Japan Cloud Computing Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

Japan Cloud Computing Market Report is Segmented by Type (Public Cloud [ IaaS, Paas, Saas], Private Cloud, Hybrid Cloud ), by Organization Size ( SMEs, Large Enterprises), by End-User Industries ( Manufacturing, Education, Retail, Transportation and Logistics, Healthcare, BFSI, Telecom and IT, Government and Public Sector. The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

Japan Cloud Computing Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

Japan Cloud Computing Market Size

Japan Cloud Computing Market Summary
Study Period 2019 - 2030
Base Year For Estimation 2024
Forecast Data Period 2025 - 2030
Market Size (2025) USD 28.71 Billion
Market Size (2030) USD 62.00 Billion
CAGR (2025 - 2030) 16.65 %
Market Concentration Medium

Major Players

Japan Cloud Computing Market Major Players

*Disclaimer: Major Players sorted in no particular order

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Japan Cloud Computing Market Analysis

The Japan Cloud Computing Market size is estimated at USD 28.71 billion in 2025, and is expected to reach USD 62.00 billion by 2030, at a CAGR of 16.65% during the forecast period (2025-2030).

  • The Japanese government's proactive promotion of digital transformation has significantly driven the market's growth, urging businesses to embrace cloud-based solutions. For example, in November 2023, Japan's cloud-native community marked a significant milestone with the launch of "Cloud Native Community Japan." This community became the official Japanese Chapter of the renowned Cloud Native Computing Foundation (CNCF). CNCF, known for leading pivotal open-source projects in the cloud-native domain and hosting global tech events like KubeCon + CloudNativeCon, is instrumental in driving cross-border innovation.
  • Moreover, in a bid to propel shared quantum computing on a business-centric cloud platform, the Japanese government allocated a substantial USD 31.7 million (4.2 billion yen). This funding, sourced from the Ministry of Economy, Trade and Industry (METI), was set to benefit a quantum computing consortium led by the University of Tokyo over the next five years. As per Nikkei Asia, the university, leveraging an IBM quantum computer with the 27-qubit Falcon processor, planned to upgrade to a more advanced IBM model boasting 127 qubits this fall.
  • In addition, major cloud providers joined forces with Japanese organizations to accelerate digital transformation and spur innovation. For instance, in April 2024, a pivotal collaboration saw the Japanese and US governments announce new academic AI partnerships. This initiative, backed by a hefty USD 110 million investment from Nvidia, Microsoft, and a consortium of Japanese companies, coincided with Japanese Prime Minister Fumio Kishida's official visit to the US. The partnerships strategically aligned the University of Washington with the University of Tsukuba and Carnegie Mellon University with Tokyo's prestigious Keio University. Notable contributors to this venture included industry giants like Nvidia, Amazon, Arm, Softbank, and Microsoft, alongside nine other undisclosed Japanese firms.
  • Furthermore, Japan's vulnerability to natural disasters, such as earthquakes and typhoons, accentuated the importance of cloud solutions. These solutions offered a flexible approach to disaster recovery and ensured business continuity. Businesses minimized downtime and enhanced operational resilience by distributing data and applications across various centers. Recent events showcased Japanese companies leveraging cloud solutions to swiftly recover from natural disasters, highlighting the tangible benefits of cloud adoption.
  • In January 2024, Amazon Web Services (AWS) rolled out an ambitious investment blueprint worth 2.26 trillion yen, earmarked for its cloud infrastructure in Tokyo and Osaka by 2027. This strategic move directly addressed Japan's surging demand for cloud services. According to insights from AWS's Economic Impact Study (EIS) for Japan, this investment was projected to contribute a whopping 5.57 trillion yen to the nation's GDP and support an average of 30,500 full-time equivalent (FTE) roles in local businesses each year. With a historical investment of 1.51 trillion yen spanning from 2011 to 2022, AWS's total commitment to Japan's cloud infrastructure was on track to near 3.77 trillion yen by 2027.
  • In April 2024, Fujitsu Limited and Oracle joined forces to provide sovereign cloud and AI solutions, addressing the digital sovereignty needs of Japanese enterprises and the public sector. Leveraging Oracle Alloy, Fujitsu aimed to enhance its Hybrid IT services under Fujitsu Uvance, which focused on business growth and societal challenges. Notably, Fujitsu would have the autonomy to operate Oracle Alloy in its Japanese data centers, granting it greater operational control.
  • However, while cloud computing offered on-demand platforms, software, and infrastructure, it remained susceptible to data breaches. Despite assurances of robust security measures, customers voiced concerns about entrusting their data to public cloud services. Even with diligent efforts from cloud service providers to safeguard client data, notable data breach incidents impacted some of the industry's most prominent players.

Japan Cloud Computing Industry Overview

Japan's cloud computing market experienced notable fragmentation, with numerous players competing for market share. Moreover, many of these companies formed strategic partnerships and expanded into new markets to strengthen their positions. Furthermore, key players included industry leaders such as Amazon Web Services, Google LLC, Microsoft Corporation, and Salesforce.

Japan Cloud Computing Market Leaders

  1. Microsoft Corporation

  2. Amazon Web Services, Inc

  3. Google LLC

  4. Oracle Corporation

  5. IBM Corporation

  6. *Disclaimer: Major Players sorted in no particular order
Japan Cloud Computing Market Concentration
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Japan Cloud Computing Market News

  • April 2024: Microsoft announced plans to invest USD2.9 billion over the next two years, bolstering its hyperscale cloud computing and AI infrastructure in Japan. The tech giant aimed to enhance its digital skilling initiatives, targeting AI training for over 3 million individuals in the next three years. In addition, Microsoft planned to inaugurate its inaugural Microsoft Research Asia lab in Japan and intensify its cybersecurity partnership with the Japanese government.
  • April 2024: Oracle Corporation Japan announced a bold investment exceeding USD 8 billion, spread over the next decade, in response to Japan's burgeoning appetite for cloud computing and AI infrastructure. This financial commitment was poised to expand the footprint of Oracle Cloud Infrastructure (OCI) across Japan. In addition, Oracle enhanced its operations and support engineering teams with local personnel to guide clients and partners through Japan's digital sovereignty mandates.

Japan Cloud Computing Market Report - Table of Contents

1. INTRODUCTION

  • 1.1 Study Assumptions and Market Definition
  • 1.2 Scope of the Study

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET INSIGHTS

  • 4.1 Market Overview
  • 4.2 Industry Attractiveness - Porter's Five Forces Analysis
    • 4.2.1 Bargaining Power of Suppliers
    • 4.2.2 Bargaining Power of Consumers
    • 4.2.3 Threat of New Entrants
    • 4.2.4 Threat of Substitute Products
    • 4.2.5 Intensity of Competitive Rivalry

5. MARKET DYNAMICS

  • 5.1 Market Drivers
    • 5.1.1 Robust Shift Towards Digital Transformation Across the Country
    • 5.1.2 Data Privacy Concerns Are Driving Increased Adoption Of Public Cloud Services
  • 5.2 Market Challenges
    • 5.2.1 Regulatory Compliance and Data Breaching Risk
  • 5.3 Pricing Model Analysis
  • 5.4 Overview of demand trends of Cloud Computing in Japan
    • 5.4.1 Increased adoption of hybrid and multi-cloud strategies
    • 5.4.2 Rising adoption if SaaS Applications
  • 5.5 Number of data centres in Japan
  • 5.6 Industry Regulations and Standards for Cloud Computing Market in Japan
  • 5.7 Case Study Analysis

6. MARKET SEGMENTATION

  • 6.1 By Type
    • 6.1.1 Public Cloud
    • 6.1.1.1 IaaS
    • 6.1.1.2 PaaS
    • 6.1.1.3 SaaS
    • 6.1.2 Private Cloud
    • 6.1.3 Hybrid Cloud
  • 6.2 Organization Size
    • 6.2.1 SMEs
    • 6.2.2 Large Enterprises
  • 6.3 End-user Industries
    • 6.3.1 Manufacturing
    • 6.3.2 Education
    • 6.3.3 Retail
    • 6.3.4 Transportation and Logistics
    • 6.3.5 Healthcare
    • 6.3.6 BFSI
    • 6.3.7 Telecom and IT
    • 6.3.8 Government and Public Sector
    • 6.3.9 Others (Utilities, Media & Entertainment etc)

7. COMPETITIVE LANDSCAPE

  • 7.1 Company Profiles*
    • 7.1.1 Amazon.com Inc(AWS)
    • 7.1.2 Google LLC
    • 7.1.3 Microsoft Corporation
    • 7.1.4 NTT Communications
    • 7.1.5 NEC Corporation
    • 7.1.6 Rackspace Technology, Inc
    • 7.1.7 Oracle Corporation
    • 7.1.8 IBM Corporation
    • 7.1.9 Fujitsu Limited
    • 7.1.10 Salesforce, Inc
    • 7.1.11 SAP SE

8. MARKET OPPORTUNITIES AND FUTURE TRENDS

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Japan Cloud Computing Industry Segmentation

Cloud computing delivers computing services via the internet, encompassing servers, storage, databases, networking, software, analytics, and intelligence. This approach fosters quicker innovation, adaptable resources, and economies of scale. Typically, customers pay solely for the cloud services they utilize, leading to reduced operational costs, more efficient infrastructure management, and the ability to scale in line with evolving business needs.

Japan cloud computing market report is segmented by type (public cloud [ IaaS, Paas, Saas], private cloud, hybrid cloud), by organization size (SMEs, large enterprises), and by end-user industries (manufacturing, education, retail, transportation, and logistics, healthcare, BFSI, telecom and IT, government and public sector, and others including utilities, media & entertainment, etc.). The market sizes and forecasts are provided in terms of value (USD) for all segments.

By Type Public Cloud IaaS
PaaS
SaaS
Private Cloud
Hybrid Cloud
Organization Size SMEs
Large Enterprises
End-user Industries Manufacturing
Education
Retail
Transportation and Logistics
Healthcare
BFSI
Telecom and IT
Government and Public Sector
Others (Utilities, Media & Entertainment etc)
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Japan Cloud Computing Market Research FAQs

How big is the Japan Cloud Computing Market?

The Japan Cloud Computing Market size is expected to reach USD 28.71 billion in 2025 and grow at a CAGR of 16.65% to reach USD 62.00 billion by 2030.

What is the current Japan Cloud Computing Market size?

In 2025, the Japan Cloud Computing Market size is expected to reach USD 28.71 billion.

Who are the key players in Japan Cloud Computing Market?

Microsoft Corporation, Amazon Web Services, Inc, Google LLC, Oracle Corporation and IBM Corporation are the major companies operating in the Japan Cloud Computing Market.

What years does this Japan Cloud Computing Market cover, and what was the market size in 2024?

In 2024, the Japan Cloud Computing Market size was estimated at USD 23.93 billion. The report covers the Japan Cloud Computing Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Japan Cloud Computing Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.

Japan Cloud Computing Industry Report

Statistics for the 2025 Japan Cloud Computing market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Japan Cloud Computing analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.