Disaster Recovery as a Service Market - Global Industry Size, Share, Trends, Opportunity, and Forecast Segmented By Organization Size (Large Enterprises and Small & Medium Enterprises), By Deployment Mode (Public Cloud and Private Cloud), By End-User (BFSI, IT & Telecommunication, Government and Other), By Region, and Competition, 2020-2030F

Market Overview

The Global Disaster Recovery as a Service Market, valued at USD 17.10 Billion in 2024, is projected to experience a CAGR of 19.90% to reach USD 50.81 Billion by 2030. Disaster Recovery as a Service (DRaaS) represents a cloud-based offering that enables organizations to replicate and host their critical data, applications, and IT infrastructure in a third-party environment, facilitating rapid restoration following an unplanned outage or disaster. The market's expansion is significantly propelled by the escalating frequency and sophistication of cyber threats, the increasing stringency of regulatory compliance mandates, and the continuous imperative for business continuity. According to the Cloud Security Alliance, in December 2024, 60% of financial institutions surveyed prioritized enhancing disaster recovery preparedness.

A notable challenge that could impede market expansion pertains to persistent concerns regarding data residency and sovereignty across diverse geographical jurisdictions, which often complicates compliance efforts for multinational enterprises.

Key Market Drivers

The global Disaster Recovery as a Service market is significantly influenced by escalating cyber threats and data breaches, coupled with the increasing adoption of cloud computing. The relentless increase in sophisticated cyberattacks, including ransomware and advanced persistent threats, necessitates resilient recovery mechanisms for critical business assets. These security incidents directly translate into substantial financial and operational consequences for affected organizations. According to IBM's Cost of a Data Breach Report 2024, published in July 2024, the global average cost of a data breach reached USD $4.88 million, underscoring the imperative for effective disaster recovery to mitigate economic fallout. This threat landscape drives demand for solutions providing swift data and application restoration, reducing downtime and preserving operational integrity.

Concurrently, the widespread integration of cloud computing forms the essential infrastructure for DRaaS, supporting adaptable, scalable, and geographically redundant recovery environments. As enterprises transition more workloads to cloud platforms, demand for cloud-centric disaster recovery solutions intensifies. According to the Cloud Native Computing Foundation's 2024 survey, published in April 2025, the adoption of cloud native techniques by organizations reached 89% in 2024, demonstrating a fundamental shift towards cloud-based architectures that inherently extend to disaster recovery planning. This pervasive cloud adoption facilitates more efficient recovery processes compared to conventional methods. Further, organizations extensively deploying security AI and automation saved an average of USD $2.2 million, according to IBM's Cost of a Data Breach Report 2024, compared to those without such deployments. This demonstrates tangible benefits and reinforces the direct influence of cloud evolution on the expansion of the DRaaS market.

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Key Market Challenges

Persistent concerns regarding data residency and sovereignty across diverse geographical jurisdictions present a notable challenge that could impede the expansion of the Global Disaster Recovery as a Service market. Varying national and regional regulations dictate where critical data can be stored, processed, and accessed, creating significant compliance complexities for multinational enterprises seeking unified DRaaS solutions. This fragmented regulatory landscape compels organizations to adopt different strategies or providers for distinct regions, increasing operational overhead and hindering the seamless deployment of DRaaS.

The necessity to adhere to stringent local data protection laws, such as the European Union's General Data Protection Regulation, often results in increased costs and slower adoption rates. According to ISACA's Privacy in Practice 2024 survey report, only 34 percent of organizations find it easy to understand their privacy obligations, highlighting the widespread difficulty in navigating these evolving legal requirements. Such significant compliance burdens deter businesses from fully embracing DRaaS, directly limiting market growth as providers struggle to offer globally consistent and compliant services.

Key Market Trends

Hybrid and Multi-Cloud DRaaS Adoption

The increasing adoption of hybrid and multi-cloud strategies represents a significant market trend, driven by organizations seeking enhanced flexibility, resilience, and vendor diversification. This approach involves leveraging a combination of on-premises, private cloud, and multiple public cloud infrastructures, demanding DRaaS solutions that offer seamless data mobility and consistent protection across these heterogeneous platforms. According to ISACA's "Evolving Threats to Cloud Computing Infrastructure" blog, in April 2024, organizations' usage of multi-cloud increased to 89% from 87% the previous year. Veeam, in March 2024, announced its Data Cloud, a platform delivering data protection and recovery services built on Microsoft Azure, illustrating the market's response to unified recovery strategies in complex cloud landscapes.

Shift from Data Recovery to Business Continuity Focus

A fundamental market shift is occurring from merely recovering lost data to prioritizing comprehensive business continuity, ensuring uninterrupted operations during disruptive events. Organizations increasingly focus on minimizing downtime and maintaining service availability through automated failover and robust recovery mechanisms. The Business Continuity Institute’s "BCI Continuity & Resilience Report 2023" highlighted that over 80% of organizations reported heightened recognition for robust business continuity and resilience programs, reflecting this evolving priority. This drives demand for DRaaS offerings guaranteeing stringent Recovery Time Objectives and Recovery Point Objectives. For instance, AWS, in December 2024, published an article detailing how its Elastic Disaster Recovery service provides cross-Availability Zone disaster recovery, allowing customers to achieve RTO measured in minutes and RPO in seconds, directly addressing the imperative for continuous operations.

Segmental Insights

The Private Cloud segment is emerging as a significant driver within the Global Disaster Recovery as a Service Market. This rapid expansion is primarily fueled by enterprises' increasing demand for enhanced data security, stringent regulatory compliance, and greater control over their critical information assets. Organizations, especially those in highly regulated sectors such as banking, financial services, and healthcare, are increasingly adopting private cloud DRaaS solutions to meet specific data sovereignty requirements and adhere to mandates like HIPAA and GDPR. This approach helps minimize cybersecurity risks and ensures robust data protection by providing dedicated resources and customizable security policies, which are crucial for maintaining business continuity and resilience.

Regional Insights

North America leads the Global Disaster Recovery as a Service Market due to its highly developed technology infrastructure and widespread adoption of cloud-based solutions. This dominance is significantly driven by a heightened awareness of increasing cyber threats, such as ransomware attacks, prompting organizations to invest in robust data protection and business continuity capabilities. Furthermore, stringent data protection and privacy regulations, including the Health Insurance Portability and Accountability Act (HIPAA) and Payment Card Industry Data Security Standard (PCI DSS), compel businesses across sectors like BFSI and healthcare to adopt comprehensive DRaaS solutions to ensure compliance and mitigate risks. The region also benefits from substantial enterprise spending on IT resilience and the strong presence of major DRaaS providers.

Recent Developments

• In June 2025, Microsoft's Azure Site Recovery announced new feature updates, including support for Virtual Machines with Premium SSD v2 disks. This enhancement allows organizations leveraging Azure's Disaster Recovery as a Service (DRaaS) to protect and recover workloads utilizing high-performance, cost-effective storage options. The update underscores Microsoft's ongoing commitment to expanding the capabilities and flexibility of Azure Site Recovery, enabling businesses to achieve improved recovery point objectives and recovery time objectives for their critical applications. These continuous advancements are vital for enterprises requiring resilient cloud-based disaster recovery solutions.

• In November 2024, Veeam Software introduced significant enhancements to its Data Platform with the release of version 12.2. This update provided lower-cost backup options to archive storage, offering more efficient long-term data retention for disaster recovery purposes. The new version also included seamless integration with Palo Alto Networks, bolstering ransomware defense capabilities crucial for maintaining data integrity and availability. Furthermore, the platform expanded its hypervisor support to include Proxmox, KVM, and Nutanix, thereby increasing flexibility for organizations utilizing diverse virtualized environments within their disaster recovery as a service strategies.

• In June 2024, Converge ICT announced a strategic partnership with HPE Zerto to launch a new Disaster Recovery Service in the Philippines. This collaboration aimed to strengthen the nation's data security landscape, providing businesses with robust protection against disruptions from natural disasters, human error, and cyberattacks. The initiative sought to deliver world-class business continuity solutions, simplifying the complexities traditionally associated with securing data for enterprises. This joint effort directly contributed to expanding the availability and adoption of comprehensive Disaster Recovery as a Service offerings in the region.

• In January 2024, Zerto, an Hewlett Packard Enterprise company, received recognition in the 2023-2024 Cloud Awards for its Zerto 10 solution in the Best Disaster Recovery/Business Continuity Solution category. Zerto 10 significantly enhanced hybrid cloud protection with the introduction of a real-time encryption detection mechanism. Additionally, it featured an air-gapped cyber recovery vault, which combines an isolated recovery environment with an immutable data vault for journal-based recovery. These innovations provided organizations with robust defenses against ransomware and other disruptive incidents, ensuring minimal downtime and data loss in their disaster recovery as a service deployments.

Key Market Players

• 11:11 Systems, Inc.
• Microsoft Corporation
• Recovery Point Systems Inc.
• TierPoint, LLC
• IBM Corporation
• Broadcom Inc.
• Rubrik, Inc.
• RackWare, LLC

Report Scope:

In this report, the Global Disaster Recovery as a Service Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Disaster Recovery as a Service Market, By Organization Size:

o   Large Enterprises

o   Small & Medium Enterprises

• Disaster Recovery as a Service Market, By Deployment Mode:

o   Public Cloud

o   Private Cloud

• Disaster Recovery as a Service Market, By End-User:

o   BFSI

o   IT & Telecommunication

o   Government

o   Other

• Disaster Recovery as a Service Market, By Region:

o   North America

§  United States

§  Canada

§  Mexico

o   Europe

§  France

§  United Kingdom

§  Italy

§  Germany

§  Spain

o   Asia Pacific

§  China

§  India

§  Japan

§  Australia

§  South Korea

o   South America

§  Brazil

§  Argentina

§  Colombia

o   Middle East & Africa

§  South Africa

§  Saudi Arabia

§  UAE

Competitive Landscape

Company Profiles: Detailed analysis of the major companies presents in the Global Disaster Recovery as a Service Market.

Available Customizations:

Global Disaster Recovery as a Service Market report with the given market data, TechSci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up to five).

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