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Cloud Service Brokerage Market Report Scope & Overview:

Cloud Service Brokerage Market was valued at USD 10.61 billion in 2023 and is expected to reach USD 44.34 billion by 2032, growing at a CAGR of 17.28% from 2024-2032. 

This report includes insights into investment & spending trends, compliance & security, automation & AI integration, and migration & deployment speed metrics.

Cloud Service Brokerage (CSB) market is growing rapidly with enterprises demanding effective multi-cloud management tools. Market growth is being driven by increased investment in cloud infrastructure, cost savings strategies, and the need for automated provision of services. Compliance and security are still key issues driving the demand for governance policies. AI-powered automation integration is simplifying service orchestration, as better migration tools accelerate deployment speed. Since companies are focusing more on scalability and flexibility, CSB platforms have become crucial in streamlining cloud operations and supporting seamless interoperability.

U.S. Cloud Service Brokerage Market was valued at USD 3.11 billion in 2023 and is expected to reach USD 12.88 billion by 2032, growing at a CAGR of 17.09% from 2024-2032. 

The U.S. Cloud Service Brokerage Market is expanding based on the rising use of multi-cloud strategies by businesses in pursuit of cost savings, scalability, and hassle-free service integration. Increased investments in cloud infrastructure and the requirement for automated cloud management are fueling demand. Moreover, rigid regulatory compliance and cybersecurity issues are compelling businesses towards governance-oriented CSB solutions. The convergence of AI-powered automation and enhanced migration & deployment capabilities also boosts market growth, with assured optimal cloud operation and service interoperability.

Market Dynamics

Drivers

  • Growing Need for Cloud Service Brokerage Solutions to Manage Multi-Cloud Complexity, Enhance Integration, and Optimize Cloud Operations Efficiently

The widespread adoption of multi-cloud strategies has brought enormous challenges in handling heterogeneous cloud platforms effectively. Organizations use various cloud providers to increase flexibility, performance, and cost savings, but this practice imposes integration complexity, workload allocation complexity, and governance complexity. It is becoming harder to ensure flawless interoperability across different cloud environments with security and compliance intact. Cloud Service Brokerage (CSB) solutions overcome these challenges by providing centralized management, automated provisioning, and optimization capabilities. Organizations pursue brokerage services to automate cloud operations, minimize operational overhead, and achieve maximum return on investment. With businesses expanding their cloud environments further, the demand for brokerage solutions that consolidate cloud resources, increase visibility, and improve decision-making is likely to increase, rendering CSB an essential part of contemporary IT infrastructure strategies.

Restraints

  • Security Risks and Compliance Challenges Limit Cloud Service Brokerage Adoption as Businesses Struggle with Data Protection and Regulatory Requirements

Companies that handle sensitive data are beset with major issues when they use third-party cloud service brokerage providers. The threat of breaches, unauthorized use, and online attacks questions the reliance on cloud providers for core business functionalities. Compliance requirements of regulatory frameworks are strict, and thus businesses must implement data protection across various cloud infrastructures. With a broker-managed environment, visibility and security policy control is difficult to achieve. Failure to comply at any point may invite legal consequences, financial fines, and reputational loss. Moreover, companies dealing with extremely sensitive data, e.g., in health care and banking, remain especially wary of adopting brokerage services because of their possible vulnerabilities. Such fears discourage entities from embracing cloud service brokerage on a large scale despite its benefits in operations.

Opportunities

AI and Automation Transform Cloud Service Brokerage with Intelligent Management, Predictive Analytics, and Self-Service Capabilities for Enhanced Efficiency

Artificial intelligence and automation integration is transforming cloud service brokering through streamlined operations and enhanced decision-making. AI-based platforms facilitate real-time monitoring, predictive analysis, and automated resource allocation, lowering the complexity of managing multi-cloud environments. Enterprises enjoy self-service features that permit effortless provisioning, scaling, and optimization without the need for human intervention. Intelligent automation maximizes cost-effectiveness by detecting unused resources and suggesting optimizations, optimizing return on cloud investments. Further, AI-powered security features enhance compliance through anomaly detection and preemption of possible threats to avoid any adverse effects on operations. As companies keep increasing cloud usage, there is increased need for brokerage solutions that integrate AI, paving the way for wiser, adaptable, and cost-effective cloud management techniques in an ever-dynamic digital ecosystem.

Challenges

  • Vendor Lock-In Risks in Cloud Service Brokerage Limit Flexibility, Increase Costs, and Restrict Businesses from Adopting Multi-Cloud Strategies Freely

Companies embracing cloud service brokerage solutions risk vendor lock-in, which restricts them from changing vendors or cloud strategies. Most brokerage platforms are biased towards particular cloud vendors, and migrating workloads between different vendors becomes problematic. This reliance can generate higher costs, diminished bargaining power, and hindrances in taking advantage of best-in-class cloud services. Moreover, proprietary integrations and tailored workflows deepen organizations into one ecosystem, limiting scalability and long-term agility. Businesses looking for multi-cloud liberty are unwilling to be locked into brokerage solutions with non-interoperable interfaces with disparate cloud environments. To counter these fears, companies require brokerage platforms with open standards, smooth integrations, and the capability to manage various cloud providers without the limitations, providing greater operational maneuverability and strategic maneuverability.

Segment Analysis

By Platform

Internal Brokerage Enablement dominated the Cloud Service Brokerage Market in 2023, accounting for nearly 55% of the revenue share. This is propelled by companies emphasizing in-house cloud management to have improved control, security, and compliance over cloud resources. Organizations opt for internal brokerage solutions to simplify operations, maximize cloud expenditure, and bridge hybrid and multi-cloud environments without reliance on external parties. Large organizations, especially in industries with high compliance requirements such as finance and healthcare, depend on internal brokerage enablement to effectively govern clouds while maintaining data sovereignty and operational efficiency.

External Brokerage Enablement is expected to grow at the fastest CAGR of 18.16% during the forecast period from 2024 to 2032, driven by growing needs for third-party cloud management services. Companies are implementing external brokerage solutions to minimize IT complexities, increase cost savings, and gain expertise in multi-cloud optimization. Small and medium-sized businesses (SMEs) especially gain advantage from external brokerage providers since they provide managed services, automated provisioning, and vendor-agnostic cloud integration. Hybrid cloud models' emergence and increasing dependence on outsourced IT solutions further speed up the need for external brokerage enablement.

By Enterprise Size

Large Enterprises led the Cloud Service Brokerage Market in 2023, accounting for about 69% of the revenue. This is due to their intricate IT systems, large-scale multi-cloud use, and necessity for sophisticated cloud governance and cost optimization. Large businesses value security, compliance, and optimal mult cloud provider integration, which necessitates brokerage services for cloud optimization. In addition, these companies heavily invest in tailored brokerage solutions to optimize operations, guarantee scalability, and improve overall cloud performance with rigorous regulatory compliance.

Small and Medium-Sized Enterprises (SMEs) are anticipated to grow at the fastest CAGR of 18.93% during the period 2024-2032 owing to rising cloud adoption and the demand for cost-efficient IT management. SMEs utilize third-party cloud brokerage services to minimize operational complexity, streamline cloud expenses, and gain access to multi-cloud features without extensive in-house IT staff. The increasing need for managed services, automation, and easy cloud integration compels SMEs to implement brokerage solutions, allowing them to scale effectively and stay competitive in the digital economy.

By End-use

IT and telecom led the Cloud Service Brokerage Market in 2023 and held around 28% market revenue share. This is fuelled by the industry's substantial dependence on cloud infrastructure, vast adoption of multi-cloud environments, and the urgency for smooth orchestration of services. IT and telecom firms need cloud brokerage capabilities to orchestrate hybrid cloud environments, optimize networks, and leverage scalability. Further, growing demand for 5G networks, edge computing, and data-driven applications has also fueled the need for effective cloud brokerage services in this market.

Energy and Utilities is expected to grow at the fastest CAGR of 22.38% during the period from 2024 to 2032 as a result of the growing digital transformation and movement of the sector towards cloud-based solutions. The increasing uptake of smart grids, IoT-based energy management, and predictive analytics necessitates cost-effective cloud service brokerage for easy integration and cost optimization. With increasing investments in distributed energy resources and renewable energy, cloud brokerage facilitates real-time monitoring, operational efficiency, and improved security, leading to spurring market growth in this segment at a fast pace.

By Deployment

The Public cloud segment led the Cloud Service Brokerage Market in 2023 with around 48% of the revenue share. This is attributed to the massive use of public cloud services by businesses for scalability, cost savings, and minimal infrastructure management. Businesses in all industries utilize public cloud platforms for flexibility, quicker deployment, and lower capital outlay. Cloud service brokerage offerings are key to maximizing multi-cloud strategies, subscription management, and seamless integration among different public cloud providers, again driving market leadership.

The Hybrid cloud is expected to grow at the fastest CAGR of 19.39% during the forecast period of 2024-2032 as a result of rising enterprise needs for flexible and secure cloud solutions. Companies are using hybrid cloud platforms to reconcile cost-effectiveness with data protection, while providing full workload mobility. Cloud service brokerage solutions assist hybrid environments by incorporating centralized governance, automated provisioning, and real-time optimization. When industries focus on digital transformation, hybrid cloud take-up is being driven by enhanced brokerage services as a means of streamlining functions.

By Service

The Integration and Support segment led the Cloud Service Brokerage Market in 2023, accounting for about 24% of the revenue share. This is fueled by the growing complexity of multi-cloud environments, necessitating smooth integration across multiple platforms and legacy systems. Businesses value brokerage solutions that offer end-to-end support for cloud migration, deployment, and management. The need for interoperability, workflow automation, and tailored integration solutions also consolidates the leadership of this segment, as companies aim to maximize performance and streamline operations across disparate cloud environments.

The Security and Compliance segment is anticipated to grow at the fastest CAGR of 19.06% over the forecast period from 2024 to 2032 because of increased concerns regarding data security and regulatory compliance within the cloud environment. Firms in various sectors are under strict data security mandates, compelling demand for cloud brokerage solutions with the ability to fulfill industry regulations. As threats expand from cyber sources, companies look for brokerage services offering risk mitigation, identity management, and ongoing security monitoring. With growing cloud adoption, security-oriented brokerage solutions are needed, propelling growth in this area.

Regional Analysis

North America led the Cloud Service Brokerage Market in 2023 with a revenue share of about 41%. This is due to the robust adoption of cloud in the region, availability of prominent cloud service providers, and well-developed IT infrastructure. Companies in various sectors utilize cloud brokerage solutions for multi-cloud management, security, and cost savings. The intense demand for digital transformation coupled with stringent regulatory compliances further boosts market growth. Also, growing investments in AI-based cloud services and hybrid cloud solutions are responsible for the region's dominance.

Asia Pacific is anticipated to expand at the fastest CAGR of 19.65% during 2024-2032 as a result of fast-paced cloud adoption, growing digital economies, and rising demand for affordable IT solutions. Companies in the region are migrating to multi-cloud environments, fueling the demand for brokerage services that facilitate improved cloud management and security. Government policies favoring cloud infrastructure, increasing investment in AI and automation, and increasing SME adoption of cloud technologies further drive market growth. Increased dependence on hybrid cloud models also drives demand for brokerage services in the region.

Key Players

  • Accenture (Accenture Cloud Platform, Accenture Hybrid Cloud)

  • IBM (IBM z/OS Cloud Broker, IBM Cloud Pak for Integration)

  • Broadcom (VMware Cloud Foundation, VMware vRealize Suite)

  • Arrow Electronics (ArrowSphere, Arrow Cloud Management Platform)

  • Fujitsu (Fujitsu Cloud Services Management, Fujitsu Hybrid IT Service)

  • DXC Technology (DXC Agility Platform, DXC Cloud Services for Azure)

  • Wipro (Wipro HOLMES Cloud Management Platform, Wipro BoundaryLess Enterprise)

  • Eviden (Eviden Cloud Brokerage Platform, Eviden Multi-Cloud Orchestrator)

  • AWS (AWS Service Catalog, AWS Control Tower)

  • Infosys (Infosys Integration-as-a-Service, Infosys Polycloud Platform)

  • NTT Data (NTT Data Cloud Management Platform, NTT Data Cloud Lifecycle Manager)

  • TCS (TCS Cloud Exponence, TCS Hybrid Cloud Services)

  • Tech Mahindra (Tech Mahindra Cloud BlazeTech, Tech Mahindra mPAC 3.0)

  • BMC Software (BMC Helix Cloud Cost, BMC Cloud Lifecycle Management)

  • Flexera (Flexera App Portal, Flexera Cloud Management Platform)

  • Jamcracker (Jamcracker Cloud Management Platform, Jamcracker Cloud Services Brokerage)

  • Cloudmore (Cloudmore Cloud Service Brokerage Platform, Cloudmore Subscription Management)

  • Eshgro (Eshgro Cloud Services Brokerage, Eshgro Cloud Management Platform)

  • OpenText (OpenText Cloud Managed Services, OpenText Hybrid Cloud)

  • Incontinuum (Incontinuum CloudController, Incontinuum Cloud Management Suite)

  • Compunnel (Compunnel Cloud Services, Compunnel Cloud Management Solutions)

  • Shivaami (Shivaami Cloud Email Security, Shivaami Cloud Backup Solutions)

  • Bittitan (Bittitan MigrationWiz, Bittitan Voleer)

  • Capgemini (Capgemini Cloud Choice, Capgemini Cloud Assessment Framework)

  • Oracle (Oracle Cloud Infrastructure, Oracle Cloud Marketplace)

  • Cignex (Cignex Cloud Integration Services, Cignex Cloud Migration Services)

  • ActivePlatform (ActivePlatform Cloud Brokerage Solution, ActivePlatform Reseller Portal)

  • CloudFX (CloudFX CloudSelect, CloudFX Cloud Assessment)

  • CloudBolt (CloudBolt Cloud Management Platform, CloudBolt Command and Control)

  • CloudSME (CloudSME CloudBroker Platform, CloudSME Simulation Platform)

Recent Developments:

  • At VMware Explore 2024 Barcelona, Broadcom introduced expanded VMware Cloud Foundation services, enhancing AI-driven applications, cybersecurity, and sovereign cloud adoption. New features include Tanzu Data Services for better data management and VMware Live Recovery for cyber resilience.

  • In 2023, Arrow Electronics introduced new updates to its ArrowSphere cloud platform, adding GreenOps, FinOps, and SecOps dashboards to improve sustainability, cost optimization, and security for channel partners. These updates support the shift to XaaS.
     

    Cloud Service Brokerage Market Report Scope:
    Report Attributes Details
    Market Size in 2023 US$ 10.61 Billion
    Market Size by 2032 US$ 44.34 Billion
    CAGR CAGR of 17.28% From 2024 to 2032
    Base Year 2023
    Forecast Period 2024-2032
    Historical Data 2020-2022
    Report Scope & Coverage Market Size, Segments Analysis, Competitive  Landscape, Regional Analysis, DROC & SWOT Analysis, Forecast Outlook
    Key Segments • By Service (Integration and Support, Automation and Orchestration, Billing and Provisioning, Migration and Customization, Security and Compliance, Others)
    • By Platform (Internal Brokerage Enablement, External Brokerage Enablement)
    • By Deployment (Private, Public, Hybrid)
    • By Enterprise Size (Large Enterprises, Small and Medium-sized Enterprises)
    • By End-use (IT and Telecom, BFSI, Government and Public Sector, Healthcare, Consumer Goods and Retail, Manufacturing, Energy and Utilities, Others)
    Regional Analysis/Coverage North America (US, Canada, Mexico), Europe (Eastern Europe [Poland, Romania, Hungary, Turkey, Rest of Eastern Europe] Western Europe] Germany, France, UK, Italy, Spain, Netherlands, Switzerland, Austria, Rest of Western Europe]), Asia Pacific (China, India, Japan, South Korea, Vietnam, Singapore, Australia, Rest of Asia Pacific), Middle East & Africa (Middle East [UAE, Egypt, Saudi Arabia, Qatar, Rest of Middle East], Africa [Nigeria, South Africa, Rest of Africa], Latin America (Brazil, Argentina, Colombia, Rest of Latin America)
    Company Profiles Accenture, IBM, Broadcom, Arrow Electronics, Fujitsu, DXC Technology, Wipro, Eviden, AWS, Infosys, NTT Data, TCS, Tech Mahindra, BMC Software, Flexera, Jamcracker, Cloudmore, Eshgro, OpenText, Incontinuum, Compunnel, Shivaami, Bittitan, Capgemini, Oracle, Cignex, ActivePlatform, CloudFX, CloudBolt, CloudSME