A report from Research And Markets reveals that Vietnam’s cloud-based Infrastructure as a Service (IaaS) market is experiencing rapid growth and is expected to continue at a high Compound Annual Growth Rate (CAGR) until 2028. The surge is driven by factors such as the country’s digitization efforts, increasing demand for cost-effective solutions, and the impact of the COVID-19 pandemic.
The report identifies various factors shaping the demand for cloud computing in Vietnam, including digitalization goals, data storage needs, widespread smartphone adoption, and the aftermath of the pandemic. The nation’s cloud-based IaaS market is highlighted as one of the fastest-growing globally.
Government initiatives like Digital Vietnam and Smart Cities play a significant role in promoting cloud-based infrastructure in sectors such as e-governance, healthcare, education, and finance. The report emphasizes the crucial role of data processing and storage capacity in driving this adoption.
Cost-effectiveness emerges as a pivotal consideration for Vietnamese businesses, from startups and SMBs to larger enterprises facing budget constraints. The pay-as-you-go model of IaaS, offering scalability, flexibility, and reduced upfront capital expenditure, becomes an attractive solution for optimizing IT infrastructure expenses.
The report underscores that IaaS providers handle infrastructure management, leading to lower operational costs for businesses. By leveraging advanced technologies and services without substantial upfront investments, companies can focus on core competencies, innovation, and value-added activities.
As the demand for cost-effective solutions continues to rise, the report predicts that the adoption of IaaS in Vietnam will persistently increase in the coming years. The combination of the pay-as-you-go model, scalability, flexibility, reduced management overheads, and access to advanced services contributes to the attractiveness and cost-effectiveness of IaaS for businesses in Vietnam.