Table of Contents
- Desktop virtualization is a critical technology that has impacted the way workforces operate worldwide.
- Since the COVID-19 crisis, the VDI and DaaS market has been on a quick upward revolution due to its centralized infrastructure, spending, and security.
- We’ve compiled a list of 20 relevant and revealing virtual desktop market growth statistics demonstrating how big the VDI market is and how it’s expected to evolve.
Desktop Virtualization Market Growth
- The desktop virtualization market is expected to reach from USD 12.3 billion in 2022 to USD 20.1 billion by 2027, at a Compound Annual Growth Rate (CAGR) of 10.3%. (Source: MarketsandMarkets)
- By the end of 2022, desktop virtualization adoption will see double-digit growth. (Source: Spiceworks)
- The Desktop as a service (DaaS) market is slated to top at an 18.1% compound annual growth rate (CAGR) from US$ 5.5 Bn in 2022 to US$ 17.8 Bn by 2029. (Source: FMI)
VDI market growth in Business AdoptionThe primary reasons behind VDI and DaaS market growth are the need for simplified IT management and a secure workspace to enable a distributed workforce. The following stats illustrate this scenario:
- 32% of the organizations have adopted VDI in their practices, and an additional 12% have planned to adopt it in the next two years. (Source: Spiceworks)
- By 2024, 80% of on-premise virtual desktops will shift to DaaS, 30% fewer than today. (Source: Gartner)
- 7% of businesses adopt VDI for centralized workspace management and comprehensive support. Desktop Virtualization is adopted by enterprise-level firms more than SMBs. VDI is utilized by 50% of enterprise-level and 24% of small businesses (SMBs), i.e., double. (Source: Spiceworks)
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Cloud-Based Desktop Virtualization MarketThe future is hybrid work. And hybrid work demands cloud-hosted desktops, not on-premise infrastructure. VDI requires a lot of IT resources to maintain, which can be expensive for SMBs. In contrast, cloud-hosted VDI solutions provide more mobility and flexibility to users by offering anytime, anywhere access plus advanced security measures. Moreover, competent service providers offer fully-managed services and handle all the IT requirements. Below are some of the statistics on cloud-based desktop virtualization market growth.
- 50% of all corporate workloads are predicted to run in the cloud by 2023, from 40% in 2021. (Source: Spiceworks)
- The Government cloud-based VDI market is expected to reach US$ 71.2 Billion in 2027 with a CAGR of 16.30% during 2022-2027. (Source: MENAFN)
- Increased demand for unlimited storage, advanced security measures, and reduced capital cost is expected to drive SMEs (small and medium enterprises) to dominate the market. (Source: Allied Market Research)
- The global DaaS market is expected to record a massive growth of nearly 253% from 2021 to 2024. In 2021, Desktop as a service market growth has slated to 68%. (Source: DinCloud)
- 49% of VDI providers plan to add DaaS (Desktop as a Service) to their services, and 22% are adding cloud-based VDI solutions. (Source: Citrix)
- 31% of the DaaS service providers anticipate a 15%-50% growth. 29% of the providers expect their growth to be between 5% and 15%. (Source: Citrix)
- 60% of businesses deploy cloud technology to store confidential data. (Source: Web Tribunal)
COVID-19 Impact on VDI and DaaS market growthAmidst the pandemic, the majority of businesses have moved to remote work. To achieve a secure remote working model, they need an affordable and scalable solution that is available on-demand. DaaS and VDI solutions have made it possible by virtualizing the workstations without additional costs. For the sake of digital transformation, cloud VDI has become a necessity rather than a luxury. Check out the following stats that show how COVID-29 has impacted the desktop virtualization market growth
- 36% of respondents have deployed VDI or DaaS solutions for their work-from-home scenario. (Source: Globe News Wire)
- VMWare, Citrix Systems, Microsoft, Cisco, and IBM are some of the leading players in the VDI market during the ongoing COVID-19 pandemic. (Source)
- 21% of enterprise IT budgets plan to move their resources to managed services in 2022, compared to 14% in SMBs. (Source: The 2022 State of IT)
- Cloud VDI adoption in the financial service sector is expected to rise to 64% above the curve. (Source: The 2022 State of IT)