You can’t think of a website without hosting.
That’s because hosting gives your website a place to live on the world wide web. In plain words, every website is hosted somewhere.
Now guess, What is the market size of web hosting?
While The web hosting industry market value was $62.6 billion in 2020, Experts predict the industry will increase to $171.4 billion by 2027.
One thing is for sure…..
Hosting is the industry experiencing double-digit (or maybe triple?) growth over the next decade. Why do I say this? Let me show you some Web Hosting Statistics worldwide and market share that will prove my point.
A Brief Web Hosting Statistics and Market Share Report
Let’s face it- the pandemic forces businesses to move online.
Go digital, or go bust- that’s the new norm. As a result, the number of websites is increasing, so do the web hosting market size. How big is the web hosting market in 2023? Let’s see the key facts of web hosting market potential at a glance-
Web hosting is available on every continent except Antarctica. ( thrivemyway)Across the hosted solutions, Wix holds a market share of 31%.(BuiltWith)roughly 200.8 M hostnames are active out of 1.21 billion(Netcraft).269 providers and 2923 data centres are available worldwide(Builtwith).The CAGR of Europe will be more than 16% between 2020 to 2027(Grandviewresearch).
Web Hosting Industry Statistics
1. More than 1.21 billion hostnames were registered online in 2021(Netcraft).
Don’t get staggered learning the stats. In reality, roughly 200.8 M hostnames are active out of 1.21 billion. The percentage of active websites is about 15.5% of all registered hostnames.
2. The valuation of the web hosting market will grow by almost 15.5% from 2020-2027(Grandviewresearch).
The market size of web hosting services is on the increase. The value was $56.7 billion in 2019. According to the projection, the valuation will grow by almost 15.5% from 2020-2027.
3. Web Hosting Companies are Providing Services to 4.66 billion People in the World(Statista).
Accessing our websites and applications is impossible without web hosting providers. Statista reported that the world had roughly 4.66 billion active internet users in 2021. Meaning that half of the population in the world is using the Internet.
Web Hosting statistics by Country & Region
4. North America tops the list in the web hosting provider numbers per region. (Hostadvice)
It’s not a brainer, though, as the United States belongs to North America. The USA has a market share of 51.59%, and Germany is next with an 11.74% market share.
5. The CAGR of Europe will be more than 16% between 2020 to 2027(Grandviewresearch).
The highest growth in the Europe zone will happen in the UK and Germany. Approximately 7 million domains are hosted in Germany out of the total website hosted as of 2018.
6. Iceland ranks number #1 with the highest internet penetration(Statista).
Iceland ranks number #1 with the highest internet penetration, and other Nordic countries like Denmark and Norway are also high on the internet penetration rate. Roughly 100% of the population has internet access in Iceland.
Web hosting services market overview
7. Currently, 269 providers and 2923 data centers are available worldwide(Builtwith).
The number of colocation facilities and cloud notes are 2832 and 2301, respectively. The top 5 web hosting and data center providers are GoDaddy, Cloudflare Hosting, Google, IONOS (by 1and1), and Amazon.
Top In Web Hosting Usage Distribution + web server popularity-
|IONOS (by 1and1)||7,900,655|
Google has a worldwide network of servers. As a result, they became one of the best data center providers. They have 21 data centers as of 2023: 2 in Asia, 5 in Europe, 1 in South America, and 13 in the USA.
Google is renowned for investing in efficiency, renewable energies, data and security, and innovations. Thus, their data center becomes secure, efficiently performing, and energy-efficient.
AWA Amazon has the fastest-growing networks in 24 countries with 77 availability zones. They took projects to expand their network in geographic locations and availability zones.
GoDaddy has a network throughout the globe. They have 37,000 servers located in 9 GoDaddy facilities. Only 1 facility, located in Phoenix, Arizona, is owned by the company. The size of this facility is incredible, with over 270,000 sq. ft., While the other 8 facilities are leased.
The headquarters is located in Scottsdale, Arizona. They have another leased facility in Mesa, Arizona. The other 6 facilities are in Los Angeles, Chicago, Ashburn, Virginia, Amsterdam, and Singapore.
· Cloudflare Hosting(Cloudflare)
Cloudflare hosting has a vast network. They have servers throughout all continents. Right now, their servers are located in more than 200 cities in 90 countries.
They offer improved performance and several levels of cybersecurity due to their incredible network. Cloudflare hosting services achieved success within a short time because of their server size. They are growing continuously. Cloudflare delivers reliable services and aims to make internet sessions safer.
· IONOS (by 1and1) (Icons)
IONOS is available in 15 facilities currently. They have a huge network of over 90,000 servers in 9 countries worldwide.
The company has 8 million customer contracts throughout the world. They are well-known for their great coverage, security, and top-notch performance.
Web Hosting Market Share Statistics
8. Currently, Nginx is responsible for over 34.1% of the market. (W3Techs)
One of the renowned server software for web hosting is Nginx. Although other technologies are also available, named Cloudflare, Apache, Litespeed server, etc.
9. The biggest end-user of web hosting is Enterprises.(GrandViewResearch)
In the case of revenue attribution, the web hosting market is attributed to enterprises, which is almost 90.46% up to 2019. Meaning that online shopping is getting more popular day by day. Also, it reflects the increasing demand for companies to be available online with their digital presence.
Customers are expected to be inclined to online shopping more between 2020-2027. Such things will increase the web hosting services market.
10. Wix is the most popular choice among website makers with incorporated hosting solutions. (BuiltWith)
Across the hosted solutions, Wix holds a market share of 31%. Followed by Squarespace and Shopify by 19% and 13%, respectively.
11. Amazon Web Services hosts 6% of the websites worldwide. (W3Techs)
Amazon outperformed New Fold Digital recently. Interestingly, New Fold Digital is the parent company of Hostgator and Bluehost.
Hostgator and Bluehost hold 32.9% and 24.78% of New Fold Digital shares, respectively.
10.49% of the website worldwide is currently accounted for in GoDaddy. They are mostly popular in the USA.
Hosting stats+ Trends
12. Shared hosting makes up 31.7% of the market.
Let me show you the Market share by hosting type-
- Shared: 31.7%
- Dedicated: 27.9$
- Collocated: 16.6%
- VPS: 10.3%
- Reseller: 13.6%
13. Shared Hosting is the Most Dominant Form. (GrandViewResearch)
The most popular choice among all hosting providers is shared hosting. As of 2019, the revenue share was roughly 37.94%.
14. Cloud Hosting is Increasing (Berkaweb)
Cloud hosting is getting popular and replacing shared hosting gradually. According to research, cloud hosting will surpass shared hosting by 2027. The growth rate is faster, at 18.3%, and consumers are approaching cloud hosting more than before.
15. Virtual Private Server (VPS) Hosting is also Increasing(Alliedmarketresearch)
Allied Market researched and found that the expected growth rate of Virtual Private Server Hosting is 15.5% within 2020-2027. They stated that customers are approaching such types of hosting to avoid technical and security issues.
VPS dominated the market of North America in 2018, and the trend will continue to grow in the next decades as well.
16. Green Hosting Requirements are rising Slowly. ( Alliedmarketresearch)
Approximately 4.66 billion active internet users will be available worldwide in 2021. It is around 60% of the world’s population. More importantly, this number is skyrocketing. Considering this point, companies are now looking for efficient ways to get the most out of the technology.
Green Hosting helps the world to run proficiently without ruining the world. As per Global Market Insights, the market value of green hosting was $6.5 billion in 2018. The expected market value will be $35 billion by 2026.
17. Due to the rise of cloud and green hosting, companies are decreasing costs in traditional data centers. (Gminsights)
Gartner predicted that 80% of companies will close down their data centers by 2026. Companies are approaching efficient cloud-based servers for a trouble-free hosting experience.
Web Hosting Revenue & Annual Growth Over the Year (& Forecast of next 2 years)
#18 The industry is expected to grow up to $216.6 billion in 2025. (Berkaweb)
Web Hosting General Statistics+ Facts
19. Choosing a Reliable Web Hosting Company is the Game Changer. (uk.insight)
The hosting provider has to offer a combo service of speed, security, and performance. Several web hosting companies are in the market, and few provide reliable services. Reliability is one of the important factors influencing a site owner’s decision.
According to Gartner, IT downtime of large companies is about $5,600/minute. Companies like Amazon could lose more than $220,000 in revenue for a minute of downtime.
20. Security Should be the Top Priority (cybersecurityventures)
Every site owner’s focus should be highly secured web hosting. Otherwise, the site owner must spend a huge expense on on-site security to ensure better customer service. As per Cybersecurity Ventures, per year, the cost of cybercrime damage is $6 trillion.
21. Improve Conversion Rates by Minimizing Website Loading Time. (Portent)
Website loading time is important in getting your site rank and keeping users hooked. As per Portent, poor loading time reduces the conversion rate to 4.42%.
Also, Portent found that the first 5 seconds of page loading time is crucial. During this time, a visitor decides whether to stay on the website.
22. As Internet Usage Accelerates, the Demand for Hosting will Increase. (Lightreading)
The requirements for excellent internet hosting solutions are skyrocketing nowadays. Interestingly, it is going to explode even more in the coming years. According to Cisco, 60% of the worldwide population will use the Internet by 2024.
23.41% of websites use the .com extension. (Domainnamestat)
People find your website using a domain name. A domain name is similar to an address that helps the reader to connect to your website content and data.
Every domain name has an extension, such as .com, .net, .org, .gov, etc., known as the “TLD. The most popular TLD is .com, and 37.41% of websites use the .com extension.
Most Popular Hosting service among WP users
24. According to the WordPress Hosting Survey, GoDaddy is the most popular hosting provider. (Financesonline)
- GoDaddy: 10.08%
- Bluehost: 9.61%
- HostGator: 5.01%
- Hostinger: 4.08%
- Namecheap: 2.6%
How many websites are hosted in USA?
The country hosts over 50 million domains.
Who hosts the most domains?
With 76.6 Million Domains, GoDaddy is the world’s largest domain register.
Is web hosting profitable in 2023?
In the beginning, the web hosting industry was small.
The industry started in 1969 with only 4 hosts. This number skyrocketed within the next 5 decades and reached 126 million hosts, 28.2 million websites, and 30 million domains in 2001. It shows how fast the development of the Internet has happened and why hosting is still profitable in 2023. (Source).
The web hosting industry is flourishing day by day.
Today, several web hosting companies are available in the market to meet your digital journey requirements. Choose the correct web hosting solution when entering the digital world.
Hope all these statistics about website hosting give you an idea of the strong state of the web hosting industry.
Chao for Today!