IMARC Group has recently released a new research study titled “South Korea Cloud Computing Market Report by Service (Infrastructure as a Service (IaaS), Platform as a Service (PaaS), Software as a Service (SaaS)), Workload (Application Development and Testing, Analytics and Reporting, Data Storage and Backup, Integration and Orchestration, Resource Management, and Others), Deployment Mode (Public, Private, Hybrid), Organization Size (Large Enterprise, Small and Medium Enterprise), Vertical (BFSI, IT and Telecom, Retail and Consumer Goods, Energy and Utilities, Healthcare, Media and Entertainment, Government and Public Sector, and Others), and Region 2025-2033”, offers a detailed analysis of the market drivers, segmentation, growth opportunities, trends and competitive landscape to understand the current and future market scenarios.

Market Overview

The South Korea Cloud Computing Market size was valued at USD 3.9 Billion in 2024 and is projected to reach USD 11.6 Billion by 2033. The market is expected to grow at a CAGR of 12.36% during the forecast period of 2025-2033. This growth is driven by rising cybersecurity threats, increasing digital education initiatives, and widespread cloud adoption in healthcare.

Study Assumption Years

• Base Year: 2024
• Historical Year/Period: 2019-2024
• Forecast Year/Period: 2025-2033

South Korea Cloud Computing Market Key Takeaways

• Current Market Size: USD 3.9 Billion in 2024
• CAGR: 12.36%
• Forecast Period: 2025-2033
• Rising incidences of cybersecurity threats and data breaches are fueling demand for cloud computing solutions.
• Increasing adoption of a multi-cloud approach is optimizing the capabilities of different cloud providers.
• Integration of AI and ML in cloud computing is enhancing data analytics and decision-making.
• The West region, with strong IT infrastructure and skilled workforce, dominates the market.
• Public cloud deployment holds the largest market share due to cost and accessibility advantages.
• BFSI vertical is the largest adopter of cloud computing services.

Sample Request Link: https://www.imarcgroup.com/south-korea-cloud-computing-market/requestsample

Market Growth Factors

The South Korea cloud computing market growth is primarily driven by rising cybersecurity threats and frequent data breaches. These challenges have catalyzed the demand for robust cloud computing solutions that offer enhanced data protection through encryption, access control, and regular security updates. Additionally, cloud services provide centralized data storage and backup that enhance disaster recovery capabilities. For example, a significant data breach incident occurred between 2021 and 2023, when North Korean hackers stole 1,014 gigabytes of sensitive data from a South Korean court’s computer system, increasing awareness and adoption of cloud security solutions.

Further contributing to market growth is the increasing adoption of multi-cloud strategies by businesses to avoid vendor lock-in and leverage the strengths of different cloud service providers. This approach improves flexibility and operational efficiency, supporting business scalability and innovation. The deployment of cloud computing in diverse sectors such as healthcare and finance also propel market expansion, driven by the need for real-time data access and analytics.

Technological advancements and rapid digitalization further boost the market. South Korea’s leadership in global innovation and substantial private investments in artificial intelligence (sixth largest as of 2022) foster the integration of AI and machine learning technologies in cloud platforms. For instance, South Korea ranked 5th in the Global Innovation Index in 2021. The proliferation of remote working models, with remote employees increasing from about 66 thousand in 2015 to 1.1 million in 2021, underscores the demand for reliable, secure cloud-based resources accessible from anywhere, further accelerating cloud adoption.

Market Segmentation

Service:

• Infrastructure as a Service (IaaS)
• Platform as a Service (PaaS)
• Software as a Service (SaaS): Dominates the market by reducing upfront costs and enabling scalable, subscription-based software deployment with integrated analytics and reporting features.

Workload:

• Application Development and Testing
• Analytics and Reporting
• Data Storage and Backup
• Integration and Orchestration
• Resource Management: Holds the largest market share by streamlining deployment, optimizing computing resources for cost savings, and supporting regulatory compliance.
• Others

Deployment Mode:

• Public: Largest market segment due to ease of access, cost-effectiveness, and quick application deployment.
• Private
• Hybrid

Organization Size:

• Large Enterprise: Largest share driven by complex operations needing robust computing and networking.
• Small and Medium Enterprise

Vertical:

• BFSI: Largest sector using cloud for analytics, risk management, fraud detection, and CRM.
• IT and Telecom
• Retail and Consumer Goods
• Energy and Utilities
• Healthcare
• Media and Entertainment
• Government and Public Sector
• Others

Region:

• East
• West: Dominant region with advanced IT infrastructure, headquarters of major corporations in Seoul and Incheon, and a skilled tech workforce.
• Southwest
• Southeast

Ask For Analyst- https://www.imarcgroup.com/request?type=report&id=2754&flag=C

Regional Insights

The West region of South Korea leads the cloud computing market due to its well-established IT infrastructure, including high-speed internet and advanced data centers. Cities like Seoul and Incheon host major corporations and financial institutions, further supporting market growth. The region benefits from a highly skilled and tech-savvy workforce and is considered a hub for technology and innovation, backed by prominent educational and research institutions. This dominance strongly influences market dynamics regionally.

Recent Developments & News

• April 2024: Gcore, a Korean AI company, launched its first AI public cloud service in Korea, powered by 40 NVIDIA H100 servers, known as leading GPUs for AI training.
• January 2024: Korea Quantum Computing (KQC) partnered with IBM to utilize IBM’s AI software, infrastructure, and quantum computing services including Watsonx, to enhance AI model training and deployment.
• January 2024: Samsung Electronics and Google Cloud announced a multi-year partnership to integrate Google Cloud’s generative AI technology into Samsung smartphones in South Korea.

Key Players

• Gcore
• Korea Quantum Computing (KQC)
• Samsung Electronics
• Google Cloud

If you require any specific information that is not covered currently within the scope of the report, we will provide the same as a part of the customization.

About Us

IMARC Group is a global management consulting firm that helps the world’s most ambitious changemakers to create a lasting impact. The company provide a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, feasibility studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.

Contact Us

IMARC Group,

134 N 4th St. Brooklyn, NY 11249, USA,

Email: sales@imarcgroup.com,

Tel No: (D) +91 120 433 0800,

United States: +1-201971-6302