Eastern Europe Cloud Computing Market | Analysis 2019-2032

Eastern Europe Cloud Computing Market by Service Model, Deployment Model, Subscription Model, Company Size, End User, and Country – Industry Analysis, Size and Forecast, 2019-2032

Report Format:     | Pages: 160+
Type: Parent Industry Monitor | ID: CCT1570  | Publication: June 2024  |  US$1,345  |  

Eastern Europe Cloud Computing Market Growth and Performance


  • End user spending in the Eastern Europe cloud computing market is projected to increase to US$ 15.78 billion by the end of 2024.
  • The market in Eastern Europe is anticipated to reach US$ 26.94 by 2031, with a CAGR of 8.37%.

Eastern Europe Cloud Computing Market Outlook

The Eastern Europe Cloud Computing Market is witnessing rapid growth, driven by digital transformation, increasing adoption of cloud-based IT infrastructure, and government-backed initiatives. Poland and Russia, two of the region’s largest economies, are at the forefront of cloud adoption, with enterprises embracing Infrastructure-as-a-Service (IaaS), Platform-as-a-Service (PaaS), and Software-as-a-Service (SaaS) models. Despite strong growth potential, the Eastern Europe cloud computing industry faces challenges, including data security concerns, regulatory constraints, and geopolitical disruptions. However, continued investments in 5G, AI, and Industry 4.0 are expected to fuel further expansion.

Eastern Europe Cloud Computing Market Trends

Digital Transformation and Cloud Adoption

Poland has emerged as a cloud leader in Eastern Europe, with its cloud-first approach driving enterprise adoption. Over 80% of Polish enterprises have migrated their email systems to the cloud, while 70% utilize cloud storage and 65% rely on cloud-based office productivity tools. The Polish government’s commitment to 5G and fiber optic expansion has significantly enhanced connectivity, a crucial factor in cloud adoption and Industry 4.0 deployment. According to Ericsson and Qualcomm Technologies' "Analysis Mason" report, Poland's 5G deployment could contribute €4.2 billion to GDP within a decade, with further growth reaching €17 billion (USD 18.4 billion) by 2040.

Shift Towards Hybrid Cloud and Digital Sovereignty

The Russia Cloud Computing Industry has seen increasing adoption of hybrid cloud solutions, particularly among large enterprises transitioning to cloud-based IT infrastructure. Organizations in manufacturing, telecom, and financial services are leveraging IaaS and PaaS models to manage big data and IoT-driven operations. However, cloud providers, including AWS, Microsoft Azure, and Google Cloud, have limited operations in Russia due to sanctions. This has created a gap in the market, which domestic cloud providers like Yandex Cloud, SberCloud, and VK Cloud are rapidly filling. Additionally, the Russian government’s GosTech initiative aims to migrate 24 federal government entities to a national digital platform, further stimulating the Eastern Europe cloud computing market trends.

Eastern Europe Cloud Computing Market Drivers

Government Investments in 5G and Cloud Infrastructure

Both Poland and Russia have recognized cloud computing as a strategic enabler of economic growth. In Poland, investments in 5G infrastructure, AI, and fiber optic networks are enhancing enterprise cloud adoption, particularly in Industry 4.0 sectors like automotive, machinery, and electronics. In Russia, the "Digital Economy of the Russian Federation" program promotes cloud adoption among government agencies and businesses, facilitating cloud-driven modernization. The government is also supporting local cloud service providers through subsidies and preferential policies, ensuring the country’s cloud computing expansion despite geopolitical constraints.

Rising Demand for Cloud-Based Solutions Across Enterprises

Cloud computing is rapidly becoming the preferred IT infrastructure model in Eastern Europe, with businesses prioritizing scalability, flexibility, and cost-efficiency. In Poland, enterprises are increasingly adopting cloud solutions for storage, security applications, and AI-driven analytics. Similarly, Russia's growing reliance on hybrid cloud models reflects the need for secure, regulatory-compliant IT environments.

Eastern Europe Cloud Computing Market Competitive Landscape

The Eastern Europe cloud computing market competitive landscape is evolving, with both global and regional cloud providers expanding their footprint.

In Poland, global cloud providers like AWS, Microsoft Azure, and Google Cloud dominate the market, offering solutions across various industries. Emerging local providers focus on data security and compliance-driven services, reflecting the region's emphasis on digital sovereignty and regulatory adherence. In Russia, domestic providers such as Yandex Cloud, SberCloud, and VK Cloud are expanding rapidly due to restrictions on Western services, supported by government programs like GosTech. Additionally, VEON Ltd.'s acquisition of IBS DataFort is strengthening cloud IT services for enterprises, showcasing the region's commitment to advancing cloud infrastructure and hybrid cloud adoption.

These Eastern Europe cloud computing market developments underscore the key drivers of the Eastern Europe cloud computing market, including government investments, rising demand for cloud-based solutions, and the strategic role of cloud computing in economic growth. As Poland and Russia continue to innovate and invest, the market is poised for significant growth, shaping the future of cloud computing in the region.

Eastern Europe Cloud Computing Market Scope

Eastern Europe Cloud Computing Industry: Country Coverage

 

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