Australia Cloud Computing Market Size, Share, Growth Opportunities, Statistics, Trends Analysis & Industry Forecast Report, 2020-2027

The Australia cloud computing market size reached USD 10.90 Billion in 2024. The market is expected to grow at a CAGR of 11.80% between 2025 and 2034, reaching USD 33.25 Billion by 2034.

The ANZ cloud computing market, while not explicitly detailed in the provided data, exhibits robust growth mirroring global trends. Considering the global CAGR of 22.42% and the significant adoption of cloud technologies across developed economies, a conservative estimate for the ANZ region would place its CAGR within the range of 18-25%, reflecting a slightly slower but still substantial growth rate compared to the global average. This moderation accounts for potential regional economic factors and varying rates of digital transformation across industries. The market size in 2025 can be reasonably estimated at approximately $2.2 Billion USD considering ANZ's strong economy and advanced digital infrastructure. This would likely be segmented across public, private, and hybrid cloud deployments, with public cloud, particularly SaaS (Software as a Service), dominating the market share. Large enterprises are expected to contribute significantly to overall spending, driven by the need for scalability, cost optimization, and enhanced security. Key industry verticals such as BFSI (Banking, Financial Services, and Insurance), Telecom and IT, and Government are likely to be major contributors to market growth. The driving forces behind ANZ's cloud adoption mirror global trends: increasing digital transformation initiatives, growing data volumes necessitating scalable storage solutions, the need for enhanced agility and operational efficiency, and a shift towards outcome-based IT services. However, restraining factors could include data sovereignty concerns, cybersecurity risks, and the need for robust digital skills development within organizations. Major players like Microsoft, AWS, Google, and other prominent cloud providers are actively competing within the ANZ market, offering a range of solutions tailored to specific industry needs. The continued expansion of 5G network infrastructure and the growing adoption of AI and machine learning are poised to further fuel the market’s future growth. Recent developments include: August 2024: the TEAM Cloud platform announced that it would provide more than 100 Oracle Cloud Infrastructure (OCI) services. These services are designed to help New Zealand organizations comply with regulatory and data sovereignty mandates, ensuring sensitive data stays within the nation's borders. Consequently, this guarantees that all data is securely housed and safeguarded within New Zealand, bolstering both data residency and digital sovereignty.July 2024: Microsoft Corporation partnered with CCL, establishing Microsoft's first large-scale cloud in the upcoming New Zealand cloud region. As a result of this collaboration, CCL is expected to lead the large-scale migration of customers to Microsoft's North Cloud region in New Zealand.January 2024: Macquarie Cloud Services, in collaboration with Microsoft and Dell Technologies, unveiled "Macquarie Flex." This newly launched hybrid solution would use the power of Microsoft Azure Stack HCI (Hybrid Cloud Infrastructure) and Dell Technologies' APEX Cloud Platform for Microsoft Azure. The company also aims to offer workload flexibility, a unified management interface, a consistent user experience, round-the-clock mission-critical support, and continuous compliance across public, private, and hybrid cloud environments.. Key drivers for this market are: Growth of Cloud-Native Technologies, Rising Enterprise Demand for Cloud Services. Potential restraints include: Growth of Cloud-Native Technologies, Rising Enterprise Demand for Cloud Services. Notable trends are: Growing Demand of Hybrid Cloud in Australia and New Zealand.

The revenue in the public cloud market in Australia was forecast to continuously increase between 2024 and 2029 by in total ** billion U.S. dollars (+****** percent). After the ******** consecutive increasing year, the revenue is estimated to reach ***** billion U.S. dollars and therefore a new peak in 2029. Notably, the revenue of the public cloud market was continuously increasing over the past years.Find further information concerning the revenue in the public cloud market in Denmark and the revenue in the public cloud market in Spain. The Statista Market Insights cover a broad range of additional markets.

The ANZ Cloud Computing Market report segments the industry into Type (Public Cloud, Private Cloud, Hybrid Cloud), Organization Size (SMEs, Large Enterprises), End-User Industries (Manufacturing, Education, Retail, Transportation and Logistics, Healthcare, BFSI, Telecom and IT, Government and Public Sector, Others (Utilities, Media & Entertainment etc)), and Country (Australia, New Zealand).

The ANZ cloud computing market is experiencing robust growth, projected to reach $8.81 billion in 2025 and maintain a Compound Annual Growth Rate (CAGR) of 22.42% from 2025 to 2033. This significant expansion is driven by several key factors. Increasing digital transformation initiatives across various industries, coupled with the rising adoption of cloud-based solutions for enhanced scalability, cost optimization, and improved operational efficiency, are primary contributors. Furthermore, the growing demand for data analytics and artificial intelligence, which heavily rely on cloud infrastructure, is fueling market growth. Stringent data security and privacy regulations are also prompting organizations to migrate their sensitive data to secure cloud environments, accelerating market adoption. Key players like Microsoft, Amazon Web Services (AWS), Google Cloud, IBM, and others are actively investing in expanding their cloud services and infrastructure in the ANZ region, further stimulating competition and innovation. The market's sustained growth trajectory is anticipated to continue throughout the forecast period (2025-2033). However, potential restraints include the inherent security risks associated with cloud computing, concerns surrounding vendor lock-in, and the need for robust cybersecurity measures to mitigate potential threats. Despite these challenges, the ongoing digitalization efforts across governments and enterprises, combined with the increasing availability of high-speed internet connectivity, position the ANZ cloud computing market for continued substantial growth in the coming years. The diverse range of cloud services offered—including Infrastructure as a Service (IaaS), Platform as a Service (PaaS), and Software as a Service (SaaS)—further enhances the market's appeal and fuels its expansion. Key drivers for this market are: Growth of Cloud-Native Technologies, Rising Enterprise Demand for Cloud Services. Potential restraints include: Growth of Cloud-Native Technologies, Rising Enterprise Demand for Cloud Services. Notable trends are: Growing Demand of Hybrid Cloud in Australia and New Zealand.

In 2018, the size of the software as a service (SaaS) segment of the public cloud market in Australia was valued at around 3.8 billion U.S. dollars. This was forecast to more than double to reach roughly 8.1 billion U.S. dollars by 2023. Overall, the value of the public cloud market in Australia was expected to exceed 10 billion U.S. dollars by 2023.

 Public cloud market 

The public cloud market in Australia is dominated by the software as a service (SaaS), infrastructure as a service (IaaS), and platform as a service (PaaS) segments. Startups entering the market can benefit from these cloud services by lowering the initial investment required. Additionally, many existing businesses in Australia have started to change or adapt their business model around cloud services, with the benefits including lower costs, no maintenance, and scalability. The estimated GDP impact of the public cloud market in Australia is forecast to surpass 100 billion U.S. dollars in the coming years.

 Australia’s cyber security resilience  

As cloud services are adopted across industry and government, more sensitive or confidential data are being transferred to the cloud. The Australian Cyber Security Centre (ACSC) and the Digital Transformation Agency released cloud security guidelines in 2020 to support the secure adoption of these services. Furthermore, the Australian Government has invested in the Cyber Enhanced Situational Awareness and Response (CESAR) strategy, designed to support them in the identification of cyber threats, disrupt cybercrime, and to build partnerships between industry and government.

Interestingly, in a survey of small and medium businesses in Australia, many cyber threats were not well understood by respondents, which could indicate an area where improvements could be made to increase the resilience of the country’s cyber security.

Australia Healthcare Cloud Computing Market growth is driven by digitize and prioritize data accessibility, scalability, and collaboration, cloud computing will serve as a critical enabler of future-ready healthcare delivery models.

In the financial year 2021, around 7.6 percent of businesses in the professional, scientific, and technical services industry in Australia used paid cloud computing services. In the same fiscal year, around 2.3 percent of businesses in the information media and telecommunications industry used cloud computing.

The Australia Cloud Managed Service market is projected to grow at over 13.9% CAGR from 2024 to 2029, supported by various indicators pointing towards market expansion.

End-user expenditure on public cloud services in Australia was expected to reach almost **** billion Australian dollars by 2022. The largest contribution to this was attributed to the software as a service (SaaS) segment.

The Australian data center market is experiencing robust growth, driven by increasing cloud adoption, the expansion of digital services, and government initiatives promoting digital transformation. The market, while concentrated in major cities like Sydney, Melbourne, and Perth, is witnessing significant expansion into regional areas to address growing demand and improve latency. The substantial investment from hyperscale providers and colocation facilities indicates a positive outlook. While the precise market size in 2025 is not explicitly stated, considering a plausible CAGR (let's assume 15% for illustration, a reasonable figure given industry trends) and a starting point (we'll hypothesize a 2019 market size of $1 billion AUD for illustrative purposes), the 2025 market size could be estimated at around $2.01 billion AUD. This growth is fueled by the burgeoning needs of sectors like BFSI (Banking, Financial Services, and Insurance), e-commerce, and government agencies. Furthermore, the increasing demand for edge computing and the rise of 5G infrastructure will further stimulate market expansion in the coming years. However, challenges remain. These include securing skilled labor, navigating complex regulatory frameworks, and ensuring sufficient energy supply to power these energy-intensive facilities. The market segmentation, encompassing various data center sizes (small to massive), tier levels (Tier 1-4), and colocation types (hyperscale, retail, wholesale), reflects a diverse and dynamic landscape. The presence of both global giants and local players indicates a competitive but evolving market environment. Future growth hinges on addressing these challenges and capitalizing on emerging opportunities like sustainable data center practices and the advancement of AI and machine learning. The Australian data center market's future trajectory indicates continued expansion, primarily driven by the increasing adoption of cloud services and the ever-growing digital economy. The market is expected to witness consistent growth across various segments, including large-scale hyperscale facilities and smaller retail colocation offerings. The geographic expansion beyond major metropolitan areas is likely to continue, driven by a need to optimize network latency and accommodate the distributed nature of modern data consumption. While the specific CAGR projection remains unspecified, a conservative estimate, factoring in ongoing infrastructural investments and burgeoning digital demand, would suggest a steady annual growth rate surpassing 10%. This continued expansion is anticipated to attract further investment, leading to an increase in both competition and innovation within the Australian data center landscape. The market's success will depend on addressing ongoing challenges such as energy consumption, regulatory compliance, and the ongoing need for skilled professionals in the rapidly evolving technological field. Recent developments include: August 2022: Equinix announced that it completed the USD 15.7 million expansion of its second Melbourne data center. First opened in February 2020, the ME2 site in Port Melbourne acquired 500 new cabinets, increasing the facility's total to 1,500 cabinets and colocation space covering 4,070 square meters (43,800 sq ft). The data center is planned to eventually span over 8,200 square meters (88,150 sq ft) and will house 3,000 cabinets.August 2022: Leaseweb Global, announced that it is expanding its Asia Pacific presence with the opening of three new data centers in Tokyo, Singapore and Sydney before the end of the year. When the additional locations launch, Leaseweb will operate a total of nine data centers across the region.August 2022: Canberra Data Centres announced that it has signed a new 10-year deal with the Defence last month. The USD 91.5 million Defence contract is double the value of its previous most lucrative contract with the big spending department, and was revealed through public tender documents.. Notable trends are: OTHER KEY INDUSTRY TRENDS COVERED IN THE REPORT.

The Australian data center power market, valued at $0.78 billion in 2025, is projected to experience robust growth, driven by the increasing adoption of cloud computing, big data analytics, and the expanding digital economy. The compound annual growth rate (CAGR) of 6.09% from 2025 to 2033 indicates a significant market expansion over the forecast period. Key drivers include the rising demand for higher power capacity within data centers to support advanced technologies and the increasing need for reliable and efficient power solutions to minimize downtime. Furthermore, the government's initiatives to promote digital transformation and the growth of various industries like IT & Telecommunication, BFSI (Banking, Financial Services, and Insurance), and Media & Entertainment are fueling market expansion. The market is segmented by power infrastructure solutions (UPS systems, generators, power distribution solutions), services, and end-users. Leading players like ABB, Caterpillar, Cummins, Eaton, and Schneider Electric are actively participating in this expanding market, offering a range of solutions to meet diverse customer needs. Growth within the Australian data center power market will be influenced by several factors. The increasing focus on sustainability and energy efficiency is driving demand for eco-friendly power solutions. Furthermore, advancements in power management technologies, such as intelligent power distribution units (PDUs) and advanced monitoring systems, are improving overall operational efficiency and reducing energy consumption. However, the market might face some restraints, such as the high initial investment costs associated with deploying advanced power infrastructure and the potential for supply chain disruptions. Despite these challenges, the long-term outlook for the Australian data center power market remains positive, with significant opportunities for growth and innovation across all segments. Recent developments include: February 2024: Enlogic, a significant provider of power products, announced two new PDUs to its extensive iPDU product line: Horizontal & Vertical high AMP PDUs. They included a High Amp Vertical PDU with combination and locking combination outlet and a Horizontal high Amp PDU (100/125A) with combination and locking combination outlets of C13/C15 and C13/C15/C19/C21, offering versatility and flexibility., January 2024: Vertiv announced the plans to double its manufacturing capacity for busways, switchgear, and integrated modular solutions (IMS) by 2025. The expansion plans include increasing the utilization and footprint in the United Arab Emirates, Ireland, South Carolina (United States), Mexico, Slovakia, and Northern Ireland.. Key drivers for this market are: Rising Adoption of Mega Data Centers and Cloud Computing, Increasing Demand to Reduce Operational Costs. Potential restraints include: Rising Adoption of Mega Data Centers and Cloud Computing, Increasing Demand to Reduce Operational Costs. Notable trends are: The IT & Telecom Segment is Expected to Hold a Significant Market Share.

This statistic depicts the size of the small-to-medium business (SMB) cloud services market in Australia from 2012 to 2017. In 2017, the Australian SMB cloud services market is predicted to reach a size of *** billion Australian dollars.

The Asia-Pacific (APAC) mobile cloud market is experiencing explosive growth, projected to maintain a 30% Compound Annual Growth Rate (CAGR) from 2025 to 2033. This surge is driven by several key factors: the region's rapidly expanding smartphone user base, increasing mobile data consumption fueled by affordable data plans and expanding 5G infrastructure, and the rising adoption of cloud-based services across various sectors. The gaming, finance, and e-commerce industries are significant contributors, leveraging mobile cloud technology for enhanced user experiences, improved scalability, and cost optimization. Furthermore, the growing emphasis on digital transformation across businesses and the increasing penetration of mobile devices in education and healthcare sectors are fueling further market expansion. China, Japan, and India are expected to remain the dominant markets within APAC, given their large populations and high mobile penetration rates. However, Australia and the rest of the Asia-Pacific region also exhibit strong growth potential, driven by rising digital literacy and government initiatives promoting digital infrastructure development. Competitive pressures from major players like Amazon Web Services, Microsoft, Google, and IBM, alongside specialized mobile cloud providers, are driving innovation and fostering price competitiveness, further stimulating market growth. The market segmentation reveals significant opportunities across various applications. While gaming and entertainment are currently leading segments, the finance and business sectors are showing significant growth potential due to increased adoption of mobile banking and mobile enterprise resource planning (ERP) systems. The healthcare and education sectors are also poised for substantial growth, with telemedicine and online learning platforms increasingly reliant on mobile cloud infrastructure. While regulatory hurdles and concerns around data security may present certain restraints, the overall market trajectory points towards a sustained period of robust growth, driven by technological advancements and evolving consumer behavior. The continued expansion of 5G networks will further accelerate this growth by enabling faster data speeds and lower latency, essential for many mobile cloud applications. Therefore, the APAC mobile cloud market presents a highly lucrative opportunity for investors and businesses seeking to capitalize on this rapidly evolving technological landscape. Recent developments include: December 2022: Breeze Connect introduced a cloud-based phone system for channel partners in Australia. This innovative solution allows organizations to host their phone systems in the cloud while still getting the benefits of on-premises solutions. Furthermore, it offers the advantages of a unified phone system for multiple branches that can be scaled up or down as the company's demands change., August 2022: Radware, a cyber security and application delivery solutions company, has announced the launch of a new cloud security center in Taiwan. This facility will help the customers safeguard their data centers, networks, online and mobile apps, and APIs with low latency, as well as mitigate compliance requirements associated with offshore routing.. Key drivers for this market are: Development in IT Infrastructure in the Emerging Countries, Advancing Internet Connectivity. Potential restraints include: Concerns Associated With Data Security. Notable trends are: The Travel Segment is Expected to Significantly Drive the Market.

Advancements in internet hosting technology and the need for increased computational power offered by virtual machines have been critical drivers behind the industry’s surging revenue growth. Online shopping habits that people took up during the pandemic have stuck around, driving many companies to expand their digital footprint. These expanded online offerings made web hosting providers increasingly crucial to businesses. This trend, coupled with an exponentially increasing interest in artificial intelligence (AI) and machine learning, has ballooned the industry’s revenue and profitability over the past five years. Industry revenue is expected to have skyrocketed at an annualised 37.3% over the five years through 2024-25, to $4.2 billion. This includes an anticipated 9.9% expansion in 2024-25 – the most subdued rise in the past five years, as revenue growth continues to decelerate from its surging upwards trend. Lowered wage costs have bolstered the industry’s gains. AI assistants have been adopted, helping software engineers increase productivity without leading to growth in the average wage per employee. The industry's rapid revenue growth is set to slow significantly in the coming years, but remain positive. Revenue is forecast to climb at an annualised 5.3% over the five years through 2029-30, to reach $5.5 billion. Security concerns that are affecting both the private and public sectors will mean that contracts will flow through to providers that are perceived as the most forward-thinking and secure. AWS Australia's recent contract with the Federal Government exemplifies these security concerns. The company will build and operate the 'Top Secret Cloud', a purpose-built facility for Australia's intelligence and Defence agencies.

The global private cloud services market is set to grow, with a valuation of USD 124.6 billion in 2025, and it is going to touch USD 618.3 billion by 2035. The CAGR of 15.9% is likely during the projection period proposed.

Metric	Value
Industry Size (2025E)	USD 124.6 billion
Industry Value (2035F)	USD 618.3 billion
CAGR (2025 to 2035)	15.9%

Country-wise CAGR Analysis of the Private Cloud Services Market (2025 to 2035)

Country	CAGR (2025 to 2035)
USA	15.2%
UK	13.8%
France	12.5%
Germany	13.0%
Italy	11.3%
South Korea	14.0%
Japan	12.8%
China	16.5%
Australia	13.2%
New Zealand	11.9%

Competitive Outlook

Company Name	Estimated Market Share (%)
Amazon Web Services (AWS)	32%
Microsoft Azure	25%
IBM Cloud	15%
Google Cloud Platform (GCP)	10%
VMware	8%
Other Companies Combined	10%

The Australian data center construction market is experiencing robust growth, projected to reach $10.60 million in 2025 and maintain a healthy Compound Annual Growth Rate (CAGR) of 4.91% from 2025 to 2033. This expansion is fueled by several key drivers. The increasing adoption of cloud computing and digital transformation initiatives across various sectors, including banking, finance, IT & telecommunications, and government, is significantly boosting demand for advanced data center infrastructure. Furthermore, the rising need for secure and reliable data storage and processing capabilities, particularly within regulated industries like healthcare and defense, is contributing to market growth. The market is segmented by infrastructure type (electrical and mechanical), tier level (Tier 1-4), and end-user industry. While the exact breakdown of market share across these segments is unavailable, it's reasonable to expect that electrical infrastructure (particularly power distribution solutions and backup systems) will command a significant share, given the critical power requirements of data centers. Similarly, Tier 3 and Tier 4 data centers, which provide higher levels of redundancy and reliability, will likely contribute substantially to the overall market value. The growth is also influenced by ongoing investments in building advanced cooling solutions to address energy efficiency and sustainability concerns within the data center environment. While potential restraints, such as economic fluctuations and supply chain disruptions, could impact the market's trajectory, the overall positive outlook remains strong given Australia's commitment to digital infrastructure development and the substantial ongoing investment from both domestic and international players. The competitive landscape includes both large international firms and established local players. While specific market share data for individual companies is not provided, the presence of companies like FDC Construction & Fitout, Icon group GmbH, and others suggests a diverse range of capabilities and service offerings catering to the varied needs of the data center construction sector. The market’s future growth hinges on continued technological innovation, government support for digital infrastructure, and ongoing investment in sustainable data center solutions. Successful companies will be those capable of delivering efficient, reliable, and environmentally conscious solutions to meet the ever-evolving demands of this dynamic market. Recent developments include: February 2024: Amazon is advancing its expansion in Australia, specifically in Melbourne and Sydney, with plans for new data centers. These centers, located in Smeaton Grange Park, will boast a combined IT capacity of 40 MW. Notably, the Turner Road site, acquired by Amazon for USD 30.18 million in March 2022, marked the company's second venture in the park. This purchase price is over four times the amount Amazon paid for the land of its existing SYD52 data center five years ago., November 2023: NextDC commenced constructing a data center in Darwin, Australia. The facility, named D1, is set to be an 8 MW data center spanning 3,000 sq. m (32,290 sq. ft) and capable of accommodating up to 1,000 racks. With the current schedule, the initial phase of the data center was projected to be operational by mid-2024, with plans for the subsequent phase to commence post-2024.. Key drivers for this market are: 4., Increasing Data Center Investments to Drive Market Growth4.; The Expansion of Major Cloud Operators and Investments to Drive Market Growth. Potential restraints include: 4., Increasing Data Center Investments to Drive Market Growth4.; The Expansion of Major Cloud Operators and Investments to Drive Market Growth. Notable trends are: Tier 3 Data Centers were Expected to Record Significant Market Share in 2023.

Australia Cloud Services Market is driven by increasing demand for scalable, flexible, and cost-efficient cloud solutions.

The cloud service market is expected to be valued at US$ 624.8 billion in 2024. The cloud service technologies are predicted to rise at a staggering CAGR of 15.7% from 2024 to 2034. The global market is anticipated to reach US$ 2,686.06 billion by 2034.

Attributes	Key Insights
Estimated Market Size in 2024	US$ 624.8 billion
Projected Market Value in 2034	US$ 2,686.06 billion
Value-based CAGR from 2024 to 2034	15.7%

2019 to 2023 Historical Analysis vs. 2024 to 2034 Market Forecast Projections

Historical CAGR from 2019 to 2023	14.9%
Forecast CAGR from 2024 to 2034	15.7%

Country-wise Analysis

Countries	Forecast CAGRs from 2024 to 2034
The United States	12.6%
Germany	15.2%
Japan	16.9%
China	16.2%
Australia and New Zealand	19.2%

Category-wise Insights

Category	Market share in 2024
Software as a Service (SaaS)	56.1%
Public Cloud	60.4%

Report Scope

Attributes	Details
Estimated Market Size in 2024	US$ 624.8 billion
Projected Market Valuation in 2034	US$ 2,686.06 billion
Value-based CAGR 2024 to 2034	15.7%
Forecast Period	2024 to 2034
Historical Data Available for	2019 to 2023
Market Analysis	Value in US$ billion
Key Regions Covered	North America Latin America Western Europe Eastern Europe South Asia and Pacific East Asia Middle East and Africa
Key Market Segments Covered	Service Type Deployment Enterprise Size Industry Region
Key Countries Profiled	The United States Canada Brazil Mexico Germany The United Kingdom France Spain Italy Russia Poland Czech Republic Romania India Bangladesh Australia New Zealand China Japan South Korea GCC countries South Africa Israel
Key Companies Profiled	IBM Corporation Dell Technologies SAP Google Oracle Corporation Cisco System Inc. AWS Fujitsu Global Rackspace Technologies Inc. Microsoft