Cloud Communication Platform Market Size, Trends and Growth Analysis by 2027

The global market for cloud communication platforms is projected to expand significantly, increasing from approximately US$ 4,632.3 million in 2021 to around US$ 22,408.5 million by 2028. This growth represents a remarkable compound annual growth rate (CAGR) of 25.3% during the period from 2021 to 2028.

Several factors are contributing to the expansion of the cloud communication platform market. A key driver is the rising trend of bring your own device (BYOD) policies, which allow employees to use their personal devices for work purposes. Additionally, the cost-effectiveness of cloud communication solutions is attracting businesses to adopt these technologies. However, challenges such as security and privacy concerns pose significant barriers to market growth. Other factors that are positively influencing the market include the expansion of the business process outsourcing (BPO) sector, an increasing preference for cloud-based solutions, a rise in global internet users, the development of cloud-based Internet of Things (IoT) platforms, and a growing demand for voice over internet protocol (VoIP) services.

The cloud communication platform market can be categorized based on various criteria, including components, solutions, enterprise size, services, verticals, and geographical regions. In terms of components, the market is divided into solutions and services. As of 2020, the solutions segment held a larger share of the market. When examining solutions, the market is further divided into categories such as UCaaS (Unified Communications as a Service), WebRTC, IVR (Interactive Voice Response), VoIP, and API. The UCaaS segment was the largest contributor to market share in 2020. Regarding services, the market is segmented into training and consulting, support and maintenance, and managed services, with the support and maintenance segment leading in market share during the same year.

When considering enterprise size, the market is divided into small and medium enterprises (SMEs) and large enterprises. In 2020, large enterprises dominated this segment. The market is also segmented by verticals, including BFSI (Banking, Financial Services, and Insurance), IT & Telecom, Healthcare, Retail, Government, Education, and others, with the BFSI sector accounting for the largest market share in 2020. Geographically, the market is segmented into North America, Europe, Asia Pacific (APAC), Middle East & Africa (MEA), and South America (SAM), with North America leading the market in 2020.

The COVID-19 pandemic has had a detrimental impact on numerous industries globally, leading to an economic downturn in 2020 that persisted into 2021. Nevertheless, certain sectors, including video conferencing, cloud deployment, and desktop virtualization, have experienced positive effects due to the pandemic. The implementation of lockdowns and travel restrictions has resulted in a widespread acceptance of remote work policies, which has significantly accelerated the growth of the cloud communication platform market.

The overall size of the cloud communication platform market has been determined through a combination of primary and secondary research methods. The research process began with extensive secondary research, utilizing both internal and external sources to gather qualitative and quantitative data relevant to the market. This approach not only provided a comprehensive overview and forecast for the cloud communication platform market across all segments but also included insights based on five major regions: North America, Europe, Asia Pacific, Middle East and Africa, and South America. Additionally, primary interviews were conducted with industry participants and experts to validate the data and gain deeper analytical insights. Participants included industry professionals such as vice presidents, business development managers, market intelligence managers, and national sales managers, as well as external consultants like valuation experts, research analysts, and key opinion leaders specializing in the cloud communication platform sector.

Several prominent players are active in the global cloud communication platform market, including 8X8, INC., Avaya Inc., CallFire, Cisco Systems, Inc., NetFortris, Vonage, Plivo Inc., Telestax, Inc., TWILIO INC., and Intrado.