup segment accounted for the largest revenue in the market in 2024, and it is anticipated to register a significant CAGR during the forecast period.

• Enterprise cloud backup is designed for copying and storing an organization's essential data, applications, as well as system configurations onto off-site, third-party cloud servers.
• They offer scalability, security, along with disaster recovery beyond basic consumer backup by managing complex hybrid/multi-cloud environments, while also ensuring application consistency and integrating with IT workflows for complete restoration.
• Moreover, enterprise cloud-based backup solutions move data from primary on-premise systems to remote cloud storage, which in turn helps in protecting against data loss from hardware failure, cyberattacks, or disasters, with features like automated data management and granular recovery.
• Also, factors including rising need for scalable data storage and backup solutions among business enterprises, combined with increased cost savings, scalability, and improved disaster recovery, are among the key aspects driving the segment.
• According to the cloud backup market analysis, the above factors are propelling the market.

By Deployment Model:

Based on deployment model, the market is segmented into public cloud, private cloud, and hybrid cloud.

Trends in the deployment model:

• Factors including the rapid pace of digital transformation and increasing consumer preference for flexible, scalable, reliable, and cost-effective data storage solutions are primary determinants for driving the public cloud segment.
• Factors including ease of integration, flexibility, higher security, and more control over sensitive assets of an organization are key aspects driving the private cloud deployment segment.

The public cloud segment accounted for the largest revenue share of 59.24% in the overall cloud backup market share in 2024, and it is anticipated to register a significant CAGR during the forecast period. 

• Cloud-based backup in a public cloud deployment model involves storing users’ data on shared, third-party servers such as AWS (Amazon Web Services), Azure, and GCP (Google Cloud) over the internet, using the provider's infrastructure for scalability, cost-effectiveness, along with data management, making it ideal for disaster recovery and general data protection without upfront hardware costs.
• Public cloud deployment model uses a multi-tenant environment and also ensures data separation, in turn offering high availability and easy scaling for various business requirements.
• Moreover, public cloud deployment offers several benefits including higher accessibility, no maintenance requirement, increased scalability, and relatively lower costs in comparison to other types of cloud deployment.
• Consequently, the above benefits of public cloud deployment are further driving its adoption among enterprises, thereby driving the cloud backup market trends.

By Enterprise Type:

Based on enterprise type, the market is segmented into large enterprises and small and medium enterprises (SMEs).

Trends in the enterprise type:

• Increasing trend in deployment of cloud-based backup solutions in large enterprises for facilitating rapid disaster recovery, ensuring data protection, and achieving scalabilityis driving the market.
• Factors including growing investments in development of small & medium enterprises and rising deployment of public cloud models in SMEs are key aspects driving the small and medium enterprise segment.  

The large enterprises segment accounted for the largest revenue in the cloud backup market in 2024.

• Cloud-based backup is an essential aspect of modern enterprise data management and cyber resilience strategies, which offers significant benefits over traditional, on-premises solutions.
• Large enterprises mostly use cloud-based backup solutions for ensuring data protection, facilitating rapid disaster recovery, achieving scalability, and managing costs effectively.
• Moreover, in large enterprises, cloud-based backup solutions help in storing essential data offsite, which in turn offers superior scalability, cost efficiency, robust disaster recovery, enhanced security, simplified data management, and global accessibility, thereby ensuring business continuity.
• Therefore, the above benefits of cloud-based backup solutions are further increasing its adoption in large enterprises, in turn driving the market growth.

The small and medium enterprises (SMEs) segment is anticipated to register the fastest CAGR during the forecast period.

• Small and medium enterprises are companies that typically maintain workforce, revenues, and assets below a certain threshold. Moreover, SMEs usually account for the majority of the businesses that are operating across the world.
• Additionally, cloud-based backup plays an important role in SMEs by providing an enterprise-grade data protection and storage solution without the need for substantial capital investment or dedicated in-house IT infrastructure management.
• For instance, according to the U.S. Chamber of Commerce, the number of small businesses in the United States reached 33.2 million in 2022, representing nearly 99.9% of total businesses in the U.S.
• According to the analysis, the rising number of small and medium enterprises is expected to boost the adoption of cloud-based backup solutions in SMEs, thereby boosting the market during the forecast period.

By End User:

Based on the end user, the market is segmented into BFSI, IT & telecommunication, healthcare, retail & e-commerce, manufacturing, government & defense, and others.

Trends in the end user:

• There is an increasing trend in adoption of backup solutions in IT & telecommunication sector for protecting critical data from localized physical disasters or hardware failures while facilitating rapid recovery for minimizing downtime.
• There is a rising trend towards the utilization of cloud-based backup solutions in BFSI industry, driven by the growing need for data integrity, rapid disaster recovery, and strict regulatory compliance.

The IT & telecommunication segment accounted for a significant revenue share in the market in 2024.

• Cloud-based backup plays an important role in IT & telecommunication sector, which is usually responsible for managing large volumes of critical, real-time data and operating within stringent regulatory frameworks.
• Moreover, IT and telecom companies mostly generate and process enormous amounts of data such as call records, network logs, customer interactions, and others. Cloud-based backup offers virtually unlimited, on-demand scalability for storing this data efficiently and cost-effectively, which in turn helps in avoiding constant physical infrastructure investments.
• Also, cloud-based backup solutions help in ensuring high availability through geographically dispersed data centers and redundant systems, which in turn protect critical data from localized physical disasters or hardware failures while facilitating rapid recovery for minimizing downtime.
• For instance, according to the National Association of Software and Service Companies (NASSCOM), the revenue of IT industry in India reached USD 245 billion in FY23, representing an increase of nearly 8% from USD 227 billion in FY22.
• Hence, the growing IT & telecom sector is driving the adoption of cloud-based backup solutions, in turn propelling the market growth.

The BFSI segment is anticipated to register a substantial CAGR during the forecast period.

• BFSI firms are responsible for managing vast amounts of sensitive financial and personal data, making robust data protection an important aspect of the sector.
• Cloud-based backup solutions play an essential role in the BFSI sector, driven by the growing need for data integrity, rapid disaster recovery, and strict regulatory compliance.
• Moreover, the use of cloud-based backup solutions in BFSI firms ensures rapid data recovery from cyberattacks, system failures, or natural disasters, which in turn helps in facilitating high availability and uninterrupted operations for BFSI firms.
• For instance, according to the Federal Reserve Board, there are approximately 2,134 large commercial banks in the United States as of September 2025. These banks have consolidated assets of USD 300 million or more, with several branches in the U.S as well as other countries.
• Thus, according to the analysis, the growing BFSI sector is projected to increase the utilization of cloud-based backup solutions, in turn driving the market during the forecast period.