In-Memory Analytics Market Size, Share & Trends Analysis Report By Component (Solution, Service), By Deployment Mode (On-Premises, Cloud), By Organization Size (Large Enterprises, Small and Medium Enterprises (SMEs)), By Application (Fraud and Security Management, Sales and Marketing Management, Predictive Asset Maintenance, Risk and Compliance Management, Supply Chain Management and Operations, Others), By Industry Vertical (IT and Telecom, BFSI, Retail and E-commerce, Healthcare and Life Sciences, Government and Defense, Manufacturing, Media and Entertainment, Others) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2023-2031

Market Overview

The global in-memory analytics market size was valued at USD 6.06 billion in 2022. It is estimated to reach USD 44.50 billion by 2031, growing at a CAGR of 24.80% during the forecast period (2023–2031). 

In-memory analytics helps an organization store data in any available format, provide the information required, and provide organizations with different features to analyze many data to find hidden patterns and gain meaningful insights from this data, leading to market growth.

In-memory analytics refers to analyzing data stored in the computer's random-access memory (RAM) rather than traditional disk storage. It involves loading and processing data directly into the memory, allowing faster access and analysis. In-memory analytics leverages RAM's speed and performance, enabling real-time processing and analysis of large datasets. The traditional approach to data analytics involves retrieving data from disk storage, which can be time-consuming and result in slower query response times. In contrast, in-memory analytics eliminates the need for disk I/O operations, as data is already stored in the memory, resulting in significantly faster data retrieval and analysis.

In summary, in-memory analytics is a data analysis approach that leverages the speed and performance of computer memory to process and analyze data in real-time. Eliminating disk I/O operations and enabling faster data retrieval allows organizations to gain immediate insights from their data, enabling faster and more informed decision-making.

Market Dynamics

Global Market Drivers

Digital Transformation Using Real-Time Data Analytics

Digital transformation plays a major role in changing the business's external and internal technology. In addition, real-time data is a core form of digital transformation as it plays a major role in driving innovation, business strategies, and automating critical business processes. Companies provide real-time data to increase performance, resiliency, and data availability for the business process. In addition, digital transformation provides workload optimization, which helps organizations decrease their latency and provide faster response time to their client.

Furthermore, the need to visualize, store, and analyze the growing volume of data in real time forces companies to find a suitable solution to improve the organization's decision-making capabilities. For example, according to a survey conducted by Amazon in the U.S. in 2017, the use of digital transformation has increased the revenue of the company by 25% as compared to 2016. Thus, digital transformation using real-time analytics is one of the major factors that drive the growth of the in-memory analytics market.

Rise in Volume of Data

Organizations struggle to obtain significant insights from their growing data, so adopting in-memory analytics has increased in different organizations. For example, according to a survey conducted by IDC in the U.S. in 2018, data volumes in organizations are growing at 63% per month, with 12% of organizations reporting over 100% growth monthly. Furthermore, organizations are now adopting various cloud-based technology and analytics for storing and reserving data.

In addition, in-memory analytics helps an organization store data in any available format and provide the information required by the organization. It also provides organizations with different features to analyze data to find hidden patterns and gain meaningful insights from this data. This drives the growth of the market.

Global Market Restraints

Lack of Awareness Across Industries

Lack of awareness about the product and higher penetration of conventional analytics tools restrains the market growth. In addition, in-memory analytics is used to solve complex and time-sensitive business scenarios by adopting new tools like machine learning and big data analytics. Thus, organizations lack proper functionality for adopting the technology among businesses, which hampers the market's growth.

Furthermore, a lack of awareness of in-memory analytics among organizations in emerging countries such as China and India hinders the market's growth. In addition, the high cost associated with implementing in-memory analytics hampers the market's growth.

Global Market Opportunities

Improved Scalability and Security with Cloud-Based In-Memory Analytics

The adoption of cloud-based in-memory has increased over time, owing to the need to protect sensitive data and provide security from various data breach issues. The reduction of cost-effective solutions provides a lucrative opportunity for the market. In addition, cloud-based in-memory analytics offers impressive capabilities such as rapid provisioning, massive scalability, and simplified management, providing opportunities for market growth. For instance, according to a study conducted by Intel in the U.S., spending on cloud-based analytics is expected to grow 4.5x faster than spending on-premises solutions by 2020.

Furthermore, organizations are adopting cloud-based in-memory analytics for analyzing ever-increasing data volume and increasing the scalability and security of the organization's data. According to Aberdeen Group, companies using in-memory analytics can process three times more data 100 times faster than their competition.

Regional Analysis

North America Dominates the Global Market

Based on region, the global market is bifurcated into North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa.

North America is the most significant global in-memory analytics market shareholder and is estimated to grow at a CAGR of 23% over the forecast period. The market in North America is analyzed across the U.S. and Canada. The rise in demand for in-memory analytics is anticipated to generate growth opportunities for market players in several developed economies in North America. In addition, the market is set to grow in this region, owing to a large number of established players and the rise in demand for in-memory database systems for quick storage and fast transfer of files.

Additionally, North America is considered one of the dominant regions in the market, owing to the presence of major market players, technical expertise, and growing demand for in-memory database systems for quick storage and fast transfer of files. In addition, reduced economic disruption has boosted technological developments over the last several decades. This has led to the advent of analytics in diverse applications such as marketing, business human resources, decision-making, forecasting, and others, which is expected to drive market growth in the region.

Europe is anticipated to exhibit a CAGR of 24.1% over the forecast period. The UK, Germany, Italy, Spain, and the rest of Europe are all considered parts of the European market. The European market has witnessed a slow growth in recent years due to the economic slowdown in this region. However, the European economy is gradually recovering, fostering the growth of in-memory analytics. In addition, the market is set to grow in this region, owing to the different regulatory compliance issued by the European government. In addition, organizations in the UK, Germany, and France are adopting this solution to provide different security features for the large amount of data generated from various organizations.

The Asia-Pacific market is analyzed across countries such as Japan, China, India, and South Korea. Asia-Pacific is an emerging market and is expected to provide huge opportunities for players operating globally in the future. This region is expected to show a strong growth rate during the forecast period due to organizations adopting this solution for proactively accessing and managing operational and financial risk. In addition, organizations' increased adoption of cloud-based memory analytics drives the market's growth.

The global market in LAMEA is analyzed across Latin America, the Middle East, and Africa. Most organizations in this region have been moving toward adopting in-memory analytics services to help clients provide a fresher and faster approach to analyzing data. Moreover, the in-memory analytics market in the Middle East is developing. It is expected to grow rapidly due to high expenditure on IoT, development in communication networks, and technological innovations. The market in LAMEA exhibits slower growth than in other regions. However, Latin America and the Middle East are expected to gain high traction during the forecast period.

Segmental Analysis

The global in-memory analytics market is bifurcated into components, deployment mode, organization size, application, industry verticals, and distribution channels.

Based on components, the global market is bifurcated into Solutions and Services.

The solution segment dominates the global market and is projected to exhibit a CAGR of 23.8% over the forecast period. The solution segment includes different software and platforms for storing, managing, and analyzing valuable information from large data. In addition, these solutions help organizations leverage the best return from their data, either by making better decisions or bringing in more revenue. The solution segment dominated the overall in-memory analytics market share due to the increased adoption of in-memory analytics solutions among organizations, as they are finding ways to organize the growing volume of data in meaningful insights. Moreover, companies aggressively focus on creating novel opportunities for growth and revenue generation, so there is an increase in the preference for in-memory analytics across industries.

Based on deployment mode, the global market is bifurcated into on-premises and cloud.

The on-premises segment dominates the global market and is projected to exhibit a CAGR of 22.9% over the forecast period. The on-premises deployment model for in-memory analytics enables the software installation and enables programs to execute on the systems already in place in the premises of an organization instead of putting them at a distant facility such as server space or cloud. These solutions offer enhanced security features, which drive their adoption in large-scale financial institutions and organizations. Many organizations prefer on-premises in-memory analytics software owing to increased concern about data protection and privacy restrictions in the digital ecosystem, which drives the market's growth.

In addition, for organizations operating within a digital ecosystem, data privacy legislation and security are of the utmost importance. As on-premises app analytics is hosted on the company's infrastructure, its ability to provide total control and ownership of its data fuels its adoption.

Based on organization size, the global market is bifurcated into large enterprises and small and medium enterprises (SMEs).

The large enterprises segment dominates the global market and is projected to exhibit a CAGR of 23.1% over the forecast period. Large organizations are defined as companies that have more than 1,000 employees. These businesses account for strong market shares, technical know-how, and successful business strategies and have clients in numerous regions. In addition, they usually capitalize huge parts of their IT security budgets in their network premises due to the presence of servers and critical resources within business territory.

Moreover, large enterprises have dedicated teams to manage security operations and in-memory analytics. Growth in the need to efficiently manage huge amounts of data, along with the rise in awareness of security events, boosts the growth of the in-memory analytics market across large enterprises. Furthermore, various market players' ongoing developments in real-time analytics are also expected to provide opportunities for market growth in large enterprises.

Based on application, the global market is bifurcated into fraud and security management, sales and marketing management, predictive asset maintenance, risk and compliance management, supply chain management and operations, and others.

The fraud and security management segment dominates the global market and is projected to exhibit a CAGR of 28.2% over the forecast period. Fraud and security management is the real-time screening of activity across various channels, users, accounts, procedures, and channels that can be used by an organization to spot and stop both internal and external fraud. In addition, the surge in various cyberattacks and data security breaches in enterprises drives the growth of the in-memory analytics market. Security on mobile devices and applications is important in every aspect of business.

In addition, the mobile business intelligence software and services both focus on security management. The motto of fraud and security management is to identify and quantify the risks associated with their business so that they can be detected and avoided. By using the right technology and approach, these can be identified and acted upon in real time, thus enabling companies to make informed decisions and save millions of dollars. Higher cyber-attack risks can lead to financial implications through fraud or other reasons.

Based on industry verticals, the global market is bifurcated into IT and telecom, BFSI, retail and e-commerce, healthcare and life sciences, government and defense, manufacturing, media and entertainment, and others.

The IT and telecom segment dominates the global market and is projected to exhibit a CAGR of 22.6% over the forecast period. The focus of telecom operators has shifted from reducing costs to delivering a superior customer experience over their networks. Telecom service providers are adopting in-memory analytics solutions to provide enhanced customer experience every time, as it is important to build customer loyalty.

With the advancements in data analytic tools, the telecommunication and IT sector has realized that data has become one of the most strategic assets for the business's success. The telecommunication industry is transforming. Amidst increasing competition from over-the-top providers, telecom service providers face shrinking margins, revenue shrinkage, and growth in subscriber attrition rate in their consumer-focused business. Telecom providers must move beyond providing connectivity and security services to ensure relevance and long-term sustainability in a fast-evolving marketplace.

Recent Developments

• June 2023- Oracle announced the launch of its new in-memory analytics platform, Oracle In-Memory Analytics Cloud. The platform is designed to help businesses accelerate the time to insights from data by storing and processing data in memory.
• May 2023- SAP announced the general availability of its new in-memory analytics solution, SAP HANA Cloud for Data Fusion. The solution is designed to help businesses accelerate the time to insights from data by unifying data from various sources and processing it in memory.