The Application Container Market size is estimated to grow from USD 1.99 Billion in 2020 to USD 11.7 Billion by 2027, growing at a CAGR of 28.8 % during the forecast year from 2021 to 2027.
The “Application Container – Market Analysis, Trends, and Forecasts 2021-2027 ” Study has been added to MarketDigits Market Research offering. The study focus on both qualitative as well as quantitative side and follows Industry benchmark and NAICS standards to built coverage of players for final compilation of study. Some of the major and emerging players profiled are IBM (US), AWS (US), Microsoft (US), Google (US), VMware (US), Apprenda (US), Joyent (US), Rancher Labs (US), SUSE (Germany), Sysdig (US), Jelastic (US), Kontena (Finland), Mesosphere (US), Puppet (US), Twistlock (US), Weaveworks (UK), CA Technologies (US), Oracle (US), Nimble Storage (US), BlueData (US), Apcera (US), Cisco (US), Red Hat (US), Docker (US), and Portworx (US).
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The Application Container market size is estimated to grow from USD 1.99 Billion in 2020 to USD 11.7 Billion by 2027, growing at a CAGR of 28.8 % during the forecast year from 2021 to 2027.
This growth is expected to be fueled by the increasing number of container orchestration services and container security services deployed in enterprises globally.
An application container is an Operating System (OS)-level virtualization that deploys and runs distributed applications without actually running a virtual machine. It is more efficient than hardware infrastructure virtualization, which provides the same Kernel OS to various isolated applications and enables them to run on a single host. Application containers usually work on virtual machines, cloud instances, and bare-metal cloud systems across different OS.
By service, container orchestration service is expected to hold the largest market share during the forecast period
The application container market by service has been segmented into container orchestration, container data management, container security, container networking, container monitoring, consulting, and support and maintenance. As more and more applications are migrating to the cloud, the demand for application containers is also expected to be increasing among enterprises. Cloud-native applications and legacy application modernization, bundled with DevOps strategies adopted by various enterprises, are expected to be driving the demand for application container services. The container orchestration segment is expected to hold the largest market share during the forecast period; this significant market share can be attributed to the high demand for efficient container management and container orchestration services among organizations.
By vertical, banking, financial services and insurance vertical is expected to hold the largest market share during the forecast period
The application container market has been segmented based on different verticals, namely, telecommunications and IT, education, BFSI, media and entertainment, healthcare and life sciences, retail and e-commerce, and others. The BFSI vertical is estimated to hold the largest market share and expected to grow at the highest CAGR during the forecast period. The main factor driving the growth of the application container services in the BFSI vertical is the omnichannel approach and the trend of shifting towards cloud environment. The demand for application container services is estimated to be gaining traction across all industries. Since cloud transformation has become one of the key elements of enterprise strategies today, the demand for application container services is also seen to be increasing.
Asia Pacific is expected to grow at the highest CAGR during the forecast period
APAC is expected to experience the highest growth in terms of adopting application container services during the forecast period. The growth is likely to be driven by factors, such as the increased spending on improving infrastructures and the emergence of advanced and secured cloud-based solutions, tax reformation policies, smart cities initiatives, and the rise of the digital economy. The major countries that are expected to witness high growth rates in this region include China, Japan, Singapore, Australia and New Zealand (ANZ), and the rest of the Association of Southeast Asian Nations (ASEAN) countries. Companies in this region are transforming their strategy from customer acquisition to customer experience. Most of the leading companies are changing their legacy applications and securing them. With the application container technology, organizations can make their applications agiler. Moreover, organizations can quickly adapt or migrate to the cloud by developing their applications on application container platforms.
Driver: Growing need for business agility and faster time-to-market
Enterprises require coordination to grow and respond to the increase in competition. This can be achieved only by adopting the latest technologies and developing and delivering modern applications. The existence of legacy environments hinder technological adoptions and require transformations at the application, platform, and technology levels. Application containers help in quickening the application development process by minimizing the testing time and reducing the complexities of testing processes, thereby bringing about agility. In addition to this, the container orchestration streamlines the deployment of applications in various environments, such as physical or virtual and public, private, or hybrid cloud infrastructures. This gives a competitive advantage to enterprises and results in increased efficiency, reduced application-related costs, and a better Return on Investment (RoI).
Restraint: Emergence of application container sprawl
Container sprawl is a term used to describe the running of unmanageable, multiple instances of applications through containers, and the corresponding heavy resource consumption resulting from it. Resource consumption, in various cases, results in fewer resources for running useful containers. Moreover, the chances of misconfiguration and mishandling of unmanageable containers on a particular host increase its chances of misconfiguration and mishandling. Container sprawl can drive up the costs of the public cloud environment. Large enterprises are at a higher risk of container sprawls than the Small and Medium-sized Enterprises (SMEs). Tracking and mapping of containers would soon become a necessity, as more and more applications are starting to get containerized. To counter the container sprawl, enterprises need to adopt an efficient DevOps and security strategy.
Opportunity: Rising adoption of IoT among various verticals
IoT has become the frontline technology due to its enormous business benefits. Multiple organizations across the globe are rapidly implementing IoT technology. The application container technology helps in realizing the real benefits of the IoT technology. Application containers offer features, such as the ability to migrate applications between IoT devices, enable application sign-ups and switch to different hosts, offer easy application upgrades, and provide simplicity and faster configuration, which are all well-suited for IoT technology. Application containers are also innately capable of running applications on IoT edge devices that consist of limited resources and majorly support lightweight OS. The demand for application containers in the IoT arena can be attributed to the need for frequent and fast IoT application updates at scale.
Challenge: Security risks associated with the application container technology
Committing to the application container technology could result in significant cost benefits and faster time-to-market, but it also presents various security challenges that need to be addressed. Application containers cannot isolate from the host operating system, as they share the same host OS as the other containers. There is a chance that if a hacker gains access to the host OS, it can breach the security of other containers as well. In addition to this, network hacking could lead to cross-container threats. Container-based security, like encryption services, can be challenging to attain, as users may have to build an Application Programming Interface (API) call from the containers to enable encryption services. Therefore, the whole application development process in containers need to be monitored continuously to minimize the risks and improve the security features.
Scope of the Report:
The study includes platform, service, deployment mode, application area, organization size, vertical, and region segments to arrive at the global application container market size during the forecast period.
Application Container Market: By Service:
- Container monitoring
- Container security
- Container data management
- Container networking
- Container orchestration
- Support and maintenance
Application Container Market: By Deployment Mode:
Application Container Market: By Organization Size:
- Large enterprises
Application Container Market: By Application Area
- Others (resource optimization and content management)
Application Container Market: By Vertical
- Healthcare and life science
- Telecommunication and IT
- Retail and e-commerce
- Media and entertainment
- Others (manufacturing, utilities, transportation and logistics, travel and hospitality, and government)
Application Container Market: By Region:
- North America (US, Canada)
- Europe (UK, Germany, France, Rest of Europe)
- APAC (Australia & New Zealand, China, Japan, Singapore, Rest of Asia Pacific)
- MEA (Kingdom of Saudi Arabia, United Arab Emirates, Qatar, South Africa, Rest of Middle East and Africa)
- Latin America (Brazil Mexico, Rest of Latin America)
Key Market Players:
IBM (US), Amazon Web Services (AWS) (US), Microsoft (US), Google (US), VMware (US)
- In December 2017, AWS announced the launch of the AWS EU (Paris) Region. The AWS EU Region is the company’s fourth in Europe, joining the existing regions in Germany, Ireland, and the UK. Thousands of French customers already use AWS in other areas, and developers, startups, enterprises, as well as government, education, and non-profit organizations, would be able to leverage AWS to run applications and store data in France.
- In August 2017, Microsoft and Red Hat expanded their strategic partnership to help enterprises quickly adopt containers. As per the partnership, the Red Hat container service would support Microsoft services, such as native support for Windows Server containers on Red Hat OpenShift Container Platform, Red Hat OpenShift Dedicated on Microsoft Azure, and SQL Server on Red Hat Enterprise Linux and OpenShift.
- In June 2017, Apcera announced that the Apcera Platform had achieved “VMware Ready” status, which would enable end-users to use VMware vSphere 6 for production environments. The use of the Apcera Platform with vSphere 6 would help enterprises modernize their legacy applications.
- In April 2017, IBM announced that the Docker Enterprise Edition (EE) is available for Linux on IBM zSystems, LinuxONE, and Power Systems. It would provide enterprises advanced performance and flexibility for developing and deploying business-critical applications across hybrid cloud environments. LinuxONE and z Systems can support up to 1 million Docker containers on a single system, with high levels of security.
- In March 2017, Cisco acquired AppDynamics, a US-based software provider of application and business performance monitoring. The acquisition is aimed at reinforcing Cisco’s strategic direction and shift toward software-centric solutions.
All viewpoints in the report are based on iterative validation by engaging influencer, experts of the market, whose opinions supersede all other research methodologies. Both primary and secondary approach are used and detailed product portfolio / service offering were analysed and have been presented in a separate chapter of competitive landscape along with company profile.
Detailed Insights on Market Concentration Rate:
CR4, CR8 and HHI Index Analysis of Overall Market
Comparative Market Share Analysis (Y-o-Y)
Emerging Players – Heat Map Analysis
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Table of Contents
1 Market Overview
1.1 Global Application Container Introduction
1.2 Market Analysis by Type
1.3 Market Analysis by Applications
1.4 Market Analysis by Regions
1.5 Market Dynamics
1.5.1 Market Opportunities
1.5.2 Market Risk
1.5.3 Market Driving Force
2 Manufacturers Profiles
2.1.1 Business Overview
2.1.2 Application Container Type and Applications
2.1.3 Application Container Sales, Price, Revenue, Gross Margin and Market Share (2021-2027)
3 Global Application Container Market Competition, by Manufacturer
4 Global Application Container Market Analysis by Regions
5 Region 1, Type, Application and Manufacturers
10 Global Application Container Market Segment by Type
11 Application Container Market Segment by Application
12 Application Container Market Forecast (2021-2027)
13 Sales Channel, Distributors, Traders and Dealers
14 Research Findings and Conclusion
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