Data from Synergy Research Group shows the CPaaS market continues to demonstrate strong market growth. This momentum provides a solid foundation for increased development of communication and software technologies, creating and enhancing new customer interactions and experiences.
The latest 2Q 2021 market share report shows CPaaS market grew over 40% worldwide with Twilio maintaining its number one market share ranking. Synergy has measured sevenfold market growth for the CPaaS market over the last 18 quarters.
While Twilio is the clear worldwide market share leader, vendors like Vonage, Sinch, bandwidth, MessageBird, and 8×8 have stronger market share positions across the regional markets driven by their successful focus on areas of local expertise. This is illustrated in the APAC region where Vonage is the #1 CPaaS vendor followed by Twilio and Sinch.
APAC recording fastest CPaaS market growth in 2021
The CPaaS market is on track to exceed $5B in 2021 with each of the major four regions driving the strong growth. In 2Q 21, APAC clocked the fastest y/y growth exceeding 55%.
“Today the primary application for CPaaS is consumer based SMS, providing transactional connectivity between mobile devices and emerging cloud services. We believe the technology is poised to provide significant enhancements to business communications and sophisticated customer service applications, driving this market to the $14B mark by 2025.
“We believe we are at the beginning of the CPaaS evolution as sophisticated customer engagement and advanced communications can become the key building blocks of future communication tools,” said Fazil Balkaya, Principal Analyst at Synergy Research Group.