South Korea Cloud Computing Market Size, Share, and COVID-19 Impact Analysis, By Type (Public Cloud, Private Cloud, and Hybrid Cloud), By Organization Size (SMEs and Large Enterprises), and South Korea Cloud Computing Market Insights, Industry Trend, Forecasts to 2035

South Korea Cloud Computing Market Insights Forecasts to 2035

• The South Korea Cloud Computing Market Size was estimated at USD 3.6 Billion in 2024
• The Market Size is Expected to Grow at a CAGR of around 12.61% from 2025 to 2035
• The South Korea Cloud Computing Market Size is Expected to Reach USD 14.5 Billion by 2035

According to a research report published by Spherical Insights and Consulting, The South Korea Cloud Computing Market Size is anticipated to reach USD 14.5 Billion by 2035, growing at a CAGR of 13.50% from 2025 to 2035. The growing number of cybersecurity attacks and data breaches, rising focus on online education and e-learning, and the extensive use of cloud computing solutions in the healthcare sector are some of the major drivers behind the market growth.

Market Overview

The market for cloud computing in South Korea is growing very fast, driven by the country's strong technology infrastructure, energetic government policies, and a sudden boom in digital transformation across various industries. Business organizations, particularly in IT, manufacturing, and financial services, are embracing cloud solutions more than ever. As the demand for flexible IT resources increases, cloud computing becomes even more entrenched in South Korea's digital economy. Furthermore, the efforts of the South Korean government to drive digitalization and growing penetration of 5G networks are heavily driving market growth. Market insights emphasize the growing use of AI and machine learning in cloud solutions, the rising importance of cybersecurity, and the growing emphasis on edge computing technologies. The growing need for cloud-based data analytics and business intelligence solutions also drives market growth.

Report Coverage

This research report categorizes the market for the South Korea cloud computing market based on various segments and regions and forecasts revenue growth and analyses trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the South Korea cloud computing market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the South Korea cloud computing market.

Driving Factors

The growing popularity of remote work and the necessity for secure, reliable access to applications and data are driving the demand for cloud solutions. The convergence of AI and big data analytics with cloud computing is driving innovation and improving decision-making across industries. Additionally, The South Korean government's focus on rigorous cybersecurity practices and data privacy laws has increased confidence in cloud services. Cloud Security Assurance Program (CSAP) initiatives certify cloud service providers who meet set security standards, alleviating the concerns of companies and pushing broader adoption.

Restraining Factors

South Korea's cloud computing market is hindered by restrictions such as stringent data localization regulations, complicated laws, shallow financial sector uptake, infrastructure constraints, and economic or geopolitical risks that constrain investments and operational adaptability.

Market Segmentation

The South Korea cloud computing market share is classified into type and organization size.

• The public cloud segment held a significant share in 2024 and is expected to grow at a significant CAGR during the forecast period.

The South Korea cloud computing market is segmented by type into public cloud, private cloud, hybrid cloud. Among these, the public cloud segment held a significant share in 2024 and is expected to grow at a significant CAGR during the forecast period. In the public cloud segment, IaaS (Infrastructure as a Service) is leading at the moment, followed by SaaS (Software as a Service), with PaaS (Platform as a Service) growing immensely. Public cloud service dominance is due to the simplicity of access, pay-as-you-go models, and the broad selection of services available as opposed to private or hybrid cloud deployments.

• The larger enterprises segment held a significant share in 2024 and is expected to grow at a significant CAGR during the forecast period.

The South Korea cloud computing market is segmented by organization into SMEs, large enterprises. Among these, the larger enterprises segment held a significant share in 2024 and is expected to grow at a significant CAGR during the forecast period. Large businesses are spearheading the uptake of cloud computing in South Korea because they have more financial resources, complex IT infrastructure needs, and a greater tolerance for risk from cloud migration. Their uptake is driving substantial market volume and revenue. Such businesses need strong, scalable, and secure cloud solutions to facilitate their critical business functions.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the South Korea cloud computing market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• Amazon Web Services (AWS)
• Google LLC
• IBM Corporation
• Microsoft Corporation
• Salesforce com Inc
• SAP SE
• Naver Cloud
• Kakao Enterprise
• KT Cloud
• LG CNS
• Others

Recent Developments:

• In May 2024, Korean Air had collaborated with Amazon Web Services (AWS) to establish an AI Contact Center (AICC) platform. This project utilized artificial intelligence (AI) capabilities to advance Korean Air's customer service function. The AICC, a cloud-based solution, used AI-powered voice bots and chatbots to respond to customer queries.

• In June 2024, South Korea's telecommunications behemoth KT Corp. had teamed up with Microsoft to strengthen the country's artificial intelligence (AI) and cloud computing industries. Jointly, they led cooperative AI and cloud research projects

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting and Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Market Segment

This study forecasts revenue at South Korea, regional, and country levels from 2020 to 2035. Spherical Insights has segmented the South Korea cloud computing market based on the below-mentioned segments:

South Korea Cloud Computing Market, By Type

• Public Cloud
• Private Cloud
• Hybrid Cloud

South Korea Cloud Computing Market, By Organization Size

• SMEs
• Large Enterprises