In this report, the Object-Based Storage Market has been segmented by Type, Component, Enterprise Size, End User, and Geography.

Object-Based Storage Market, Segmentation by Type

The Object-Based Storage Market has been segmented by Type into Cloud-Based and On-Premise

Cloud-Based
The cloud-based segment dominates the object-based storage market, accounting for over 60% of the total share. This growth is fueled by the rising adoption of remote data storage, scalability, and cost-effective infrastructure offered by cloud solutions across enterprises of all sizes.

On-Premise
The on-premise segment continues to serve industries requiring data sovereignty and low-latency access. Holding nearly 40% of the market, this type is preferred by organizations dealing with sensitive or regulated data that cannot be moved to external environments.

Object-Based Storage Market, Segmentation by Component

The Object-Based Storage Market has been segmented by Component into Software, Hardware, and Services

Software
The software segment leads the object-based storage market, contributing around 45% of the total share. With the growing need for data management automation and policy-based storage tiering, software solutions are widely adopted across industries to improve data accessibility and performance.

Hardware
Hardware solutions make up nearly 35% of the market, driven by demand for high-capacity storage systems such as object storage appliances and servers. Enterprises continue to invest in robust infrastructure to support large-scale unstructured data environments.

Services
The services segment accounts for about 20% of the market, encompassing consulting, deployment, and maintenance support. Organizations rely on specialized services to implement and optimize object storage systems, especially in hybrid and multi-cloud settings.

Object-Based Storage Market, Segmentation by Enterprise Size

The Object-Based Storage Market has been segmented by Enterprise Size into Large Enterprise and Small & Medium-Sized Enterprises(SMEs)

Large Enterprise
Large enterprises dominate the object-based storage market with a share of over 65%, driven by their need to manage massive volumes of unstructured data across globally distributed environments. They prioritize scalable, secure, and high-performance storage for critical workloads and long-term data archiving.

Small & Medium-Sized Enterprises (SMEs)
SMEs contribute approximately 35% to the market as they increasingly adopt cost-effective cloud-based storage solutions. Their focus lies in improving data accessibility, simplifying storage management, and enabling flexible data growth without heavy upfront infrastructure costs.

Object-Based Storage Market, Segmentation by End User

In this report, the Object-Based Storage Market has been segmented by End User into Healthcare, BFSI , Retail, Manufacturing, IT & Telecom, and Others

Healthcare
The healthcare segment holds nearly 18% of the object-based storage market, fueled by the increasing need to store and manage medical imaging data, electronic health records (EHRs), and genomic data. The demand for secure and scalable storage continues to rise with growing digital health initiatives.

BFSI
BFSI contributes around 22% to the market, as institutions rely on object-based storage for long-term data retention, regulatory compliance, and real-time analytics. High data growth and stringent security requirements drive adoption in this sector.

Retail
Retailers account for nearly 15% of the market, utilizing object-based storage to handle customer data, transaction logs, and digital content. The shift toward omnichannel commerce and personalized marketing fuels the need for robust data storage solutions.

Manufacturing
The manufacturing segment represents about 12% of the market. Object-based storage supports the handling of IoT-generated data, product design files, and supply chain analytics, enabling more efficient operations and innovation.

IT & Telecom
IT & Telecom holds the largest share, close to 25%, due to the sector’s demand for large-scale, scalable data infrastructure. Object-based storage is essential for managing streaming data, cloud services, and network logs.

Others
The ‘Others’ category, covering sectors such as education, media & entertainment, and government, contributes the remaining 8%. These industries are turning to object storage for archival efficiency and cost-optimized data access.

Object-Based Storage Market, Segmentation by Geography

In this report, the Object-Based Storage Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.

Object-Based Storage Market Share (%), by Geographical Region

North America
North America leads the object-based storage market with over 35% share, driven by the presence of leading cloud providers, rapid digital transformation, and high data generation across industries. The U.S. remains the primary contributor due to its advanced IT infrastructure.

Europe
Europe contributes approximately 25% to the market, supported by stringent data protection regulations such as GDPR and increasing adoption of cloud-based storage across BFSI, healthcare, and government sectors.

Asia Pacific
Asia Pacific is the fastest-growing region, accounting for around 20% of the market. Factors such as cloud expansion, growing SME digitization, and rising data center investments in China, India, and Southeast Asia are fueling this growth.

Middle East and Africa
The Middle East and Africa region holds nearly 10% share, with increasing demand for secure data storage in government, oil & gas, and financial services. Investments in digital infrastructure are gradually expanding market presence.

Latin America
Latin America makes up the remaining 10% of the market, with countries like Brazil and Mexico adopting object-based storage for data archiving, enterprise applications, and hybrid cloud integration.

This report provides an in depth analysis of various factors that impact the dynamics of Object-Based Storage Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.

Drivers, Restraints and Opportunity Analysis

Drivers

• Growth in unstructured data volumes
• Cloud adoption fueling storage innovation
• Need for scalable and cost-effective storage

• Rising demand for high data availability - The increasing reliance on digital services and cloud-based platforms has significantly elevated the importance of high data availability across all industries. Businesses today operate in real time and demand continuous access to data, which makes traditional storage systems with limited redundancy and scalability insufficient for modern workloads.Object-based storage (OBS) is emerging as a preferred solution due to its ability to ensure persistent access and fault tolerance even in the event of system failures or data center outages. By distributing data across multiple nodes and geographies, OBS systems offer resilience and minimize the risk of data loss or unplanned downtime.

  Industries such as e-commerce, finance, healthcare, and streaming services require uninterrupted access to vast datasets. Any disruption in availability can result in service outages, revenue loss, or compliance issues. OBS helps mitigate these risks through its replication and self-healing architecture, which automatically restores lost or corrupted data without manual intervention.As business continuity becomes a top priority, organizations are increasingly shifting to storage systems that support high availability service-level agreements (SLAs). OBS platforms are designed to meet these expectations with built-in redundancy and scalable architecture that grows in line with data demands.

  The growing adoption of hybrid and multi-cloud environments is reinforcing the need for storage systems that offer seamless data access across regions and service providers. Object storage enables this flexibility by allowing data to be accessed and managed consistently, regardless of its physical location.OBS also supports high-availability use cases such as content delivery networks (CDNs), real-time analytics, and collaboration platforms where speed and continuous access are non-negotiable. This adaptability positions object storage as a critical component in the modern data infrastructure stack.The push for zero downtime and always-on services will continue to drive demand for storage systems that can maintain data availability at scale. As a result, object-based storage is becoming a strategic investment for businesses prioritizing digital reliability and operational resilience.

Restraints

• High latency in certain workloads
• Integration issues with legacy systems
• Complexity in managing object metadata

• Limited awareness among small enterprises - A significant barrier to the widespread adoption of object-based storage is the limited awareness among small and medium-sized enterprises (SMEs). While large enterprises have begun integrating OBS into their data strategies, many smaller organizations remain unfamiliar with its capabilities and benefits.SMEs often rely on traditional file or block storage solutions due to their simplicity and familiarity. The concept of object storage, with its different architecture and access model, is still perceived as complex or suited only for large-scale use cases, which deters consideration and investment.

  Budget constraints also play a role. Smaller businesses may not allocate resources to evaluate or implement advanced storage technologies, especially when current systems appear to be functioning adequately. This limits their exposure to the long-term cost efficiency and scalability that object storage provides.Another contributing factor is the lack of targeted marketing and education from storage vendors. Many providers focus their outreach on enterprise clients, missing the opportunity to tailor messaging and use cases that resonate with the operational challenges of smaller businesses.

  The absence of in-house IT expertise in many SMEs makes it difficult to assess newer storage architectures. Without guidance or simplified onboarding processes, these organizations are less likely to adopt object-based solutions, even if they offer superior performance and flexibility.This lack of awareness restricts market penetration and delays the broader adoption of OBS across different sectors. Unlocking growth potential in this segment will require vendor-driven education, simplified platforms, and cost-effective solutions tailored to the SME audience.Addressing this gap is critical, as SMEs represent a substantial portion of the global economy. Raising awareness and accessibility of object-based storage could significantly broaden its user base and accelerate overall market growth.

Opportunities

• AI-driven storage analytics and automation
• Edge computing boosting storage demand
• Hybrid cloud deployments accelerating adoption

• Increased investment in big data infrastructure - The rapid acceleration of data generation across industries has led to a surge in investment in big data infrastructure, creating a powerful opportunity for the object-based storage market. As organizations seek to harness vast amounts of unstructured data, scalable and efficient storage systems have become a foundational requirement. Object-based storage aligns seamlessly with big data environments due to its ability to store massive volumes of data across distributed systems. Its flat architecture and metadata tagging capabilities make it ideal for managing unstructured data like documents, images, videos, and sensor-generated logs.

  Enterprises building data lakes, machine learning models, and real-time analytics pipelines are turning to object storage for its cost-effectiveness, durability, and accessibility. These platforms allow large datasets to be ingested, stored, and retrieved efficiently without compromising performance or scalability. Government agencies, healthcare institutions, and financial services are increasing their investment in analytics and intelligence platforms. These sectors demand data retention at scale, combined with strict security and compliance—features well supported by modern object storage systems.

  The shift toward edge computing and IoT also contributes to big data expansion. With more data generated at the edge, object-based storage provides the backend infrastructure to aggregate, store, and analyze this data in centralized or hybrid environments.Cloud-native data services, which often run on object storage backends, further accelerate this opportunity. As more companies adopt SaaS and PaaS models, the demand for robust, scalable storage increases in parallel with big data infrastructure investments. With the exponential growth of data showing no signs of slowing down, the rising investment in big data ecosystems will continue to drive demand for object-based storage, making it a core pillar of future-ready data architectures.

Key players in Object-Based Storage Market include:

• Hitachi Vantara Corp
• NetApp Inc
• IBM Corporation
• Scality Inc
• Dell EMC
• Cloudian, Inc
• Caringo Inc
• StorageCraft Technology Corp
• WesternDigital Corp

In this report, the profile of each market player provides following information:

• Company Overview and Product Portfolio
• Market Share Analysis
• Key Developments
• Financial Overview
• Strategies
• Company SWOT Analysis