The global object based storage market size was valued at USD 3,204.4 million in 2024 and is projected to grow from USD 3,540.5 million in 2025 to USD 7,523.5 million by 2032, exhibiting a CAGR of 11.14% during the forecast period. 

The global Object-Based Storage (OBS) Market is experiencing strong growth driven by the exponential rise of unstructured data, digital transformation initiatives, and the increasing demand for scalable, cost-effective storage solutions. With businesses shifting to cloud-first strategies and the proliferation of IoT, AI, and big data applications, object-based storage has become essential in modern IT infrastructure.

Object-based storage provides a flexible, scalable, and cost-efficient way to manage large volumes of unstructured data by storing data as objects rather than files or blocks. This architecture makes it ideal for cloud storage, multimedia content, backup, and archival use cases. As organizations across sectors seek to optimize data storage and retrieval, the adoption of object-based storage systems continues to accelerate.

Market Growth Overview

The object-based storage market is witnessing a consistent upward trajectory due to the following drivers:

• Growing reliance on digital services and remote operations across industries
• Rapid expansion of cloud computing and hybrid cloud deployments
• Increasing volumes of unstructured data from IoT, mobile, video, and enterprise applications
• Enterprise shift from traditional block/file storage systems to more scalable, flexible models
• Demand for cost-effective long-term archival and backup solutions

These factors are creating a favorable environment for the adoption of object-based storage solutions across enterprise IT, telecommunications, media, BFSI, healthcare, and government sectors.

Key Market Trends

Several transformative trends are influencing the dynamics of the object-based storage market:

• Cloud-First Strategies: Enterprises are increasingly adopting cloud-native architectures, with object-based storage being a foundational element of public, private, and hybrid cloud environments.
• Rising Unstructured Data Volumes: The growing consumption of video, audio, images, logs, emails, and IoT data has created massive volumes of unstructured data that require scalable and efficient storage solutions.
• S3 API and Compatibility: The rise of Amazon S3 API as the de facto standard has encouraged vendors to develop interoperable storage platforms that offer seamless integration and management.
• AI and Big Data Workloads: Object-based storage is well-suited for AI/ML applications that require scalable access to large datasets, enabling high-performance analytics and data modeling.
• Edge Storage Adoption: Object storage systems are being integrated into edge computing environments to support real-time analytics, data caching, and local data resilience.

Unlock Key Growth Opportunities: https://www.kingsresearch.com/object-based-storage-market-2557

Key Companies in Object Based Storage Market:

• Dell Inc.
• Hewlett Packard Enterprise Development LP
• Pure Storage, Inc
• Amazon Web Services, Inc
• Huawei Cloud Computing Technologies Co., Ltd
• Microsoft
• Hitachi Vantara LLC
• Fujitsu
• Google LLC
• MinIO, Inc
• Wasabi Technologies
• Backblaze
• Cloudian, Inc
• IBM Corporation
• Nutanix, Inc.

Market Dynamics

Drivers

• Digital Transformation: Enterprises undergoing digital transformation require robust storage infrastructure that supports rapid data growth and diverse workloads.
• Cloud Migration: As more organizations migrate workloads to the cloud, object storage emerges as the ideal architecture for managing unstructured cloud data.
• Cost Efficiency: Object-based storage systems offer lower total cost of ownership by reducing hardware requirements, simplifying management, and enabling tiered storage.
• Remote Workforce and Collaboration: With distributed teams and remote access demands, organizations seek scalable storage systems that enable secure and efficient data access.

Restraints

• Migration Complexity: Shifting from legacy block or file-based systems to object storage may involve data migration challenges, integration issues, and training requirements.
• Security Concerns: Data stored in object-based systems can be exposed to risks if not properly encrypted and secured, especially in multi-tenant or public cloud environments.
• Latency Issues: While suitable for high-volume data, object storage can have higher latency than block storage, making it less ideal for transactional workloads.

Opportunities

• Small and Medium Enterprises (SMEs): Cloud-based object storage solutions are increasingly accessible to SMEs, offering flexibility, scalability, and simplified storage without significant capital expenditure.
• Smart Cities and IoT: The surge in sensor-generated data from smart cities, connected vehicles, and industrial IoT creates demand for object-based storage systems capable of handling massive, continuous data streams.
• Healthcare Data Management: The healthcare industry is adopting object storage for managing electronic health records (EHRs), diagnostic imaging, and medical research data.
• Media and Entertainment: The need to store and retrieve large volumes of digital content in real-time drives object-based storage adoption in broadcasting, gaming, and OTT platforms.

Segmentation Analysis

The object-based storage market is segmented by deployment model, component, enterprise size, application, and industry vertical.

By Deployment Model

• Cloud-Based Deployment: Dominates the market due to scalability, elasticity, and reduced infrastructure management. Preferred by organizations looking for agility and cost efficiency.
• On-Premise Deployment: Chosen by enterprises requiring strict control, data sovereignty, or regulatory compliance. Often used in healthcare, finance, and government sectors.
• Hybrid Deployment: Combines cloud and on-premise storage for optimized performance, flexibility, and data locality. Gaining popularity among large enterprises.

By Component

• Software: Includes storage management platforms, access interfaces, APIs, and data protection features. Offers flexibility, automation, and ease of integration.
• Hardware: Comprises storage appliances, servers, and infrastructure that support object storage architecture. Often deployed in large-scale or performance-intensive environments.
• Services: Covers professional services such as consulting, system integration, migration, support, and maintenance.

By Enterprise Size

• Large Enterprises: Represent the major share due to complex IT infrastructures and large data volumes requiring scalable storage solutions.
• Small and Medium Enterprises (SMEs): Witnessing rapid adoption of cloud-based object storage due to lower entry barriers, simplified deployment, and subscription-based pricing models.

By Application

• Data Archiving and Backup: Object storage is widely used for long-term data retention, disaster recovery, and secure backup due to its durability and scalability.
• Big Data Analytics: Supports AI, ML, and analytics workloads by providing a storage layer that can handle large, unstructured datasets.
• Media Storage and Content Delivery: Suitable for storing high-definition video, audio, and digital content, enabling efficient streaming and content distribution.
• Cloud Storage Platforms: Object-based storage underpins major cloud storage services, offering elasticity and multi-tenant capabilities.
• Surveillance and Security: Stores vast amounts of video surveillance data in smart cities, transportation, and industrial facilities.

By Industry Vertical

• IT and Telecommunications: Largest consumer due to cloud-native application hosting, data center expansion, and managed storage services.
• Healthcare: Used for storing sensitive patient records, diagnostic images, and research data with high availability and compliance requirements.
• BFSI (Banking, Financial Services, and Insurance): Utilized for secure data storage, compliance archiving, and fraud detection systems.
• Media and Entertainment: Powers digital content storage, editing, and distribution in broadcasting, gaming, and OTT platforms.
• Retail and E-Commerce: Supports customer data, transaction records, inventory logs, and personalized marketing insights.
• Government and Education: Adopted for secure document storage, digital records, learning content, and citizen services.

Regional Analysis

The object-based storage market demonstrates diverse growth trends across major regions:

North America

North America is the leading market for object-based storage, supported by strong technology infrastructure, widespread cloud adoption, and high data consumption. Enterprises across healthcare, BFSI, and media sectors are key adopters. Regulatory compliance and data protection also drive demand in this region.

Europe

Europe exhibits steady growth, driven by digitalization in government, banking, and manufacturing sectors. Strict regulations related to data privacy and compliance (such as GDPR) promote adoption of secure and scalable storage platforms.

Asia-Pacific

Asia-Pacific is the fastest-growing regional market. Countries like China, India, South Korea, and Japan are investing heavily in cloud infrastructure, smart city initiatives, and digital business models. The expansion of telecommunications, e-commerce, and AI-based applications is further boosting demand for object-based storage.

Latin America

Latin America is experiencing gradual adoption as cloud technologies penetrate deeper into enterprise operations. Brazil and Mexico are leading markets in the region, with growing interest from finance, education, and media sectors.

Middle East and Africa

The Middle East and Africa are emerging markets with increasing investments in IT modernization, smart city development, and government digitization. Object-based storage is being explored as a flexible and cost-effective solution for secure data management.

Future Outlook

The object-based storage market is expected to continue its upward momentum, supported by key factors such as:

• Widespread digital transformation across industries
• Expanding hybrid cloud architectures
• Growing reliance on AI, machine learning, and analytics
• Escalating unstructured data from IoT, social media, and content creation
• Increasing demand for reliable, cost-effective, and secure storage infrastructure

As enterprises prioritize scalable and intelligent data storage solutions, object-based storage is set to play a central role in the evolving digital ecosystem.

Conclusion

The object-based storage market is transitioning from a niche solution for archival storage to a critical enabler of digital innovation. As enterprises confront growing data complexity and performance demands, object-based storage offers the flexibility, scalability, and efficiency required to stay competitive. With advancements in cloud computing, edge infrastructure, and AI workloads, the future of this market looks increasingly robust and dynamic.

Browse Related Article:

Next-Gen Batteries: How Japan Is Charging the Future of Electric Vehicles with Solid-State Tech

Tokenized Everything: Japan’s Emerging Ecosystem of Digital Assets and Web3 Finance

From Factories to Forests: How Japan’s Versatile Robots Are Tackling Labor Shortages