IDC: The revenue of the DR&P market in China is expected to reach 270 million US dollars in the first half of 2024, and is expected to exceed 1 billion US dollars by 2028.

Recently, the International Data Corporation (IDC) released the "China Data Backup and Recovery System Market (DR&P) Quarterly Tracking Report for the first half of 2024". The report shows that the revenue of the Chinese DR&P market reached 270 million US dollars in the first half of 2024. Driven by the market's need for data assetization and productization, the market share has remained stable. The share of backup and protection pure software revenue exceeds 30%, as it can adapt to new technological developments faster and improve compatibility, becoming the preferred direction for end users to purchase. IDC predicts that in the next five years, the Chinese DR&P market will grow at a compound annual growth rate close to 5%, with the market size exceeding 1 billion US dollars in 2028. After experiencing rapid growth in 2023, the share of the data backup and recovery market in the overall enterprise market remained stable in the first half of 2024. As a means of production and gradually increasing in value to become commodities, data has a growing demand for security protection. Following the promulgation of the "Data Security Law", the "Network Data Security Management Regulations" approved by the State Council will be implemented in August 2025, further regulating data processing activities to ensure data security, promote the lawful and reasonable effective use of data. Enterprises and organizations not only have increasing internal security needs for their own data, but also, as data is productized, the demand for effective replication and backup of data security continues to increase. Multiple market favorable factors will continue to drive healthy growth in DR&P solutions in 2024. By sub-market, in the first half of 2024, the market share of the Chinese Data Backup and Recovery Software Market (DR&P SW) exceeded 30%. In the first half of 2024, small and medium-sized enterprises purchased recovery software, and data backup and recovery software became the first choice for small and medium-sized enterprises due to its flexible customization and cost-effectiveness, meeting their urgent data backup and protection needs, while also providing simple operations, especially in fault diagnosis. The integrated machine market (PBBA Appliance) has a growth rate far higher than that of the overall data backup and recovery market. End users are paying increasing attention to the quick recovery function in case of data loss or damage, and backup integrated machines have strong advantages in ensuring business continuity. Additionally, technology suppliers are actively developing and equipping integrated machines with intelligent management functions, such as automatic detection of data changes, intelligent backups based on preset strategies, etc., to help reduce the complexity of manual operations, improve data backup efficiency, and recovery speed. Market Structure Looking at the overall market, the competitive situation among top technology suppliers remains stable, with more mid-range technology suppliers gaining market favor based on their respective advantages. In terms of the overall data replication and protection market, there have been some changes in market share for two companies. Aisoo's backup solution supports a variety of operating systems, databases, and application system backups, providing efficient data compression technology and encryption functions, increasing its market share by nearly 5% in the overall market, favored by end customers; Sustech's market share has increased by over 2%, through integration of intelligent data protection and management functions, including automatic timed protection, agent-free virtualization, custom agents, etc., achieving real-time monitoring and backup of data, with its backup solution recognized in the healthcare industry. Looking at the backup software submarket, Aigo (688435.SH) ranked second in the software market with a market share of over 10%, supporting backup of various types of data and environments for users, and using optimization algorithms and transmission mechanisms to improve backup performance; CloudMind has increased its share in the software market by over 4% with CDM technology to help customers activate dark data, providing customers with simple, fast, and efficient data recovery capabilities. Yang Yunxu, IDC's research manager in China, stated that with the implementation of technologies like AI, the demand for solutions related to data backup, management, and recovery is continuing to increase, which will further drive the healthy growth of the Chinese DR&P market.