Cloud Compliance Market Size & Trends
The global cloud compliance market size was estimated at USD 36.16 billion in 2024 and is projected to grow at a CAGR of 17.0% from 2025 to 2030. The growing regulatory landscape is a major driver of the market growth. As governments and regulatory bodies around the world enact stricter data protection and privacy laws, such as the General Data Protection Regulation (GDPR) in the European Union and the California Consumer Privacy Act (CCPA) in the U.S.,
Key Takeaways
North America cloud compliance market had a significant share of more than 36.0% of the cloud compliance market in 2024.
The U.S. market for cloud compliance is likely to expand over the forecast period.
By type, the software segment accounted for the biggest market share of more than 56.0% in 2024
By application, the audit and compliance management segment was in charge of the market with a revenue share of more than 34.0% in 2024
By model, software-as-a-service (SaaS) segment accounted for the highest market share of more than 51.0% in 2024
Organizations are under mounting pressure to adhere to these regulations. Cloud service providers should provide solutions that enable businesses to achieve these compliance requirements.
The intricacies of staying compliant in a cloud environment, especially in more than one jurisdiction, have given rise to an increasing need for cloud compliance solutions that can assist businesses in keeping track of their legal requirements and staying away from penalties for non-compliance.
Greater use of cloud computing is another major driver driving the demand for cloud compliance solutions. As more companies shift their workloads to the cloud, they are confronted with new challenges in managing compliance across various cloud environments. Cloud compliance solutions provide organizations with the tools necessary to ensure that their cloud environments are compliant with industry standards and regulatory requirements, enabling companies to adopt cloud technologies without sacrificing compliance. As companies continue to move mission-critical applications and sensitive information to the cloud, they need sound compliance frameworks that can help maintain data security and privacy.
The growing magnitude of cyber attacks and data breaches is compelling the cloud compliance market. With more and more cyber attacks being launched against cloud infrastructures, ensuring sound security features has become the top priority. Cloud compliance solutions are important in avoiding the risk of data breaches by enforcing security policies, auditing, and confirming that data protection measures are in place as companies are under growing pressure to secure customer data and prevent expensive security breaches. Cloud compliance solutions provide an avenue for setting security practices against industry standards and regulatory requirements.
The increasing focus on data protection and privacy is yet another motivator for the cloud compliance market. As concerns about data privacy among consumers grow, there is heightened need for organizations to have strict data protection policies in place, especially in cloud systems. Data privacy laws, for instance, GDPR and the Health Insurance Portability and Accountability Act (HIPAA), mandate businesses to protect sensitive and personal information, and non-adherence to these laws can lead to hefty penalties and damage to reputation. Cloud compliance products assist businesses in guaranteeing that they are adhering to required levels of data protection and privacy, and this allows them to carry out operations in a secure and legally compliant environment.
In addition, cloud service provider compliance certifications are becoming a key consideration for organizations looking for cloud solutions. Several cloud providers are providing certifications for their offerings, guaranteeing that they comply with certain security and regulatory requirements. This is especially crucial for companies in extremely controlled industries like finance, healthcare, and government, where compliance is not only a legal requirement but also a matter of operational integrity. As additional cloud providers are providing compliance-specific offerings, companies are increasingly likely to use these solutions to ease their compliance activities and minimize the burden of managing compliance in-house.
Remote work growth is impacting the cloud compliance market. As the world is transitioning to remote and hybrid workspaces, businesses are increasingly dependent on cloud-based tools and platforms to facilitate collaboration, communication, and data accessibility. With employees accessing sensitive information from remote locations and devices, the demand for robust cloud compliance processes has mounted. Organizations are resorting to cloud compliance tools to lock down their remote workplaces, provide appropriate access controls, and comply with data protection regulatory mandates, especially in sectors that work with sensitive individual or financial data.
Report Coverage & Deliverables
- Competitive benchmarking
- Historical data & forecasts
- Company revenue shares
- Regional opportunities
- Latest trends & dynamics
Component Insights
The software segment commanded a market share of more than 56.0% in 2024. The intricacy of multi-cloud and hybrid cloud environments is one of the key drivers for cloud compliance software. Most organizations nowadays are implementing multi-cloud or hybrid cloud strategies to prevent vendor lock-in and streamline their cloud infrastructure. But compliance across multiple cloud providers, each having its own array of tools, services, and security features, can be incredibly daunting. Cloud compliance software solutions for multi-cloud environments offer a unified platform to manage compliance across heterogeneous cloud providers, making the process of maintaining regulatory compliance more efficient. These solutions allow companies to adopt uniform compliance policies across every cloud environment, minimizing the risk of non-compliance and streamlining compliance audits.
The services segment is expected to achieve the highest CAGR throughout the forecast period. The adoption of cloud-native technologies, including containerization and microservices, has brought new compliance challenges for organizations. In order to combat these issues, businesses are resorting to solutions providing security testing, vulnerability management, and compliance automation tools that enable organizations to stay compliant without compromising on operational efficiency. The need for such niche services is expected to grow further as enterprises continue to adopt more sophisticated cloud technologies in their operations.
Application Insights
The compliance management and audit segment led the market with a revenue share of more than 34.0% in 2024. The shift toward automation in compliance management is one key driver for this segment. Automation software streamlines the audit process by minimizing manual intervention, enhancing the accuracy and efficiency of compliance checks, and offering businesses real-time, actionable intelligence on their compliance status. As companies more and more seek to adopt AI, machine learning, and automation within their functions, all these technologies will be central in maximizing the efficiency and efficacy of audit and compliance management processes.
The threat detection and remediation market is expected to grow at a CAGR of 18.3% during the forecast period. Rising instances of cyberattacks on cloud environments are propelling the growth of the segment. As more data are stored and processed in the cloud, threat actors are now more focused on attacking vulnerabilities in cloud infrastructure, applications, and services. The evolution of complex threats like ransomware, advanced persistent threats (APTs), and insider threats underscores the importance of advanced threat detection and response. Consequently, enterprises are spending on cloud-based threat detection products that have the ability to detect suspicious behaviors, anomalies, and potential weaknesses in real-time, enabling them to react fast enough to avert or mitigate the effects of security intrusions.
Model Insights
The software-as-a-service (SaaS) segment comprised the highest market share of more than 51.0% during 2024. The growth of the SaaS market itself is another prime motivator for cloud compliance solutions. With more organizations dependent on SaaS vendors for all manner of business activities, from customer relationship management (CRM) to enterprise resource planning (ERP), demand for comprehensive compliance features within such applications is escalating. SaaS companies are meeting this need by integrating compliance models and security measures directly into their offerings, enabling users to comply with regulations more efficiently. Furthermore, the SaaS companies' ability to update and refine their compliance tools regularly enables organizations to keep ahead of changing regulations, making SaaS a strong solution for organizations dealing with cloud compliance complexities.
The IaaS market is expected to grow at a CAGR of 18.3% over the forecast period. Complexity associated with managing compliance within a multi-cloud scenario is another key driver for this segment growth. Most companies embrace multi-cloud strategies as a means to prevent vendor lock-in and configure their cloud infrastructure for various workloads. This complexity results in the necessity for centralized compliance management platforms capable of addressing multiple IaaS vendors. These solutions assist organizations in overseeing their infrastructure and data across various cloud platforms, with compliance ensured throughout their entire cloud system. As adoption of multi-cloud environments increases, the need for efficient compliance tools and solutions for IaaS will increase accordingly.
Enterprise Size Insights
The large enterprises segment held the largest market share of over 56.0% in 2024. The need for advanced threat detection and risk management is another significant driver for large enterprises in adopting cloud compliance solutions. With the increasing frequency and sophistication of cyberattacks, including data breaches and ransomware, large enterprises are focusing more on strengthening their security posture within the cloud. Cloud compliance tools now offer integrated threat detection capabilities that automatically identify and address vulnerabilities across complex infrastructures, reducing the potential for a security incident that could compromise sensitive data. This proactive approach to security and compliance helps large enterprises mitigate risks, meet regulatory obligations, and avoid disruptions to business operations.
The small and medium enterprises (SMEs) segment is expected to register the fastest CAGR during the forecast period. SMEs are increasingly aware of the benefits of outsourcing compliance management to cloud service providers with specialized expertise. Many cloud compliance solutions offer integrated security features, such as encryption, identity and access management, and audit logs. These help SMEs protect sensitive data and maintain compliance across multiple regulatory frameworks. The expertise and automation that these solutions provide help reduce the burden on SMEs, allowing them to focus on their core operations while remaining compliant with evolving regulations.
End Use Insights
The BFSI segment led the market with a revenue share of more than 20.0% in 2024. The shift towards remote work and digitalization of services has further fueled the demand for cloud compliance solutions in the BFSI sector. With increasing employees working remotely and clients expecting 24/7 access to banking and insurance services, organizations need to ensure that cloud environments are operational and secure, and compliant. The pandemic has brought to the forefront the need for cloud-based system security to avoid risks introduced by remote work, including unsanctioned access to confidential data or non-regulatory compliance due to incorrect configurations.
The manufacturing industry is expected to grow by a CAGR of 20.3% through the forecast period. Increased adoption of Internet of Things (IoT) devices in manufacturing has also been a huge contributory factor for cloud compliance. IoT devices also produce huge volumes of real-time data, much of which is being stored in the cloud for analysis and use in making decisions. The devices, from sensors in production lines to networked machines, gather useful information about equipment and product performance, condition, and quality. Solutions in the cloud have to protect this data so it is kept safe and in accordance with pertinent regulations, such as data privacy legislation or industry-specific safety guidelines. Producers require cloud platforms with the capability to store big data at scale and provide strong compliance capabilities that are traceable and auditable to ensure regulatory compliance.
Regional Insights
North America cloud compliance market had a faster-than-average global share of more than 36.0% in 2024. Cloud compliance market growth is fueled by digital transformation projects. When companies modernize, including transitioning old systems to the cloud, they tend to find it difficult to ensure that their new cloud platforms comply with current industry regulations and security measures. This transformation is not just a matter of moving workloads to the cloud but also looking at how data is stored, accessed, and secured. Organizations are looking for cloud compliance solutions that will be able to support their digital transformation in being executed securely, as well as in line with the relevant regulations, particularly in highly regulated sectors such as healthcare, finance, and manufacturing.
U.S. Cloud Compliance Market Trends
The U.S. cloud compliance industry is projected to grow during the forecast period. The rise of cloud-native applications and DevOps practices is driving market growth. Cloud-native development, which leverages microservices, containers, and serverless computing, is gaining momentum as organizations seek to modernize their applications for scalability and flexibility. DevOps practices, which emphasize continuous integration and continuous delivery (CI/CD), are becoming standard in cloud application development. Cloud compliance solutions are evolving to support these agile environments by automating compliance checks and integrating compliance controls directly into the development pipeline. By embedding compliance into the DevOps process, businesses can ensure that applications remain compliant throughout their lifecycle, even as they scale and evolve rapidly.
Europe Cloud Compliance Market Trends
The cloud compliance market in Europe is expected to develop at a high rate throughout the forecast period. Globalization of European companies propels the development of the cloud compliance market. As European companies expand their business globally, they have to abide by different regulatory sets across non-EU regions like the CCPA in the U.S. as well as other local data protection regulations. In order to efficiently deal with cross-border data transfers and achieve compliance in multiple jurisdictions, businesses need cloud compliance solutions that are capable of dealing with multiple regulatory environments in parallel. Such solutions enable businesses to achieve the varying compliance needs of different countries, thereby not incurring legal and financial penalties and keeping operations global.
The UK cloud compliance market is expected to expand throughout the forecast period. The growth in the application of third-party providers and SaaS products is promoting the demand for cloud compliance solutions across the UK. As companies more and more get dependent on outside service providers for business-critical functions like software-as-a-service (SaaS), infrastructure-as-a-service (IaaS), and platform-as-a-service (PaaS), these companies need to make sure that these third-party providers achieve the same stringent standards required from them. Companies are implementing cloud compliance platforms that allow them to evaluate and track the compliance stance of their third-party vendors so that their cloud environments remain compliant and secure. Third-party risk management is especially crucial in sectors that are highly regulated, such as finance and healthcare, where compliance mishaps by a vendor can cost the company significant monetary and legal consequences.
Germany's cloud compliance market is expanding at a massive rate throughout the forecast period. The increased adoption of hybrid cloud architectures and cloud marketplaces is also fueling the demand for cloud compliance solutions. Hybrid cloud environments are being adopted by most companies in Germany, mixing on-premises data centers with public and private cloud services. This hybrid model creates greater scalability and flexibility but also poses challenges in ensuring compliance across multiple platforms. Hybrid environments typically entail dealing with varied regulatory requirements for data stored both on-premises and in the cloud. Cloud compliance platforms are fulfilling this requirement by providing software that can natively handle compliance both in private and public cloud infrastructures so that organizations are able to satisfy a wide range of regulatory demands, such as data residency, privacy, and security.
Asia Pacific Cloud Compliance Market Trends
The Asia Pacific cloud compliance market is anticipated to expand at the highest CAGR of 19.1% during the forecast period of 2025 to 2030. The growth of cross-border data flows in the APAC region is the other major factor driving cloud compliance. As the APAC region continues to become a more integrated market, organizations are handling data that straddles national boundaries, and hence are required to navigate the different regulatory regimes in the region. The Asia-Pacific Economic Cooperation (APEC) has been harmonizing data protection requirements in its member economies. Australia and Singapore have local data residency laws, which mandate that specific data remain onshore. Compliance solutions for the cloud are significant in handling these sophisticated data flows to allow businesses to meet local data sovereignty regulations without compromising on efficient cross-border operations.
The cloud compliance market in China is anticipated to expand over the forecast period. Cloud compliance in China is also being spurred by the growing e-commerce and financial services industry. China is home to some of the world's largest e-commerce and finance firms, and these sectors deal with huge amounts of financial and personal data, which are under strict regulatory compliance. Further, the increasing popularity of electronic payments and mobile banking across China has created a need for fintech companies to implement cloud compliance solutions that meet both security and regulatory requirements. Such solutions assist organizations within the financial services industry in ensuring that cloud environments are suitable for meeting China's financial regulations' own specific demands, providing both data protection and compliance.
The cloud compliance market in India is expected to grow over the forecast period. Higher consumption of cloud services by different industries in India is another major driver for cloud compliance. India has emerged as one of the fastest-growing regions for cloud service, with organizations in different verticals such as banking, finance, healthcare, e-commerce, and manufacturing adopting cloud solutions for improved operational effectiveness, scalability, and innovation. With companies moving to the cloud, they need to ensure compliance with industry standards and regulations. For instance, the Reserve Bank of India (RBI) has come up with guidelines for the banking sector that mandate financial institutions to implement proper security controls when they use cloud services. These sector-specific needs are driving companies to implement cloud compliance solutions that enable them to achieve regulatory compliance while taking advantage of the cloud's flexibility and cost-effectiveness.
Key Cloud Compliance Company Insights
Some of the major companies that have a presence in the market include Microsoft Corporation, IBM Corporation, and AT&T, among others. These are some of the major players in the cloud compliance market.
Microsoft Corporation is an international technology company. Microsoft has products and services in a number of different areas, including operating systems, productivity software, cloud computing, and artificial intelligence. Its leading cloud platform, Azure, competes with other big players such as Amazon Web Services (AWS) and Google Cloud, offering a complete set of cloud services to global businesses.​ With more and more companies moving to the cloud, compliance with regulatory standards is crucial. Microsoft responds to this requirement through a strong framework aimed at assisting customers in satisfying diverse legal, regulatory, and industry-specific demands.​
AT&T Inc. is a major American media and telecommunications conglomerate. The firm provides a wide portfolio of services, which include wireless communications, broadband, digital TV, and cloud solutions for consumer and business markets.​ AT&T's compliance strategy in the cloud is part of its overall business, particularly as it offers cloud services to corporations and governments. The firm uses a multi-layered security model of monitoring, active prevention, and speed of response to security threats. This approach is supported by tools such as near-real-time data correlation, situational awareness reporting, and predictive security alerting.​​
ClearDATA and Nutanix are some of the emerging market participants in the cloud compliance industry.
ClearDATA is a private company focused solely on the healthcare industry. ClearDATA provides cloud security and compliance software and services to protect sensitive healthcare information. The CyberHealth Platform is its featured solution, offering cloud security posture management (CSPM), managed detection and response (MDR), and continuous compliance monitoring specific to the healthcare industry's specific requirements.
Nutanix is an American cloud computing company for enterprises. The company is based in San Jose, California. Nutanix has become a complete hybrid and multi-cloud provider. The company platform combines computing, storage, networking, and virtualization into one software-defined architecture, allowing businesses to deploy applications and manage information effortlessly across on-premises data centers, public clouds, and edge locations.​ As the adoption of cloud-based technologies rises for organizations, it becomes ever so important to be compliant with multiple regulatory standards. Nutanix achieves this requirement via its solid cloud compliance infrastructure that includes a wide variety of certificates and alignment to industry standards and best practices.
Key Cloud Compliance Companies
The following are the leading companies in the cloud compliance market. These companies collectively hold the largest market share and dictate industry trends
- Amazon Web Services (AWS)
- AT&T
- Cisco Systems, Inc.
- ClearDATA
- Google LLC
- IBM Corporation
- Microsoft Corporation
- Nutanix
- Oracle Corporation
- Palo Alto Networks
- Qualys
Recent Developments
-
In April 2025, DNX Solutions joined forces with Amazon Web Services (AWS) with the signing of two new Strategic Collaboration Agreements (SCAs) that are focused on enabling companies to harness generative AI technologies and accelerate VMware modernization. As an AWS Premier Tier Consulting Partner, DNX Solutions is now well established as a top-tier provider of transformative AI solutions with the use of services such as Amazon Bedrock, Amazon Q, and Amazon SageMaker. Expertise in bringing modernity to infrastructure and applications, DNX has a firm focus on cloud security, cloud compliance, and rendering actionable outcomes. The new SCAs make DNX's partnership with AWS official and more extensive through joint go-to-market efforts, technical enablement, and jointly funded project initiatives.
In March 2025, Experis entered into a strategic agreement with ClearDATA. Through this partnership, Experis will possess reseller rights to ClearDATA's CyberHealth Platform and Advanced Solutions Managed Services, which are known for HITRUST certification and HIPAA compliance. These solutions comprise industry-leading cloud security posture management and Managed Detection & Response.
During February 2025, Palo Alto Networks introduced Cortex Cloud, the newest evolution of Prisma Cloud. The new solution natively embeds newer versions of its award-winning cloud detection and response (CDR) and cloud native application protection platform (CNAPP) features in the integrated Cortex platform. By relocating its cloud security solution to the AI-driven Cortex SecOps platform, Palo Alto Networks further pursues its platformization strategy, providing a solid, integrated user experience enriched with persona-based dashboards and workflows.
Cloud Compliance Market Report Scope
|
Report Attribute |
Details |
|
Market size value in 2025 |
USD 41.39 billion |
|
Revenue forecast in 2030 |
USD 90.67 billion |
|
Growth Rate |
CAGR of 17.0% from 2025 to 2030 |
|
Actual data |
2018 - 2024 |
|
Forecast period |
2025 - 2030 |
|
Quantitative units |
Revenue in USD billion and CAGR from 2025 to 2030 |
|
Report coverage |
Revenue forecast, company share, competitive landscape, growth factors, and trends |
|
Segments covered |
Component, application, model, enterprise size, end use, region |
|
Regional scope |
North America; Europe; Asia Pacific; Latin America; MEA |
|
Country scope |
U.S.; Canada; Mexico; UK; Germany; France; China; India; Japan; Australia; South Korea; Brazil; UAE; Saudi Arabia; South Africa |
|
Key companies profiled |
Microsoft Corporation; IBM Corporation; AT&T; Oracle Corporation; Qualys; Nutanix; Amazon Web Services, Inc.; Google LLC; Cisco Systems, Inc.; Palo Alto Networks; ClearDATA |
|
Customization scope |
Free report customization (equivalent to 8 analysts working days) with purchase. Addition or alteration to country, regional & segment scope. |
|
Pricing and purchase options |
Avail customized purchase options to meet your exact research needs. Explore purchase options |
Global Cloud Compliance Market Report Segmentation
Cloud Compliance Component Outlook (Revenue, USD Million, 2018 - 2030)
-
-
Software
-
Services
-
-
Cloud Compliance Application Outlook (Revenue, USD Million, 2018 - 2030)
-
Audit and Compliance Management
-
Threat Detection and Remediation
-
Activity Monitoring and Analytics
-
Visibility and Risk Assessment
-
Others
-
-
Cloud Compliance Model Outlook (Revenue, USD Million, 2018 - 2030)
-
Infrastructure-as-a-Service (IaaS)
-
Platform-as-a-Service (PaaS)
-
Software-as-a-Service (SaaS)
-
-
Cloud Compliance Enterprise Size Outlook (Revenue, USD Million, 2018 - 2030)
-
Large Enterprises
-
Small and Medium Enterprises
-
-
Cloud Compliance End Use Outlook (Revenue, USD Million, 2018 - 2030)
-
BFSI
-
IT & Telecom
-
Retail & Consumer Goods
-
Manufacturing
-
Energy & Utilities
-
Healthcare
-
Government & Public Sector
-
Others
-
-
Cloud Compliance Regional Outlook (Revenue, USD Million, 2018 - 2030)
-
North America
-
U.S.
-
Canada
-
Mexico
-
-
Europe
-
Germany
-
UK
-
France
-
-
Asia Pacific
-
China
-
India
-
Japan
-
South Korea
-
Australia
-
-
Latin America
-
Brazil
-
-
Middle East & Africa
-
UAE
-
Saudi Arabia
-
South Africa
-
-
Related Reports
FAQ'S
For a single, multi and corporate client license, the report will be available in PDF format. Sample report would be given you in excel format. For more questions please contact:
Within 24 to 48 hrs.
You can contact Sales team (sales@marketinsightsresearch.com) and they will direct you on email
You can order a report by selecting payment methods, which is bank wire or online payment through any Debit/Credit card, Razor pay or PayPal.
Discounts are available.
Hard Copy