Cloud Video Conferencing Market, Size, Share, Growth, and Industry Growth, By Type (SVC Type and AVC Type), By Application (Education (Public/Private), Consulting/Professional Services, Government (Non-Military), Manufacturing, Financial Services, and Healthcare), Regional Insights, and Forecast To 2031

Updated On: 08 July 2024

CLOUD VIDEO CONFERENCING MARKET REPORT OVERVIEW

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The global cloud video conferencing market size is expected to be USD 7062.10 million in 2021 and is projected to touch USD 20052.27 million by 2031, exhibiting a CAGR of 11.0% during the forecast period.

Cloud video conferencing is video conferencing through cloud-based digital solutions. It allows companies, businesses, or individuals to hold an instant video meeting with anyone with an internet connection. The cloud-based term refers to applications, services, or available resources to users on-demand through the internet. It is a real-time video session between two or more users. The integration of this developed technology is forecasted to gain more customers in the global market and surge growth in the market. Additionally, the rising need for management of a virtual workforce, cloud-based collaboration platforms, and video communication is likely to aid market growth.

Video conferencing is used for business meetings with clients or employees from different cities or countries. These online meetings reduce the costs and also help in experiencing sophisticated video conferencing. Moreover, video conferencing reduces various expenses such as electricity charges, workspaces, snacks, and beverages supply, which will likely gain traction in the global market. Furthermore, it saves millions of travel expenses for companies that are spread worldwide. The companies are adopting video collaborations to make faster decisions and to control the high costs associated with traveling.

Covid-19 Impact: Remote Working Policy Encouraged Video Conferencing Software Adoption

The global COVID-19 pandemic has been unprecedented and staggering, with cloud video conferencing experiencing higher-than-anticipated demand across all regions compared to pre-pandemic levels. The sudden spike in CAGR is attributable to the cloud video conferencing market growth and demand returning to pre-pandemic levels once the pandemic is over.

The pandemic affected all the industries, including automotive, agricultural, services, transport, and others. The outbreak of COVID-19 resulted in the postponement of various business events, including trade exhibitions, product launches, international seminars, and others. Corporate companies adopted the Livestream communication solutions such as Zoom, WebEx, Google Meet, and others to host events involving market growth. The government imposed various laws to control the spread of the virus. To avoid spreading the virus, many industries adopted the remote working policy. The market of cloud video conferencing witnessed a positive impact due to increased demand for conferencing software.

LATEST TRENDS

"Rising Video Banking Adoption to Drive Market Trends"

The increasing popularity of online and mobile banking among consumers is expected to fuel the expansion of the cloud video conferencing market growth. Most businesses are installing video banking solutions. Video banking services can help customers save time and money; thus, adopting cloud video conferencing is expected to boost the market growth. Video banking also improves operational efficiency by allowing users to interact safely with distant clients and coworkers. As a result, customer care agents, financial advisors, loan officers, and others working in the finance and banking sector are rapidly using visual communication solutions. Furthermore, key providers are creating new products to address the expanding demand for video financial services in the banking and financial sector, which will likely aid the cloud video conferencing market growth.

CLOUD VIDEO CONFERENCING MARKET SEGMENTATION

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• By Type Analysis

By type, the market is segmented into SVC type and AVC type.

• By Application Analysis

Based on application, the market is classified into education (public/private), consulting/professional services, government (non-military), manufacturing, financial services, and healthcare.

DRIVING FACTORS

"Launch of 5G Network to Pave Growth in the Market"

The launch of the 5G network is forecasted to boost the adoption of cloud video conferencing as it offers reliable and quick service. This network provides an enhanced experience with high-speed internet connectivity. Various data-intensive applications as a Business 2 Business and as an individual are driving the demand for VR, AR, and other video applications. Various industries such as retail, IT, automotive, BFSI, healthcare, and other industries require different types of cloud video conferencing, which is anticipated to propel the market growth. Moreover, educational institutes are also adopting the distance learning culture as an alternative to traditional classrooms. Furthermore, software including Microsoft Office, Adobe, and others guides users to access online classes on their personal computers, mobiles, laptops, or tablets. This rapid adoption of advanced technology is forecasted to surge growth in the market. 

"The Inclination Toward Work from Home Policy to Aid Service Demand"

Various industries are adopting the work-from-home policy as it seems more reliable and saves a lot of space, supplies, maintenance charges, and other miscellaneous spending. The adoption of remote working escalated the demand for cloud video conferencing due to the meeting taking place on video conferencing applications such as Zoom, WebEx, Google meet, and others. Moreover, remote working was proven beneficial for the employees and the organization as it saves electricity, office space, supplies, and maintenance costs. Many IT companies have successfully adopted the hybrid work culture and allowed their employees to work flexible hours. These factors are forecasted to aid cloud video conferencing market growth.

RESTRAINING FACTORS

"Technical Glitches to Limit Market Growth"

A lack of effective communication tools is anticipated to hinder employee productivity severely. Noisy video and low-quality video can lead to miscommunications or make workers spend extra time watching the video, which is likely to hinder the market growth. Additionally, effective communication among employees can be severely hampered by poor internet connection, video streaming quality, and disruptions during a video conference, especially in the COVID-19 scenario. The poor video quality and other disruptions that occur during video conferences annoy a lot of people. Moreover, the data security concern among the population is forecasted to hinder market growth.

CLOUD VIDEO CONFERENCING MARKET REGIONAL INSIGHTS

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"North America to Dominate Owing to the Rapid Adoption of Advanced Technology"

North America is anticipated to own a top part of the cloud video conferencing market share due to the steady adoption of the developed technologies and significant market players in the region.  

Asia Pacific is forecasted to show exponential growth owing to the increasing demand for video communications solutions for the automatic processes in the research and education sectors. The region's growth is also attributable to the presence of a large number of headquarters and a significant number of SMEs.

Europe is predicted to grow significantly owing to the development of numerous video collaboration tools and services. Additionally, the escalating investments in R&D are forecasted to surge demand in the market.

KEY INDUSTRY PLAYERS

"Industry Players to Emphasize On Developing Solutions to Gain More Customers"

Key players are focusing on upscaling their market position by updating their product portfolio. The major players also emphasize developing solutions to meet the organizational applications' needs. Additionally, the market players strive to grow consistently to offer services of enhanced video collaboration to gain more customers in the regional market. The companies are currently working on improving their product range through partnerships and product feature additions to maintain the same momentum in the upcoming quarters.

List of Market Players Profiled

• Cisco (U.S.)
• Microsoft (U.S.)
• Kedacom (China)
• Zoom (U.S.)
• BlueJeans (U.S.)
• Vidyo (U.S.)
• Arkadin (France)
• Avaya (U.S.)
• NEC (Japan)
• ZTE (China)
• Lifesize (U.S.)

INDUSTRY DEVELOPMENT

• January 2021- Microsoft Teams and SAP Solution built a new interface, including SAP S/4HANA, SAP Success Factors, and SAP Customer Experience, to begin the partnership between Microsoft and SAP's intelligent suite of solutions.

REPORT COVERAGE

The report gives a close watch on the major factors influencing growth in the market. It also covers the market forecast based on its segments, regional analysis, and driving factors. The factors anticipated to affect the market's growth are also included in the report. A study on market essentials offers complete insights into the market. The list of key market players is also mentioned to represent the company’s location and strategies. The report presents the competitive analysis to offer a brief idea about the existing competition.