Infrastructure As Code Market Size, Share & Trends Analysis Report By Infrastructure Type, By Deployment Model, By Approach, By End User, By Region, And Segment Forecasts, 2024 - 2030

Infrastructure As Code Market Size & Trends

The global infrastructure as code market size was estimated at USD 847.0 million in 2023 and is estimated to reach at a CAGR of 24.4% from 2024 to 2030. The growth is driven by the increasing adoption of cloud computing services, the rise of DevOps practices, and the need for cost efficiency in infrastructure management. Organizations are leveraging Infrastructure as code to automate and streamline infrastructure provisioning and management, which reduces manual intervention and enhances resource utilization. The demand for scalable, consistent, and reliable infrastructure solutions is also propelling the market forward, as infrastructure as code enables automated and error-free deployments. Additionally, the focus on security and compliance, as well as the broader digital transformation initiatives, are further fueling the adoption of Infrastructure as code tools.

A key trend in the infrastructure as code is the integration with CI/CD pipelines, which facilitates faster and more efficient application development and deployment processes. This trend is complemented by the growing adoption of multi-cloud and hybrid cloud strategies, where infrastructure as code (IaC) tools are crucial for managing and orchestrating infrastructure across diverse cloud environments. The rise of serverless computing is also influencing the market, with new IaC tools being developed to support serverless architectures effectively. Moreover, the incorporation of AI and machine learning into IaC tools is becoming more prevalent, optimizing infrastructure management through predictive analytics and automated decision-making.

Another significant trend is the increased focus on security within infrastructure as code practices, driven by the growing need to protect against cyber threats and ensure compliance with regulatory standards. This has led to the development of IaC tools with built-in security features and compliance checks. The market is also seeing a push towards standardization and the establishment of best practices, which aim to ensure the effective implementation and management of infrastructure as code solutions. Additionally, the popularity of open-source IaC tools like Terraform and Ansible continues to rise, offering flexibility, community support, and cost-effectiveness. The overall trend towards greater automation and orchestration in infrastructure management is further driving the adoption of advanced IaC tools that offer comprehensive automation capabilities.

Infrastructure Type Insights

The immutable infrastructure segment dominated and accounted for 60.76% of the global market revenue in 2023. Immutable infrastructure, which involves creating infrastructure components that are never modified after they are deployed, has gained significant traction due to its reliability, consistency, and security advantages. By eliminating configuration drift and ensuring that each deployment is identical to the last, immutable infrastructure reduces the potential for errors and security vulnerabilities, making it a preferred choice for many organizations. This approach aligns well with modern DevOps practices and continuous deployment models, further solidifying its dominant market position.

The mutable segment is expected to witness the highest CAGR from 2024 to 2030. Mutable infrastructure, which allows for modifications and updates after deployment, is becoming increasingly attractive as it offers greater flexibility and adaptability to changing business requirements and environments. This flexibility is crucial for organizations that need to frequently update their systems and applications without completely redeploying their infrastructure. Advances in automation and orchestration tools are making it easier to manage mutable infrastructure effectively, thereby driving its rapid adoption and anticipated growth in the coming years.

Deployment Insights

The on-premise segment dominated the market in 2023. This significant share can be attributed to several factors. Many enterprises, especially those in regulated industries such as finance, healthcare, and government, prefer on-premise solutions due to stringent data security and compliance requirements. On-premise infrastructure as code solutions provide these organizations with greater control over their infrastructure and data, ensuring compliance with internal policies and regulatory standards. Additionally, businesses with substantial existing investments in on-premise infrastructure and legacy systems find it more practical to continue leveraging their current setups while incorporating IaC practices to enhance automation and efficiency.

The cloud segment is expected to witness the highest CAGR from 2024 to 2030. This projected growth is driven by the increasing adoption of cloud computing and the inherent advantages of cloud-based infrastructure as code solutions. Cloud IaC tools offer greater scalability, flexibility, and cost-efficiency, enabling organizations to rapidly adjust their infrastructure to meet changing demands without significant capital expenditure. Moreover, the growing trend towards multi-cloud and hybrid cloud strategies necessitates IaC solutions that can seamlessly manage and orchestrate resources across diverse cloud environments. The rise of digital transformation initiatives and the demand for agile, resilient, and innovative infrastructure further propel the shift towards cloud-based IaC deployments, making this segment a key growth area in the coming years.

Approach Insights

The declarative segment dominated the market in 2023. The declarative approach, favored for its simplicity and ease of use, allows users to specify the desired state of the infrastructure without detailing the steps to achieve that state. This method enhances consistency and reduces the likelihood of human errors, making it particularly attractive for organizations aiming for reliable and predictable infrastructure management. Additionally, declarative IaC tools, such as Terraform and CloudFormation, have gained widespread adoption due to their robustness and ability to integrate seamlessly with various cloud service providers.

The imperative segment is projected to witness the highest CAGR from 2024 to 2030. The imperative approach, which involves specifying the exact commands needed to achieve the desired infrastructure state, offers greater control and flexibility for complex and customized infrastructure configurations. As organizations increasingly seek more granular control over their infrastructure to optimize performance and efficiency, the demand for imperative IaC tools is expected to rise. The imperative approach's ability to handle intricate, bespoke infrastructure requirements and its potential to work in conjunction with automation and orchestration frameworks are key factors contributing to its anticipated growth.

End Use Insights

The It & telecommunication segment led the market and accounted for the highest revenue of the global revenue in 2023. This dominance can be attributed to the high demand for scalable and efficient infrastructure management solutions within this sector, which is characterized by rapid technological advancements and the need for continuous service delivery. IT & Telecommunication companies rely heavily on IaC tools to automate infrastructure provisioning, manage complex network configurations, and ensure high availability and performance of their services. The ability to quickly adapt to changing business needs and technological landscapes makes IaC an indispensable tool for this sector, justifying its substantial market share.

The retail segment is poised to experience the highest CAGR from 2024 to 2030. The retail industry is increasingly embracing digital transformation, driven by the need to enhance customer experiences, streamline operations, and stay competitive in a dynamic market. Retailers are adopting infrastructure as code to support their e-commerce platforms, manage large-scale data centers, and implement omnichannel strategies efficiently. The growing emphasis on personalized customer interactions, real-time data analytics, and seamless supply chain operations necessitates robust and flexible infrastructure solutions, which IaC provides. As retailers continue to invest in advanced technologies to improve their digital capabilities, the adoption of IaC tools is expected to surge, leading to the highest growth rate in this segment.

Regional Insight

North America infrastructure as a code market held a significant share and accounted for a 31.9% share in 2023. The market is experiencing robust growth driven by the rapid adoption of cloud computing and DevOps practices across various industries. The region's strong technological infrastructure, coupled with the presence of major cloud service providers and tech companies, fuels the demand for infrastructure as code solutions. Businesses are increasingly leveraging IaC to enhance the automation, scalability, and security of their IT operations. The push towards digital transformation and the need for efficient infrastructure management in sectors like IT & Telecommunication, BFSI, and healthcare are key trends propelling the market forward.

U.S. Infrastructure as Code Market Trends

The infrastructure as code market in the U.S. is particularly dynamic due to the country's leadership in technology innovation and cloud service adoption. The high concentration of tech giants and start-ups in Silicon Valley and other tech hubs accelerates the implementation of infrastructure as code solutions. The U.S. government and defense sectors are also significant adopters of IaC, seeking to modernize their IT infrastructures for enhanced security and operational efficiency. The growing emphasis on cybersecurity and compliance with regulatory standards further drives the adoption of IaC tools that offer integrated security features and compliance checks.

Europe Infrastructure as Code Market Trends

The infrastructure as a code market in Europe is characterized by a strong focus on regulatory compliance and data security, influenced by stringent regulations such as GDPR. European enterprises are increasingly adopting IaC to ensure consistent and secure infrastructure deployments that comply with these regulations. The region's significant investments in cloud infrastructure and digital transformation initiatives, particularly in countries like Germany, the UK, and France, are boosting the adoption of infrastructure as code. The emphasis on sustainability and energy efficiency is also a notable trend, with businesses using IaC to optimize resource utilization and reduce environmental impact.

Asia Pacific Infrastructure as Code Market Trends

In the Asia Pacific region, the infrastructure as code is growing rapidly due to the expanding adoption of cloud services and digital transformation across emerging economies like China, India, and Southeast Asian countries. The region's diverse and dynamic market landscape, along with increasing investments in IT infrastructure, drives the demand for infrastructure as code solutions. Businesses in sectors such as manufacturing, retail, and financial services are turning to IaC to enhance operational efficiency and competitiveness. The rising interest in AI, IoT, and smart city projects also contributes to the market's growth, as these initiatives require robust and scalable infrastructure management capabilities provided by IaC tools.

Key Infrastructure As Code Company Insights

The competitive landscape of the market is marked by a diverse array of players ranging from established tech giants to emerging startups. Major cloud service providers like AWS, Microsoft Azure, and Google Cloud dominate the market with their comprehensive solutions integrated into their cloud platforms. Additionally, specialized tool providers such as HashiCorp, with its Terraform platform, and Pulumi, with its open-source solutions, are significant competitors offering advanced features for infrastructure automation. The competitive dynamics are further influenced by continuous innovations, including the integration of AI and machine learning, and the emphasis on providing user-friendly, scalable, and secure IaC solutions.

Recent Developments

• In October 2023, Pulumi Corporation secured USD 41 million in funding to enhance infrastructure-as-code automation in the cloud, aimed at accelerating innovation in its open source platform. The company aims to utilize the investment to advance its open-source platform, ensuring easy access to cloud infrastructure for all users.

• In May 2023, Klotho introduced InfraCopilot, a sophisticated infrastructure-as-code editor tool featuring Natural Language Processing (NLP) capabilities for designing and modifying cloud infrastructure. This tool also provides a user-friendly interface for developers, facilitating both high-level and low-level architecture changes.

• In April 2023, Pulumi Corporation, a growing provider of infrastructure-as-code tools, launched Pulumi Insights, an intelligent product designed to help companies analyze cloud infrastructure resources. Pulumi Insights introduces new AI-driven features to enhance infrastructure automation and boost business productivity.

• In February 2023, Red Hat, Inc., an open-source solution provider, launched the Ansible Automation Platform on Google Cloud. This platform enables rapid cloud automation for managing IT ecosystems and delivers high-quality applications to drive better innovation.

Infrastructure As Code Market Report Scope

Global Infrastructure As Code Market Report Segmentation

This report forecasts revenue 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 global infrastructure as code market report based on infrastructure type, deployment, approach, end use, and region.

• Infrastructure Type Outlook (Revenue, USD Million, 2018 - 2030)

  • Mutable Infrastructure

  • Immutable Infrastructure

• Deployment Outlook (Revenue, USD Million, 2018 - 2030)

  • Cloud

  • On-Premise

• Approach Outlook (Revenue, USD Million, 2018 - 2030)

  • Imperative

  • Declarative

• End Use Outlook (Revenue, USD Million, 2018 - 2030)

  • Healthcare

  • BFSI

  • Retail

  • Government

  • IT & Telecom

  • Manufacturing

  • Others (Energy & Utilities, Hospitality and Tourism)

• Regional Outlook (Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • Germany

    • UK

    • France

  • Asia Pacific

    • China

    • Japan

    • India

    • South Korea

    • Australia

  • Latin America

    • Brazil

    • Mexico

  • Middle East and Africa (MEA)

    • Kingdom of Saudi Arabia

    • UAE

    • South Africa