The global backend-as-a-service market is expected to secure USD 27,016.6 million in 2033 against USD 3,011.4 million in 2023. From 2023 to 2033, the global market is expected to expand at a CAGR of 24.5%.
Backend-As-A-Service (BaaS) is the cloud computing service model, which helps the middleware that provides developers to connect their web and mobile applications to cloud services through a software development kit and application programming interface.
BaaS also offers some features like user management, push notifications, social networking integration for instance Facebook and Twitter, and other features for which mobile users demand their apps. The benefit of using the Backend-As-A-Service model is that it lessens the application backend framework development time to minutes rather than a long-time span.
Don't pay for what you don't need
Customize your report by selecting specific countries or regions and save 30%!
The adoption of mobile devices, like smartphones, laptops, and wearables, has surged significantly, mainly due to advantages offered, like mobility and advanced specifications. It is anticipated that the adoption of mobile devices is likely to rise, especially among the age groups of 18 to 40.
According to BuildFire, globally, there are about 2.7 billion smartphone users while 1.35 billion tablet users are expanding by 2% every year. The social media penetration rate across various regions and adoption of cloud infrastructure and services contributes to the global demand. Also, the number of global smartphone users across the key countries and global data traffic via smartphones are rising immensely.
The increase in the use of smartphones and the creation of user-friendly mobile apps and social media platforms are projected to boost the amount of data generated from social media.
AI technology is used by various large enterprises to comprehend, generate, and analyze trends, and understand the topics, which garner maximum attention in real-time. Hence, the growing engagement of users on social media using mobile devices is considered the most significant driver of the BaaS market.
Ongoing developments further augment the market in the coming time. For instance, in September 2019, Oracle rolled out the updated version of the Oracle Mobile Cloud service. The updated version is integrated with Oracle data centers, which helps migrate Oracle Mobile Hub.
| Attributes | Details |
|---|---|
| Backend-as-a-Service Market CAGR (2023 to 2033) | 24.5% |
| Backend-as-a-Service Market Size (2023) | USD 3,011.4 million |
| Backend-as-a-Service Market Size (2033) | USD 27,016.6 million |
Developing BaaS within enterprise premises demands a higher cost of initial investment, time, and effort. Further, the complexities involved, such as mode of deployment, development, and infrastructure cost, inhibit the adoption of BaaS.
SMEs have budget constraints that hinder the transformation of the IT infrastructure. Therefore, enterprises are sometimes hesitant to opt for cloud mobile BaaS systems.
However, rising smartphone adoption, increasing specialized cloud sets, and the growing number of application drives bode well for the market in the forecast period and also act as a significant counter to the aforementioned hampering factors.
Principal Consultant
Ongoing Research and Development on BaaS is likely to offer significant opportunities to the players during the forecast period. The introduction of novel services is likely to augment the market size in the coming time.
In April 2022, FIS, a USA-based financial technology provider, announced the launch of its Banking-as-a-Service (BaaS) Hub for financial entities of all sizes. The new solution focuses on strengthening banks, fintech, and credit unions to build digital banking and payment ecosystems to offer services to merchants and customers.
Such initiatives are expected to make the market more interactive and offer significant opportunities for expansion in the coming time.
| Countries | Market Share (202) |
|---|---|
| United States | 19.3% |
| Germany | 10.1% |
| Japan | 7.7% |
| Australia | 3.2% |
As per the analysis, North America is expected to dominate the global market during the forecast period. In 2022, the region garnered 33.1% of the global market share.
The United States is expected to hold the maximum share in the backend as a service market. This is attributed to the presence of large telecom giants, renowned suppliers, and end-user industries that continuously acclimatize to newer technologies for better business productivity and work efficiency. For instance, AT&T and Oracle struck a deal in 2017 which involved the operator moving thousands of its internal databases to Oracle Cloud.
According to the analysis at FMI, the Backend-As-A-Service business in Europe is likely to be the second leading market. In 2022, the region secured a 21.9% of the global market share.
The growth of the regional market is attributed to the development of banking-as-a-service (BaaS). The United Kingdom is projected to be the leading market for banking-as-a-service (BaaS) platforms owing to the strong presence of market providers and accounts for approximately 25% of Europe’s market share.
Players in the region are taking various initiatives to strengthen the regional market. For instance, Treezor, a France-based Banking-as-a-Service (BaaS), continued to develop by obtaining an authorization extension from the French regulator (ACPR) to provide all payment services and became the first Payment and Electronic Money Institution to have every type of authorization in 2021.
| Countries | Market CAGR (2023 to 2033) |
|---|---|
| China | 26.8% |
| India | 24.9% |
The market in Asia Pacific is expected to be the significantly growing market during the forecast period. The growth of the regional market is attributed to the increasing usage of Banking-as-a-service in large organizations, along with the presence of various developing countries like India, China, and Japan.
Large organizations account for more than 50% market share in Asia Pacific and are expected to continue their domination as it is increasing its customer base by investing in digital transformation to offer tech-savvy banking operations. Other factors contributing to the market growth include the growing adoption of mobile apps, increased affordability, and surged disposable income in developing countries.
Get the data you need at a Fraction of the cost
Personalize your report by choosing insights you need
and save 40%!
Based on the platform, the BaaS market is segmented into Android, iOS, and others ( Windows, Blackberry, Titanium, HTML, and Node.js).
The iOS segment is expected to display the leading CAGR during the forecast period, while the Android platform is expected to hold the leading market size. The iOS segment expanded at a share of 53.6% in 2022.
The rapid adoption of the cloud mobile BaaS solution has resulted in an increasing number of mobile devices with platforms, such as Android, iOS, and Windows Phone, which is projected to benefit the industry in the forecast period.
Startups are expected to make a significant contribution to developing the global market. Some of the emerging names in the market include 8Base, Apache Usergrid, AWS Amplify, Back4App, Backendless, built.io Backend, Couchbase, Firebase, Parse, Kuzzle, and Kumulos, among others.
Powered by GraphQL, 8Base is a popular Cloud-Based platform amongst startups, SMBs, and large enterprises. It offers professional-grade web and mobile application development services. This BaaS platform has a vast set of features for developers. With its Command Line Interface, you easily generate custom functions and manage workspaces. Other features include Access Controls, Data Modeling, Debugging, Self-hosting, and Source Control Management.
Recent Developments by Key Players:
Key Players
The market is valued at USD 3.0 billion in 2023.
AnyPresence Inc., Kinvey Inc., and Kony Inc. are the key market players.
China dominates the growth of the backend-as-a-service market.
The rising use of smartphones and smart devices is fueling the market.
The iOS segment is likely to remain preferred through 2033.
1. Executive Summary 2. Market Overview 3. Market Background 4. Global Market Analysis 2018 to 2022 and Forecast, 2023 to 2033 5. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Service 5.1. Professional Services 5.2. Support and Maintenance 5.3. Access and Identity Management 5.4. Usage Analytics 5.5. Others 6. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Operating System 6.1. iOS 6.2. Android 6.3. Others 7. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Organization Size 7.1. Small and Medium Enterprises 7.2. Large Enterprises 8. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Industry Verticals 8.1. Banking, Financial Services, and Insurance (BFSI) 8.2. Healthcare 8.3. Retail 8.4. Manufacturing 8.5. IT and Telecom 8.6. Media and Entertainment 8.7. Public Sector 8.8. Others 9. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Region 9.1. North America 9.2. Latin America 9.3. Western Europe 9.4. Eastern Europe 9.5. South Asia and Pacific 9.6. East Asia 9.7. Middle East and Africa 10. North America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 11. Latin America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 12. Western Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 13. Eastern Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 14. South Asia and Pacific Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 15. East Asia Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 16. Middle East and Africa Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 17. Key Countries Market Analysis 18. Market Structure Analysis 19. Competition Analysis 19.1. AnyPresence Inc. 19.2. Kinvey Inc. 19.3. Kony Inc. 19.4. Appcelerator Inc. 19.5. Buddy Platform Inc. 19.6. Microsoft Corporation 19.7. KII Corporation 19.8. IBM Corporation 19.9. Oracle Corporation 19.10. Halewood International Limited 20. Assumptions & Acronyms Used 21. Research Methodology
Explore Technology Insights
View Reports
Backend-As-A-Service Market
