Consumer NAS Market - By Design (Single Bay, Dual Bay, Multiple Bay), By Storage (Hard Disk Drives, Solid-state Drives), By Deployment Model (Cloud, On-premises, Hybrid), By End Users (Home Users, SOHO) & Forecast, 2024 – 2032

Consumer NAS Market Size

Consumer NAS Market was valued at USD 5 billion in 2023 and is anticipated to register a CAGR of over 11% between 2024 and 2032. The increasing amount of data being generated by individuals and households is a critical factor fueling the market. As people generate and store more data, such as images, movies, music, documents, and other digital files, they run out of space on their devices including laptops or smartphones.
 

Traditional storage choices, such as external hard drives, may not provide the capacity or functionality to handle this ever-increasing data volume. NAS systems, with their greater storage capacity and scalability possibilities (adding extra drives), offer an appealing choice for consumers with significant data requirements. The rising importance of personal data, such as irreplaceable images and videos, increases concerns about data loss caused by device failures, accidental deletion, or even virus attacks. NAS devices provide powerful backup & data protection features, allowing customers to generate backups of their data and retrieve it in the event of an unanticipated disaster.
 

For instance, in October 2023, the UK's Office for National Statistics, a non-departmental public body, released a report examining the current landscape of cloud computing adoption and data storage habits in the country. The report highlights a surge in data generated by individuals and households, increasing the adoption of cloud solutions such as consumer NAS.
 

The rising need for cost-effective storage solutions is a significant factor for the consumer NAS market. Cloud storage organizations, although helpful, frequently use subscription-based pricing schemes. As the amount of data keeps increasing, the expenditures might become enormous, especially for customers who require a lot of storage or have constantly expanding data needs. NAS devices incur a higher initial cost but no recurring membership costs, making them a more cost-effective solution in the long term. Unlike cloud storage, where users essentially rent space, NAS allows them to own the hardware and have complete control over their data.
 

For instance, in December 2023, ASUSTOR announced the Lockerstor 1AR NAS series. This new line of single-bay network attached storage (NAS) devices is designed to be a budget-friendly option for users seeking basic storage solutions. Its features include an affordable price point, support for a single hard drive of up to 16TB, an easy setup process with a user-friendly interface, and several data protection functionalities including backup and encryption.
 

The high initial cost of consumer NAS devices is a major challenge for the consumer NAS industry, potentially slowing down its growth. When compared to traditional storage choices, such as external hard drives, which have lower upfront prices, NAS devices might appear expensive, particularly for casual users or those on a tight budget. The lack of general understanding regarding NAS capabilities and their long-term value proposition could increase the initial pricing barrier. Consumers who are inexperienced with NAS may not appreciate the benefits it provides over lower-priced options, making them hesitant to adopt these solutions due to the greater initial cost.
 

Consumer NAS Market Trends

The consumer NAS industry has witnessed significant technological advancements. Storage technology advancements, such as better density drives and quicker data transmission interfaces, enable NAS devices to provide much higher storage capacity and data transfer rates than prior versions. This fulfills customers' ever-increasing data requirements while improving the overall user experience. Security technologies are always evolving, and NAS devices are keeping up by offering features, such as data encryption, user authentication, and virus protection, addressing the rising concerns about data security and privacy, particularly among users storing sensitive information. As smart homes gain popularity, NAS devices are evolving to fit easily into smart home ecosystems. This enables consumers to store data generated by smart home devices, such as security cameras or video doorbells, on their NAS, providing centralized control and increased data security over cloud storage solutions.
 

For instance, in January 2023, Synology introduced its DiskStation DS723+ NAS, the most compact expandable choice among its range of all-in-one solutions tailored for home offices and small businesses. Operating on the adaptable Synology DiskStation Manager (DSM) OS, the DS723+ delivers complete solutions for safeguarding & organizing business data, facilitating seamless document collaboration, enabling remote file access, and overseeing physical assets, all in a streamlined desktop format.
 

Consumer NAS Market Analysis

Based on deployment model, the market is divided into on-premises, cloud, and hybrid. The on-premises segment held around 66% market share in 2023 and is poised to register significant CAGR over the forecast period. The on-premises segment currently holds the highest share of the global market. Consumers are becoming increasingly worried about data privacy and security, particularly in terms of sensitive information. On-premises NAS systems provide users with total control over their data as it is physically kept on their premises. This avoids the potential hazards connected with keeping data on cloud-based systems, where customers effectively hand over control to a third-party supplier. Along with that, On-premises NAS devices provide customers with direct access to their data, avoiding the possible constraints of internet connectivity and latency concerns that might affect cloud storage performance. This is especially important for jobs that require rapid & consistent data access, such as video editing or operating resource-intensive programs.
 

Based on design, the market is categorized into single bay, dual bay and multiple bay. The multiple bay segment held a major market share of around 94% in 2023 and is expected to grow significantly. Multiple bay NAS devices generally accommodate two or more hard drives, considerably boosting overall storage capacity as compared to single bay NAS devices. These devices are designed for consumers with high data storage requirements, such as families with many users, multimedia lovers, and even small enterprises that require a centralized storage solution. The flexibility to add more drives in the future enables simple & cost-effective expansion of storage capacity as data requirements expand, making them future-proof solutions. Multiple bay NAS systems, particularly those that enable RAID setups, provide faster data transfer rates and better performance than other equivalents. This can be critical for customers who need speedier data access, especially for applications such as media streaming or video editing.
 

North America dominated the global consumer NAS market with a share of over 41% in 2023. North America has a high internet penetration rate, which facilitates the adoption of cloud storage solutions and potentially influences on-premises NAS usage. However, the growing concerns about data privacy and the preference for data ownership are expected to continue propelling the on-premises NAS market in the region. The rising popularity of high-definition multimedia material, such as streaming videos, music, and gaming, in this region increases the need for consumer NAS solutions for storing, organizing, and accessing digital media libraries. Also, with the surge in remote work and telecommuting, there is an increased need for consumer NAS systems that enable file sharing, collaboration, and remote access to documents, images, and multimedia assets.
 

Consumer NAS Market Share

Huawei Technologies Co., Ltd. and Dell Inc. hold a significant market share of over 25% in the market. Numerous companies in the consumer NAS industry are diversifying their product portfolios to provide a variety of consumer NAS solutions tailored to varying storage capacities, performance capabilities, and pricing tiers. This includes offering single-bay, dual-bay, and multi-bay NAS devices.
 

Certain companies form partnerships with software vendors, cloud service providers, and ecosystem partners to augment the value proposition of NAS products through integrated solutions, bundled offerings, and value-added services.
 

Consumer NAS Market Companies

Major players operating in the market are:

• Acer Inc.
• ASUSTOR Inc.
• Dell Inc.
• D-Link Corporation
• Huawei Technologies Co., Ltd.
• LaCie
• Seagate Technology LLC
• Synology Inc.
• Thecus.COM
• ZyXEL Communications Corp.
   

Consumer NAS Industry News

• In January 2024, Ugreen, recognized for its smartphone and computer accessories, expanded into NAS with the launch of the Ugreen NASync series at CES 2024. This series includes six NAS devices featuring the Intel Core i5-1235U processor, Thunderbolt 4 connectivity, a user-friendly management system, and dual 10 GbE ports for enhanced performance and efficiency.
   
• In March 2023, Newegg Commerce, Inc., a prominent global technology e-commerce retailer, unveiled NAS Builder, a pioneering e-commerce tool tailored for configuring NAS systems. This innovative tool streamlines the purchasing journey for both novice and seasoned NAS users. Novices benefit from simplified compatibility assessment and purchasing guidance, while experienced users can evaluate various options and pricing seamlessly.
   

The consumer NAS market research report includes in-depth coverage of the industry, with estimates & forecast in terms of revenue (USD Billion) from 2018 to 2032, for the following segments:

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Market, By Design

• Single bay
• Dual bay
• Multiple bay

Market, By Storage

• Hard disk drives
• Solid-state drives
• Others

Market, By Deployment Model

• Cloud
• On-premises
• Hybrid

Market, By End Users

• Home users
  • Hard disk drives
  • Solid-state drives
  • Others
• Small Offices & Home Offices (SOHO)
  • Hard disk drives
  • Solid-state drives
  • Others

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Russia
  • Italy
  • Spain
  • Nordics
  • Rest of Europe
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • ANZ
  • Southeast Asia
  • Rest of Asia Pacific

• Latin America
  • Brazil
  • Mexico
  • Argentina
  • Rest of Latin America

• MEA
  • UAE
  • South Africa
  • Saudi Arabia
  • Rest of MEA