PaaS (Russian market)

2024: Growth of the Russian market for IaaS and PaaS services by a third

At the end of 2024, the volume of the Russian market for IaaS (infrastructure as a service) and PaaS (platform as a service) services increased by almost a third compared to 2023 - by 31.2%. Industry trends are addressed in a report by J'son & Partners Consulting, which TAdviser reviewed in early January 2025. Read more here

2023: Russian PaaS market leaders named

At the end of 2023, global spending on PaaS cloud services (platform as a service) reached $138.96 billion. For comparison, a year earlier this figure was $111.98 billion. In the future, further growth of the segment under consideration is expected. This data from the analytical company IKS-Consulting became known in June 2024.

It is reported that the volume of the Russian PaaS services market in 2023 amounted to approximately 20.6 billion rubles. This is 49.7% more than in the previous year. It is estimated that almost every fourth (23%) Russian organization uses PaaS solutions in 2023.

According to iKS-Consulting, the largest Russian PaaS provider in terms of revenue in 2023 was Cloud.ru, which controls more than a third of the industry - 35.4%. In second place is Yandex.Cloud with 25%, and closes the top three "Rostelecom DPC" with 7.3%. The top five also included CDNVideo with 3.9% and MTS with 3.7%.

Analysts at iKS-Consulting take into account the segment of the market for high-tech platforms offered by leading Russian players. It excludes mainly a significant sector of web hosting, video surveillance systems and a number of platform services that, by actual definition, fit the concept of PaaS, but not all industry participants classify them as such.

It is noted that the driver of the growth of the share of Cloud.ru is access to services for creating and working with artificial intelligence models. Yandex.Cloud, in turn, is focused on database platform services and Kubernetes cluster management. Both companies, iKS-Consulting estimates, are also leaders in the synthesis and recognition of speech and images segment.^[1]

2021: Russian IaaS and PaaS market up 38.3%

In 2021, the volume of the Russian cloud infrastructure services market reached 55 billion rubles, which is 38.3% more than a year earlier. The growth rate was record, according to analysts at iKS-Consulting in December 2021. Read more here.

2020: The Russian market for IaaS and PaaS solutions grew by 33%, to 15.8 billion rubles

The volume of the Russian market for IaaS and PaaS solutions at the end of 2020 reached 15.8 billion rubles, which is 33% more than a year earlier. This is stated in a study by J'son & Partners Consulting.

According to updated data from analysts, in 2018-2019. market growth in money was measured at 22% and 29%, respectively. Thus, in 2020, the positive dynamics intensified, but it cannot be called "explosive," despite such powerful drivers of the cloud industry as lockdown and the transfer of a significant part of office staff to remote work, as well as an increase in the intensity of trading transactions online, the report says.

At the end of 2020, the level of IaaS/PaaS penetration Russia in remained low - just over 3% of the total number of companies with BROADBAND ACCESS access in, Internet although in the segment of large and medium-sized enterprises the figure is almost 10 times higher than the market average. The researchers point out that this situation is partly caused by an increase in the consumption of small business-oriented enterprise applications in the format, SaaS that is, small and especially micro-business prefers to use ready-made cloud business applications instead of buying IaaS/PaaS, and IaaS/PaaS services are used by SaaS providers and large non-IT companies.

The Russian market for IaaS and PaaS solutions at the end of 2020 grew by 33%, to 15.8 billion rubles

In 2020, nearly 80% of companies using IaaS or PaaS were in trade and services, including telecommunications, IT, government and financial, according to J'son & Partners Consulting. The market structure in monetary terms remains stable - for the period 2014-2019. no significant changes were noted, with the exception of growth in the "State Administration" segment associated with the introduction of online services of public services, EMIAS and similar. Experts draw attention to the fact that a high share of IaaS/PaaS consumption from trade and services is the downside of extremely low consumption from industrial and transport and logistics enterprises.

In the territorial structure of consumption, IaaS/PaaS is still about 55% made up of companies located in Moscow and the Moscow region. Even for Russia, with its inherent high concentration of economic activity in the Moscow region, this is an abnormally high share. This skew, analysts said, is a consequence of the horizontal structure of the market, where large companies are dominated, using IaaS/PaaS in addition to colocation/dedicated and/or their own IT infrastructure. Thus, while the IaaS/PaaS market repeats the structure of the colocation market and, in general, the structure of the placement of data center areas in Russia, where Moscow and nearby regions prevail.

The study also says that from 2014 to 2020, the volume of the Russian IaaS/PaaS market grew 5 times in terms of the number of user companies, and 6 times in terms of market size in monetary terms, which corresponds to annual growth at the level of 35%. In the period from 2016-2018 there was a steady trend of market growth slowdown both in terms of customer base and in monetary terms. This trend was reversed in 2019-2020.

Experts consider the main driver of market growth to be the expansion of consumption of public IaaS/PaaS by large enterprises and organizations, mainly focused on retail business and public services, as well as consumption by small enterprises, mainly represented by providers of SaaS and online services.

Analysts also noted a steady trend towards a reduction in the market share of independent niche players and the formation of three "poles" of the Russian IaaS/PaaS market: telecom operators, through acquisitions developing the IaaS/PaaS direction and offering comprehensive communication and computing services to customers in the state and corporate segments, and developing organically competing global and Russian hyperscale players.^[2]

2019

The volume of the Russian PaaS market exceeded 5 billion rubles

The volume of the Russian PaaS market in 2019 reached 5.1 billion rubles, according to data from analysts at iKS-Consulting. They did not specify the dynamics in comparison with 2018 and only noted that the costs of such decisions are growing. For example, in 2016 it was about the amount of 2.3 billion rubles.

Experts consider the main catalysts for the growth of the PaaS market to be specialized platforms for developing and testing new products, as well as for implementing projects with customers if they need to quickly deploy systems.

PaaS solutions are in greatest demand among companies with a staff of 100 to 1000 people - in total, medium, large and very large enterprises occupy 70% of the market. iKS-Consulting notes that in Russia PaaS ecosystems are mainly built up around the anchor client and his partners. Moreover, the key user, as a rule, is the parent company of the cloud provider and it is also its main client.

The volume of the Russian PaaS market exceeded 5 billion rubles in 2019

In the regional structure of PaaS commercial users, the leading place is occupied by Moscow and the Moscow region - they account for 35% of the market. Among other regions with the largest number of users of PaaS services, the authors of the study name St. Petersburg and the Leningrad region (just over 20% of the market), as well as Central (without Moscow and the region), Siberian and Far Eastern federal districts - 8% each.

As for the industry structure of PaaS commercial users, the maximum share was recorded among IT companies (31.5% of the market), followed by banks and companies indicating financial services (26.3%), and wholesale and retail enterprises (16.4%).

In Russia, such foreign public PaaS services as Microsoft Azure, AWS, Oracle Cloud are the most popular, among domestic ones - Yandex.Cloud and MCS.

Data from J'son & Partners Consulting

In 2019, the volume of the Russian IaaSPaaS market/amounted, according to J'son & Partners Consulting, to 11.9 billion rubles, an increase of 29% compared to 2018. According to updated data, in 2018 the Russian IaaS/PaaS market in monetary terms grew by 22%, in 2017 by 28%, in 2016 by 34%. Thus, in 2019, the slowdown trend that took place in 2016-2018 was overcome.

At the end of 2019, the total level of IaaS/PaaS penetration in Russia remains low - slightly more than 2% of the total number of business entities with broadband Internet access, although in the segment of large and medium-sized enterprises penetration is almost 10 times higher than average. This situation is partly due to the growing consumption of small business-oriented enterprise applications in SaaS format. That is, small and especially micro-business prefers to use ready-made cloud business applications instead of buying IaaS/PaaS, and IaaS/PaaS services are used by SaaS providers and large non-IT companies.

In 2019, nearly 80% of IaaS/PaaS user companies were in trade and services, including telecommunications, IT, government and financial, according to J'son & Partners Consulting. This structure is stable - for the period 2014-2019. no significant changes were noted, with the exception of growth in the "State Administration" segment associated with the introduction of online services of public services, EMIAS and similar. It is important to note that a high share of IaaS/PaaS consumption from trade and services is the downside of extremely low consumption from industrial enterprises. In the territorial structure of IaaS/PaaS consumption, about 55% are companies located in Moscow and the Moscow region.

From 2014 to 2018, the IaaS/PaaS market in Russia tripled both in terms of the number of user companies and in terms of market size in monetary terms, which corresponds to annual growth with CAGR at 37%. However, since 2016, there has been a steady trend of market slowdown both in terms of customer base and in monetary terms.

The sharp acceleration of the subscriber base growth that took place in 2019 has not yet led to an equally significant growth of the market in monetary terms, but nevertheless creates the potential for its growth in 2020 and in subsequent years, the basis of which may be an increase in the volume of IaaS/PaaS consumption by existing users, and, as a result, the growth of ARPUs, especially in small and micro-enterprises. According to the forecast of J'son & Partners Consulting, the annual growth rate of the IaaS/PaaS market in the period 2020-2025. in monetary terms will amount to 23% per year against the background of a change in the negative dynamics of the ARPU in 2020-2021 to a weakly positive one in the period 2022-2025.

2018

Data TMT Consulting

According to a study by the TMT Consulting analytical agency, the volume of the Russian public cloud services market in 2018 grew by 31% and reached 55.9 billion rubles.

More than 65% of the public cloud services market is formed by the SaaS segment, which is due to the activity of a large number of medium and small businesses here. About a third of the market is in the IaaS segment, which is still dominated by large and medium-sized enterprises. PaaS forms a little more than 4% of the market, but over the past year the demand for this type of cloud services has been more clearly indicated (taking into account the expansion of the presence of Russian Internet companies and a more active migration of users to domestic platforms).

Revenues from PaaS in 2018 increased by 43% and amounted to 2.3 billion rubles. PaaS services in Russia are provided by a number of large universal providers, along with other cloud services - IaaS and/or SaaS. Including this direction is being developed by Softline, Rostelecom Group of Companies, Servionica/SbCloud, Onlanta. Interest in PaaS is growing amid growing demand for platform tools to accelerate application development and deployment in line with the current digital agenda of the Russian market. To promote the launched products, platforms aggregators/Marketplaces will be increasingly used.

According to the forecast of TMT Consulting, in 2019 the volume of the public cloud services market as a whole will grow by 28%. At the same time, the SaaS segment will grow by 25% (including by expanding penetration in the public sector), IaaS - by 34%, PaaS - by 36%. The share of foreign providers will continue to decline against the background of consolidation processes launched by large domestic players (primarily in the IaaS segment).

In the 5-year perspective, TMT Consulting predicts a CAGR (CAGR2018/2023) of 20% in the public cloud services market. Its volume by 2023 will increase 2.5 times and reach 142 billion rubles. The main segment will remain SaaS, it will account for 62% of the market.

J'son & Partners: 8.8 billion rubles (+ 21%)

On May 13, 2019, it became known that it J'son & Partners Consulting (Jason & Partners Consulting) presented the results of the study "Russian market/in IaaSPaaS 2014-2018. Forecasts until 2022."

The study only looks at the public model of providing IaaS, the private cloud model is completely excluded from consideration. The studied IaaS market volume includes PaaS services due to the inability to correctly distinguish them from the offers of IaaS and PaaS service providers. The limited Russian IaaS/PaaS market described above amounted to 8.8 billion rubles in 2018, according to J'son & Partners Consulting, an increase of 21% compared to 2017. Read more here.

2017: SAP and Forrester Russia Forecast

SAP CIS (SAP CIS) and Forrester Russia presented at the beginning of the year the results of a study of the cloud technology market in Russia. According to the results of the study, analysts at Forrester Russia concluded that the domestic cloud market will grow faster than IT - the market as a whole, and by 2020 its volume will amount to 48 billion rubles. That is, at an average annual rate of 21%, the cloud market will grow 3 times compared to 2015.

According to the study, large business is as ready as possible for the use of cloud services: in this segment, over 90% of respondents know about cloud services, in small business - over 70%. At the same time, in large business, 54.5% of respondents use simultaneously cloud services from 2 or more categories, in average business - 50%, in small business - 43%.

Most respondents associate cloud services with virtual infrastructure (IaaS), although the SaaS model now has the largest market share - 58.9%. IaaS and PaaS so far account for 37.2% and 3.9% of the market, respectively. According to the study, the share of SaaS by 2020 will increase to 62.4%, and IaaS will decrease to 32.3%.

"Forecast of the cloud services market volume in Russia in 2015-2020, billion rubles." Source: SAP CIS, February 2017

2016: Forrester

2013: Russian Market Volume Forecast - $100 Million

According to IDC forecasts, the total volume of the global software market in 2013 will reach approximately $380 billion. Russia's share here is a little more than 1%, that is, about $5 billion. Forrester specialists, in turn, expect that the market for services in the Azure-type cloud in 2013 will approach $9 billion. Based on this, the potential platform services market in Russia in 2013 can be estimated at about $100 million. Dmitry Martynov (Microsoft) emphasizes that this assessment is somewhat artificial. The Russian Microsoft plans to conduct a separate study of the demand for platform services in Russia.

Microsoft's platform strategy adviser notes that the entire SaaS market (software as services) is much larger than the platform part - both in Russia and in the world. IDC estimates its volume at $12 billion. At the same time, the platform part is now about 3%, but as the idea of ​ ​ the cloud develops, it will increase. At the same time, it is obvious that the share of platforms like Azure in Russia, although it will grow, is somewhat slower than around the world.

See also

• A catalog of PaaS solutions and projects is available on TAdviser
• IaaS
• SaaS
• DPC
• Cloud computing
• PaaS - Platform As A Service
• BPaaS (Business Process as a Service) Business Platform as a Service
• PaaS (Global Market)
• CPaaS - Communication Platform as a Service (Global Market)
• SaaS, PaaS and IaaS: The risk level is very different
• Platforms as a service (PaaS) are waiting for a boom

Notes