Virtual Desktop Infrastructure Market Size - By Component, By Type, By Deployment Model, By Enterprise Size, By Application, Analysis, Share, Growth Forecast, 2025 - 2034

Virtual Desktop Infrastructure Market Size

The global virtual desktop infrastructure market size was valued at USD 19.6 billion in 2024 and is expected to grow at a CAGR of 16.5% between 2025 and 2034. The cases of data theft and data loss have been growing in the past years. These cases have grown even more in the past few years, with the growing reliance on cloud and digital, which is leading to growing demand for data security services and thus increasing market demand.
 

Statista reported in February 2024, that the South Korean companies had highest cases of data loss (77%), and Canada and France were ranked thereafter with their cases of data loss being 61% and 58% respectively.
 

VDI helps in reducing the risk of data loss and improves data security because it stores data in centralized format with the host company and does not give much access to end user’s devices. This centralization helps in reducing the risk of data being accessed by any unauthorized user and thus assuring data safety and security.
 

Additionally, many companies are adopting the bring-your-own-device policy. Though this system is adding to the benefit of the employees, it is also leading to data theft risk and thus is leading to the growing demand for VDI services. VDI system allows users to work from any location and from their personal devices, while also reducing the risk of unauthorized access and data security risk.
 

As the data is stored at a centralized location and only authorized people have access to the necessary data, it reduces the risk of people having access to every data set. Thus, this system ensures that users continue with their routine tasks, while not worrying about the data security.
 

For instance, in February 2023, SentryBay improved its existing cybersecurity offerings by introducing Armored Client for Microsoft Azure Virtual Desktop and Windows 365. This system addresses the issues faced by the companies of endpoint data usage and availability, resulting from growing BYOD adoption. The company has introduced the Kernel Mode Protection, which helps in blocking any unauthorized access and does not affect the overall operations of the user.
 

Virtual Desktop Infrastructure Market Trends

• The VDI services are observing a steady increase in its demand. Considering this growing demand, service providers are adopting subscription-based models. These models help end users in saving their hardware costs and provide the option of paying as per use, which also helps with cost savings
   
• AI is also being adopted in the virtual desktop infrastructure system because it supports easy updates in the devices, helps resolve frequently occurring issues, and also helps automate routine tasks, without the need for any specialized support
   
• For instance, in November 2024, SimpsonHaugh Architects combined AI with their VDI systems to enhance their operational efficiency. The system is also being implemented to identify and solve issues remotely and improve work experience for remote users
   
• With growing cybersecurity issues, VDI services providers are now developing systems such that they provide advanced security measures to meet changing needs of their customers. The service providers are now also aiming to improve their security measures by adopting to zero trust approach, multi factor authentication, data encryption, identity and access management systems, to improve the security measures of their VDI systems
   
• In February 2024, U.S. Navy increased their number of VDI user access from 25,000 to 110,000 within a week, due to rising cybersecurity issues. By increasing its VDI dependence, the Navy is planning to strengthen its security protocols and take broader steps towards zero trust architecture
   
• There is also a growing demand for multi cloud and hybrid VDI solutions. It is estimated that around 90% of the IT decision makers find multi cloud environments more effective for their operations. This has increased the demand for VDI solutions suitable for multi cloud infrastructure
   

Virtual Desktop Infrastructure Market Analysis

Based on component, the virtual desktop infrastructure market is segmented as hardware, software, and services. In 2024, the software segment generated a revenue of USD 10.5 billion and is expected to grow at a CAGR of around 16% during the forecast period.
 

• The VDI software provides accessibility and security to the organization as it helps virtually manage remote desktops, thus ensuring the organization’s control on the data, assuring data security, while providing remote access to the concerned users
   
• For instance, in February 2024, Workspot shared of expanding its channel program, especially designed for Managed Service Providers. The company launched these services to improve the scalability and operations of the service providers, while reducing their hardware investments
   
• Also, this software is suitable for small and medium enterprises who cannot invest heavily in the entire infrastructure or are on tight budgets. Investing in this software can provide them with all the necessary benefits, without the need to invest in cost intensive servers and devices, thus adding to their advantage
   

Based on deployment model, the virtual desktop infrastructure market is segmented as cloud and on-premise. In 2024, the cloud segment accounted for over 59.4% and is expected to grow at the rate of 17% till 2034.
 

• Cloud adoption is growing in both small and large organizations due to benefits such as lower investments and time savings. Cloud adoption ensures that the user gets timely updates related to their solutions, thus helping them stay updated with the technological advances. Investing in cloud services also gives benefit of quicker updates and faster deployments, thus benefiting the users
   
• In July 2023, Citrix introduced cloud and on-premise services to its product mix with the aim to supporting hybrid working style of the companies. This new service allows companies to deploy their virtual applications across various platforms such as cloud, on-premise, cloud, and multi-cloud. This will provide users with the option to choose from their desired deployment model as per their operational requirements
   
• Additionally, adoption of cloud platform also ensures safety and security of the data with multiple security layers such as encryption and multi-factor authentication systems, adding to the user benefit
   

Based on enterprise size, the market is segmented as large enterprises and SMEs. The large enterprise segment is expected to hold a major share due to its strong financial position and large and expanded operations
 

• In large organizations, the VDI adoption grew majorly during the pandemic as people started working remotely during this period and many companies decided to shift their operations to remote or hybrid modes
   
• Additionally, larger organizations are more prone to cyber-attacks, and with VDI supporting data security even in the remote work setups, the demand for this system is growing tremendously by these organizations. It is estimated that around 84% of the organizations globally reported cyber-attacks in 2024, and this number stood at 65% in 2023. With the growing risk of cyberattacks the demand for these services is expected to grow further during the forecast period
   

• In 2024, North America dominated the virtual desktop infrastructure market with accounting to around 30% of the global market share and generated around USD 6 billion revenue in the same year. High demand for VDI in this region is due to growing outsourcing and remote working trends along with increasing cases of cyber attacks in both Canada and the U.S.
   
• U.S. ranks first in cases of cyber-attacks because it technologically developed and people in the country depend heavily on digital services, making it an easy target for the hackers. The estimated attacks on the U.S. companies in 2024 was 144 leading to growing concern for data security. This growing threat is creating demand for strong data security systems such as VDI to ensure the confidential company is safe, and operations go on smoothly. Also, the government is increasingly implementing laws to strengthen data security systems
   
• The GDPR is a major law regulating the privacy and security system in the European region. This law requires companies to ensure security of personal user data and should have control over where the data is saved and used. This has created demand for VDI systems as it stores data in a centralized way and provides organizations with complete control over their data storage and usage
   
• Asian countries such as South Korea, Japan, Australia, and India are also highly vulnerable to cyberattacks due to growing finance, retail, automotive, and other sectors and they also lack strong data safety measures. This increases the demand for investments and strong security measures and tools to reduce the vulnerabilities to cyberattacks
   
• Also, growing adoption of cloud resources and remote work culture in countries such as India, Japan, Indonesia, and other Asian countries is further creating a demand for VDI platform that can ensure smooth operations while saving cost and maintaining data safety
   

 Virtual desktop infrastructure Market Share

• The top 7 companies in the virtual desktop infrastructure industry include Microsoft, AWS, VMware, Citrix, Nutanix, Cloudjumper, and Workspot, and they collectively hold a share of 41% in the market
   
• Microsoft holds a major share in the virtual desktop infrastructure industry due to wider adoption of Windows operating systems by enterprises. This makes it easier for the company to offer their VDI services to the existing as well as newer customers, thus helping them not just retain existing clients but also gain market share amongst new users quickly by providing these services as an add-on option if required
   
• Amazon’s AWS services are gaining traction majorly due to their scalability and cost-effective offerings. Additionally, through the AWS WorkSpaces program, the company is offering flexibility to choose from various pricing and usage options, thus making them suitable for organizations of all sizes, thus making it a preferred option by many
   
• Nutanix is another major company offering VDI and they offer these services in hyperconverged infrastructure, which allows everything from computing, networking, to storage in one system. This reduces the user’s reliance on multiple hardware and software, thus helping them save cost while ensuring smooth operations. Also, the company provides both cloud and on-premise services, making it convenient for customers looking for both these deployment models
   

Virtual Desktop Infrastructure Market Companies

Major players operating in the virtual desktop infrastructure industry are:

• Ace cloud hosting
• AWS
• Cisco
• Citrix
• Ericom Software
• Flexxible IT
• Google
• Hewlett Packard Enterprise (HPE)
• Huawei
• IBM
   

To improve the services and virtual desktop infrastructure market share companies are constantly investing in the research and development activities and are also entering into partnerships to pool the technology to provide improved and better solutions to the customers. These investments are benefiting both companies and end users as they help develop and offer solutions as per the changing technological trends and thus the customer requirements.
 

For instance, in October 2024, CrowdStrike and Omnissa entered a partnership to improve cybersecurity services for virtual and physical desktop environments. Through this collaboration, the companies will be focusing on developing services to detect real time threats and also suggest immediate actions to control and reduce the impact of cyberattack if any.
 

In addition to partnerships, the major players providing these services are also opting for acquisition and mergers to provide enhanced services either as a single entity or as an additional service to their existing product offerings.
 

Virtual Desktop Infrastructure Industry News

• In September 2024, Kasm Technologies announced the launching of their new product, Kasm Workspace, a VDI solution for Kubernetes. It is an enterprise-class VDI solution built with the aim of supporting fluctuating workforce needs. This facility makes the services suitable for remote and seasonal work requirements. It can be deployed in both cloud and on-premise mode, and also supports hybrid and multi-cloud setups
   
• In June 2024, Microsoft introduced VDI solutions for Microsoft Teams. This service was launched with the aim of making improvements in both performance and functionality in the VDI space. This solution uses Slimcore media engine, which supports faster updates and feature rollouts, without the need to install extensive VDI infrastructure upgrades
   
• In June 2024, Google acquired Cameyo, a major virtual application delivery platform. With this acquisition, the company aims to improve its existing capabilities of providing virtualized Windows applications on CromeOS. This acquisition will also help Google to be in direct competition with established VDI players such as Citrix
   
• In February 2024, Microsoft introduced Azure Virtual Desktop services for its on-premises environment. This will help organizations get the benefits of VDI while having complete control over their applications and data
   

The virtual desktop infrastructure market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue ($ Mn/Bn) from 2021 to 2034, for the following segments:

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Market, By Component

• Hardware
  • Client
  • Server
• Software
• Services
  • Implementation services
  • Maintenance and support services
  • Consulting services

Market, By Type

• Persistent VDI
• Non-persistent VDI

Market, By Deployment Model

• On-premise
• Cloud

Market, By Enterprise Size

• Large enterprises
• SMEs

Market, By Application

• BFSI
  • Persistent VDI
  • Non-persistent VDI
• IT & telecom
  • Persistent VDI
  • Non-persistent VDI
• Aerospace & defense
  • Persistent VDI
  • Non-persistent VDI
• Government
  • Persistent VDI
  • Non-persistent VDI
• Manufacturing
  • Persistent VDI
  • Non-persistent VDI
• Education
  • Persistent VDI
  • Non-persistent VDI
• Retail
  • Persistent VDI
  • Non-persistent VDI
• Transportation
  • Persistent VDI
  • Non-persistent VDI
• Healthcare
  • Persistent VDI
  • Non-persistent VDI
• Others

The above information is provided for the following regions:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Russia
  • Nordics
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
  • South Korea
  • Southeast Asia
• Latin America
  • Brazil
  • Mexico
  • Argentina
• MEA
  • UAE
  • South Africa
  • Saudi Arabia