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Serverless Computing Market Size, Share, & Trends Analysis Report By Service Model, By Deployment, By Enterprise Size, End-use, By Region, And Segment Forecasts, 2025 - 2030
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Serverless Computing Market Size & Trends:
The global serverless computing market size was estimated at USD 24.51 billion in 2024 and is anticipated to grow at a CAGR of 14.1% from 2025 to 2030. The serverless computing industry is poised for significant growth, driven by enterprises' digital transformation initiatives, increasing adoption of cloud technologies, and the need for agile, cost-effective Function-as-a-service (FaaS)s. Serverless computing offers a transformative approach to cost management by eliminating the need for organizations to maintain and manage physical or virtual server infrastructure.
Unlike traditional IT environments that require upfront investments in servers, storage, and ongoing maintenance, serverless Function-as-a-service (FaaS) operate on a pay-as-you-go pricing model. This means businesses are charged only for the compute resources consumed during the execution of their end uses, significantly reducing capital expenditure and operating costs. This model is particularly advantageous for small and medium enterprises (SMEs), which often have limited IT budgets and cannot afford to invest heavily in infrastructure.
Additionally, serverless architectures offload tasks like server provisioning, patching, and capacity planning to the cloud provider, enabling organizations to focus on innovation and development rather than operational overheads. By minimizing idle resource costs and allowing precise scaling, serverless computing ensures optimal resource utilization, making it a cost-effective Function-as-a-service (FaaS) for end uses with variable or unpredictable workloads. Key players, including AWS, Microsoft Azure, and Google Cloud, dominate the serverless computing market with continuous innovations and comprehensive serverless FaaS.
Unlike traditional infrastructure, where scaling up requires manual intervention or significant lead time, serverless architectures scale automatically in response to demand. This ensures that businesses can efficiently manage peak traffic without over-provisioning resources, avoiding the risks of downtime or performance bottlenecks. For instance, an e-commerce platform can handle sudden spikes in traffic during holiday sales without requiring pre-planned infrastructure upgrades. Serverless function-as-a-service dynamically allocates computer power and resources to match workload requirements, making them ideal for event-driven end uses, such as real-time analytics or API backends. Furthermore, this scalability is achieved without upfront resource allocation, allowing businesses to pay only for the resources consumed. This flexibility not only optimizes operational efficiency but also supports innovation by enabling developers to experiment and deploy end uses rapidly without worrying about infrastructure constraints.
The future of serverless computing is bright, with significant advancements expected in AI-driven workload optimization and the integration of edge computing to enhance real-time data processing. Hybrid and multi-cloud serverless FaaS will address vendor lock-in concerns, providing organizations with greater flexibility. IoT proliferation and sustainability goals will further drive adoption, as serverless computing aligns with energy-efficient IT practices. However, addressing current challenges like security, cold starts, and monitoring complexities will be critical to unlocking its full potential across diverse industries. Cold start latency, the delay in initializing serverless functions during their first invocation, can significantly impact performance-sensitive end uses requiring real-time responsiveness. This limitation deters adoption in critical use cases like financial transactions or Healthcare & Life Sciences monitoring, where milliseconds matter, potentially slowing market growth by restricting serverless computing's applicability in such scenarios.
Global Serverless Computing Market Report Segmentation
This report forecasts market size growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the serverless computing market report based on service model, deployment, enterprise size, end use, and region:
- Service Model Outlook (Market Size, USD Million, 2018 - 2030)
- Function-as-a-service (FaaS)
- Backend-as-a-service (BaaS)
- Deployment Outlook (Market Size, USD Million, 2018 - 2030)
- Public Cloud
- Private Cloud
- Hybrid Cloud
- Enterprise Size Outlook (Market Size, USD Million, 2018 - 2030)
- Large Enterprises
- Small & Medium Sized Enterprises
- End-use Outlook (Market Size, USD Million, 2018 - 2030)
- IT & Telecom
- BFSI
- Healthcare & Life Sciences
- Retail & Consumer Goods
- Government & Defense
- Transportation & Logistics
- Manufacturing
- Others
- Regional Outlook (Market Size, USD Million, 2018 - 2030)
- North America
- Europe
- Asia Pacific
- China
- India
- Japan
- South Korea
- Australia
- Latin America
- Middle East & Africa
- U.A.E
- Saudi Arabia
- South Africa
Table of Contents
Chapter 1. Methodology and Scope
- 1.1. Market Segmentation and Scope
- 1.2. Research Methodology
- 1.2.1. Information Procurement
- 1.3. Information or Data Analysis
- 1.4. Methodology
- 1.5. Research Scope and Assumptions
- 1.6. Market Formulation & Validation
- 1.7. Country Based Segment Share Calculation
- 1.8. List of Data Sources
Chapter 2. Executive Summary
- 2.1. Market Outlook
- 2.2. Segment Outlook
- 2.3. Competitive Insights
Chapter 3. Serverless Computing Market Variables, Trends, & Scope
- 3.1. Market Lineage Outlook
- 3.2. Market Dynamics
- 3.2.1. Market Driver Analysis
- 3.2.2. Market Restraint Analysis
- 3.2.3. Industry Challenge
- 3.3. Serverless Computing Market Analysis Tools
- 3.3.1. Industry Analysis - Porter's
- 3.3.1.1. Bargaining power of the suppliers
- 3.3.1.2. Bargaining power of the buyers
- 3.3.1.3. Threats of substitution
- 3.3.1.4. Threats from new entrants
- 3.3.1.5. Competitive rivalry
- 3.3.2. PESTEL Analysis
- 3.3.2.1. Political landscape
- 3.3.2.2. Economic and social landscape
- 3.3.2.3. Technological landscape
Chapter 4. Serverless Computing Market: Service Model Estimates & Trend Analysis
- 4.1. Segment Dashboard
- 4.2. Serverless Computing Market: Service Model Movement Analysis, USD Million, 2024 & 2030
- 4.3. Function-as-a-service (FaaS)
- 4.3.1. Function-as-a-service (FaaS) Market, Market Size Estimates and Forecasts, 2018 - 2030 (USD Million)
- 4.4. Backend-as-a-service (BaaS)
- 4.4.1. Backend-as-a-service (BaaS) Market, Market Size Estimates and Forecasts, 2018 - 2030 (USD Million)
Chapter 5. Serverless Computing Market: Deployment Estimates & Trend Analysis
- 5.1. Segment Dashboard
- 5.2. Serverless Computing Market: Deployment Movement Analysis, USD Million, 2024 & 2030
- 5.3. Public Cloud
- 5.3.1. Public Cloud Market, Market Size Estimates and Forecasts, 2018 - 2030 (USD Million)
- 5.4. Private Cloud
- 5.4.1. Private Cloud Market, Market Size Estimates and Forecasts, 2018 - 2030 (USD Million)
- 5.5. Hybrid Cloud
- 5.5.1. Hybrid Cloud Market, Market Size Estimates and Forecasts, 2018 - 2030 (USD Million)
Chapter 6. Serverless Computing Market: Enterprise Size Estimates & Trend Analysis
- 6.1. Segment Dashboard
- 6.2. Serverless Computing Market: Enterprise Size Movement Analysis, USD Million, 2024 & 2030
- 6.3. Large Enterprises
- 6.3.1. Large Enterprises Market, Market Size Estimates and Forecasts, 2018 - 2030 (USD Million)
- 6.4. Small & Medium Sized Enterprises
- 6.4.1. Small & Medium Sized Enterprises Market, Market Size Estimates and Forecasts, 2018 - 2030 (USD Million)
Chapter 7. Serverless Computing Market: End Use Estimates & Trend Analysis
- 7.1. Segment Dashboard
- 7.2. Serverless Computing Market: End Use Movement Analysis, USD Million, 2024 & 2030
- 7.3. IT & Telecom
- 7.3.1. IT & Telecom Market, Market Size Estimates and Forecasts, 2018 - 2030 (USD Million)
- 7.4. BFSI
- 7.4.1. BFSI Market, Market Size Estimates and Forecasts, 2018 - 2030 (USD Million)
- 7.5. Healthcare & Life Sciences
- 7.5.1. Healthcare & Life Sciences Market, Market Size Estimates and Forecasts, 2018 - 2030 (USD Million)
- 7.6. Retail & Consumer Goods
- 7.6.1. Retail & Consumer Goods Market, Market Size Estimates and Forecasts, 2018 - 2030 (USD Million)
- 7.7. Government & Defense
- 7.7.1. Government & Defense Market, Market Size Estimates and Forecasts, 2018 - 2030 (USD Million)
- 7.8. Transportation & Logistics
- 7.8.1. Transportation & Logistics Market, Market Size Estimates and Forecasts, 2018 - 2030 (USD Million)
- 7.9. Manufacturing
- 7.9.1. Manufacturing Market, Market Size Estimates and Forecasts, 2018 - 2030 (USD Million)
- 7.10. Others
- 7.10.1. Others Market, Market Size Estimates and Forecasts, 2018 - 2030 (USD Million)
Chapter 8. Serverless Computing Market: Regional Estimates & Trend Analysis
- 8.1. Serverless Computing Market Share, By Region, 2024 & 2030, USD Million
- 8.2. North America
- 8.2.1. North America Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.2.2. U.S.
- 8.2.2.1. U.S. Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.2.3. Canada
- 8.2.3.1. Canada Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.2.4. Mexico
- 8.2.4.1. Mexico Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.3. Europe
- 8.3.1. Europe Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.3.2. UK
- 8.3.2.1. UK Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.3.3. Germany
- 8.3.3.1. Germany Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.3.4. France
- 8.3.4.1. France Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.4. Asia Pacific
- 8.4.1. Asia Pacific Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.4.2. China
- 8.4.2.1. China Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.4.3. Japan
- 8.4.3.1. Japan Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.4.4. India
- 8.4.4.1. India Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.4.5. South Korea
- 8.4.5.1. South Korea Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.4.6. Australia
- 8.4.6.1. Australia Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.5. Latin America
- 8.5.1. Latin America Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.5.2. Brazil
- 8.5.2.1. Brazil Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.6. Middle East and Africa
- 8.6.1. Middle East and Africa Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.6.2. UAE
- 8.6.2.1. UAE Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.6.3. KSA
- 8.6.3.1. KSA Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
- 8.6.4. South Africa
- 8.6.4.1. South Africa Serverless Computing Market Estimates and Forecasts, 2018 - 2030 (USD Million)
Chapter 9. Competitive Landscape
- 9.1. Company Categorization
- 9.2. Company Market Share, 2024
- 9.3. Company Heat Map Analysis
- 9.4. Company Profiles/Listing
- 9.4.1. Amazon Web Services (AWS)
- 9.4.1.1. Participant's Overview
- 9.4.1.2. Financial Performance
- 9.4.1.3. Product Benchmarking
- 9.4.1.4. Strategic Initiatives
- 9.4.2. Microsoft Corporation
- 9.4.2.1. Participant's Overview
- 9.4.2.2. Financial Performance
- 9.4.2.3. Product Benchmarking
- 9.4.2.4. Strategic Initiatives
- 9.4.3. Google, Inc.
- 9.4.3.1. Participant's Overview
- 9.4.3.2. Financial Performance
- 9.4.3.3. Product Benchmarking
- 9.4.3.4. Strategic Initiatives
- 9.4.4. IBM Corporation
- 9.4.4.1. Participant's Overview
- 9.4.4.2. Financial Performance
- 9.4.4.3. Product Benchmarking
- 9.4.4.4. Strategic Initiatives
- 9.4.5. Alibaba Cloud
- 9.4.5.1. Participant's Overview
- 9.4.5.2. Financial Performance
- 9.4.5.3. Product Benchmarking
- 9.4.5.4. Strategic Initiatives
- 9.4.6. Oracle Corporation
- 9.4.6.1. Participant's Overview
- 9.4.6.2. Financial Performance
- 9.4.6.3. Product Benchmarking
- 9.4.6.4. Strategic Initiatives
- 9.4.7. Red Hat, Inc.
- 9.4.7.1. Participant's Overview
- 9.4.7.2. Financial Performance
- 9.4.7.3. Product Benchmarking
- 9.4.7.4. Strategic Initiatives
- 9.4.8. Cloudflare, Inc.
- 9.4.8.1. Participant's Overview
- 9.4.8.2. Financial Performance
- 9.4.8.3. Product Benchmarking
- 9.4.8.4. Strategic Initiatives
- 9.4.9. Tencent Cloud
- 9.4.9.1. Participant's Overview
- 9.4.9.2. Financial Performance
- 9.4.9.3. Product Benchmarking
- 9.4.9.4. Strategic Initiatives
- 9.4.10. SAP SE
- 9.4.10.1. Participant's Overview
- 9.4.10.2. Financial Performance
- 9.4.10.3. Product Benchmarking
- 9.4.10.4. Strategic Initiatives
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