Backend as a Service (BaaS) Market Poise $7.7 Billion by 2017

The report “Cloud Backend-as-a-service (BaaS)/ Mobile BaaS (MBaaS) Market - Global Advancements, Business Models, Technology Roadmap, Forecasts & Analysis (2012 – 2017)”, defines and segments in the global Backend as a Service market with analysis and forecasting of the global revenues. It also identifies drivers and restraints for this market with insights on trends, opportunities, and challenges. The global BaaS market is estimated to grow from $216.5 million in 2012 to $7.7 billion in 2017. This represents a compound annual growth rate (CAGR) of 104% from 2012 to 2017. In the current scenario Entertainment applications segment continues to be largest adaptor for BaaS.  In terms of geographies, North America continues to be the biggest market for BaaS.

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MarketsandMarkets has segmented the global BaaS market by types of solutions and end-users. The vertical segment comprises of Entertainment applications, Enterprise applications and other mobile applications; whilst the end-user markets include Enterprise, Small and Medium Business, Small Office Home Office. The vertical segments and end-user markets, along with each of their sub-segments are further bifurcated by geographies. Geographies covered include North America (NA), Europe, Asia-Pacific including Japan (APAC), Middle East & Africa (MEA), and Latin America (LA).

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In the recent years, opportunities in the Mobile applications market has grown significantly and Mobile applications have become a thriving business segment in the IT market. The competition in the mobile applications segment has gone intense and the availability of variety of useful mobile applications in the application store has become a key constraint while buying a mobile hand set. With the explosion in the mobile applications, the intense competition in the market and the increasing popularity of the ‘Bring your own device’ culture has created a necessity for faster mobile application development methodologies. Many companies recognized this opportunities and started offering bundled services like server side infrastructure, middleware, ready to integrate features and IDE for mobile application development in the name of ‘Backend as a Service’. BaaS provides a solution to some common pain points that are faced by application developers.

BaaS reduces the complexities of the application development by dealing with the complex server side programming, reducing the redundancy in creating backend code blocks, providing ready to integrate features and template backend. Developers can focus more on the front end of the applications and the marketing activities needed for the application. With BaaS developers can reduce the time needed to develop their applications by 70%. Also BaaS providers are offering flexible benefit plans which keep the initial investment for developing mobile applications minimal.

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The major forces driving the market are factors such as rising need for bundled services that will aid the application developers to reduce the complexities and time need for mobile application development and deployment. At the same time, opportunities in venture capital funding will benefit the growth in this market.

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