Virtual Private Cloud Software, a private and isolated section within a public cloud infrastructure, is virtually partitioned from the public cloud using firewall and virtual LAN. It enables end users to provision resources on-demand, within the self-defined virtual network. VPC offers the benefits of virtualized networks, wherein users can avail the scalability feature of public cloud, along with the privacy and control of private cloud. Virtual Private Cloud Software is majorly managed through the service panel of managed service providers and is operated by cloud service providers.

COMPETITIVE LEADERSHIP MAPPING TERMINOLOGY

The vendor evaluations in Virtual Private Cloud Software are based on 2 broad categories: strength of product portfolio and business strategy excellence. Each category carries various criteria based on which the vendors have been evaluated. The evaluation criteria considered under the strength of product portfolio include the breadth and depth of product offering (on the basis of the industries that the vendors cater to, and solution and service offerings), product feature and functionality, product branding, product differentiation and technology support, and product quality, reliability, and support. The evaluation criteria considered under business strategy excellence include effectiveness of growth strategy (on the basis of customers and revenue generation), channel strategy and fit (on the basis of the channel partners that the vendors cater to), geographic footprint (on the basis of geographic presence), breadth of application served and coverage, merger and acquisition strategy, and effectiveness of organic growth strategy. The vendors in virtual private cloud software have been placed into 4 categories based on their performance in each criterion: visionary leaders, innovators, emerging, and dynamic.

VISIONARY LEADERS

The visionary leaders in encryption software category receive high scores for most of the evaluation criteria. They have an established product portfolio and a very strong market presence.

DYNAMIC DIFFERENTIATORS

The dynamic differentiators are established vendors with very strong business strategies. However, they have a low product portfolio. They focus on a specific type of technology related to the product.

INNOVATORS

Innovators have innovative portfolio of services and a strong potential to build robust business strategies for their business growth, to be at par with the Visionary Leaders. Moreover, a strong and dedicated direct and indirect sales channel is one of the key factors influencing the brand position of the firm.

EMERGING COMPANIES

The emerging companies have niche product offerings and are starting to gain their position in the market. They do not have much strong business strategies as compared to other established vendors. They might be new entrants in the market and require some more time before getting significant traction in the market.

VPC can be implemented by deploying software components from various cloud service providers, or end users can avail VPC form managed services providers. This eliminates vendor dependency and provides enhanced flexibility to end-users.

SOFTWARE

VPC offers the scalability and cost-effectiveness of public cloud as well as the privacy and security of private cloud

VPC uses virtual data isolation within a public cloud. It is a special implementation of a public cloud that provisions a section of public cloud infrastructure for a single user through the corporate firewall. The data within the VPC is isolated from other public cloud vendors. VPC offers the scalability and cost-effectiveness features of the public cloud along with the privacy and security features of a private cloud. The advantage is expected to increase the adoption of VPC on the public cloud over the dedicated private cloud deployments. Moreover, VPC addresses various security objections by the end-users to adopt the cloud model. It is expected to further fuel the adoption of VPC.

VPC is available as a self-provisioning model through the browser portal or can be available through a managed services provider. In the case of managed services offerings, the managed service provider manages the cloud configurations for the end-users. VPC is available both on a contract basis or a pay-as-you-go model, with inbuilt load balancing and firewall.

VPC enables compliant and isolated environment, which proves to be an ideal alternative for enterprises to extend their on-premises infrastructure to a secure cloud. It provides a secure environment for mission-critical enterprise applications as VPC can easily cater to the needs of the most demanding applications without any additional cost. VPC can be deployed for applications, such as backup and disaster recovery, and a dev-test environment. VPC is ideal for companies seeking high levels of security, privacy, and control, such as healthcare and financial organizations dealing with regulatory compliance.

SERVICES

The market of VPC solutions and services is growing, thereby driving the growth of the services associated with them. This chapter discusses the VPC market by service and its types. VPC services are crucial for an organization. Broad expertise and deep knowledge of the service providers cater to specific challenges of the end-users and help in reducing risk and complexity. The VPC services help end-users in scenarios, such as selecting the right platform, architecting a multi-cloud solution, and modernizing global operations. The cloud is complex; thus, various services aid business to accelerate their growth and innovation. Additionally, these services help managers meet their ultimate objective of improved operability, and energy and resource optimization. VPC services are divided into 4 categories, namely, training and consulting, integration and deployment, support and maintenance, and managed services.

TRAINING AND CONSULTING

Training and consulting services help in assessment, design, deployment, and optimization of cloud environment

VPC training and consulting are provided by well-qualified domain experts, industry experts, and cloud professionals. These services help in the assessment, design, deployment, and optimization of the cloud environment. They also help organizations in increasing revenues, minimizing risks, and providing optimized resource allocation. Consulting service providers guide companies in setting up new VPC infrastructure to address their specific requirements for cloud. VPC consulting services are very crucial for organizations, especially to non-IT companies, as they do not have the expertise to understand cloud technologies and improve operational efficiency.

INTEGRATION AND DEPLOYMENT

Integration and deployment services aid in streamlining adoption, improving operational efficiency, and managing disruption

Integration and deployment facilitate one-stop solutions for management, planning, designing, assembling, and integration of VPC solutions and services. These services aid in streamlining adoption, improving operational efficiency, and managing disruption. The hands-on technical consultants provide the necessary insights, expertise, and guidance to implement VPC solutions and services. These services can be tailored based on the user needs or be offered as a package with various options as per the user requirements. These services are useful for SMEs and large enterprises as well, owing to their ability to provide a one-stop solution for all needs. They provide a cost-effective and convenient way of service integration and a flexible approach toward services. They eliminate deployment-related challenges that cause disruptions in business operations by providing a hassle-free one-stop service and solution. The integration and deployment segment is growing rapidly and expected to penetrate major regions worldwide.

SUPPORT AND MAINTENANCE

Support services empower organizations to efficiently tackle end-user and technical issues

Support and maintenance include the support related to the implementation and use of solutions and are provided by VPC vendors. Support services empower organizations to efficiently tackle service requests, such as end-user issues and technical issues. Support and maintenance form an integral part of VPC implementation. These services ensure uninterrupted operations of the VPC solutions and services deployed in organizations.

MANAGED SERVICES

Managed services  help organizations increase efficiency, reduce deployment time, and save costs

Managed services providers deliver third-party infrastructure services that help organizations manage billing processes for their products and services. Managed services are focused on service quality and end-user experience while delivering speed and cost optimization. As the end-users adopt the VPC environment, managed services ensure and manage the additional operational challenges. Managed services providers take care of all related functions while organizations are only responsible for updating operating systems, installing business applications, providing business data, and configuration company policies. Managed services help organizations increase efficiency, reduce the deployment time, and save costs.

Frequently Asked Questions

  • What are the upcoming verticals for the Virtual Private Cloud market?
    Retail vertical to grow at the highest rate during the forecast period. Various factors driving this adoption are the rising purchasing power of customers and the need to satisfy customer expectations leading to the existing customer retention and new customer acquisition. Online retailing and cloud technologies have significantly disrupted the retail vertical leading to the adoption of cloud computing mainly for storage, backup, and security services. Cloud computing services enable retailers to access customer data with just one click from any store located anywhere leading to better customer service delivery. The VPC solution helps in renovating a business approach. Retailers are benefited with cost saving by implementing VPC. This sector experiences risk of information breaches of high profile data. VPC overcomes these security problems by creating security policies for the applications that are stored on it.
  • Which segment provides the most opportunity for growth?
    Support and Maintenance services to grow at the highest rate during the forecast period. Support services empower organizations to efficiently tackle service requests, such as end-user issues and technical issues. Support and maintenance form an integral part of VPC implementation. These services ensure uninterrupted operations of the VPC solutions and services deployed in organizations.
  • Which are the leading vendors operating in this market?
    Google (US), Microsoft (US), Alibaba (China), AWS (US), OVH (France), Huawei (China), Rackspace (US), CenturyLink (US), DXC (US), and Atos (France) are the leading vendors with almost 70 percent of market share.
  • What are the opportunities for new market entrants?
    Increased security, automation and agility, the need for IT modernization, automation of manual processes, and increased cost savings are the major growth factors for the Virtual Private Cloud market which the new market entrants can focus on and can capture the market.
  • What is the expected market value of Virtual Private Cloud Software today and in 2024?
    The Global VPC Market Size is Expected to Grow from USD 20.9 Billion in 2019 to USD 58.9 Billion By 2024, at a CAGR of 23.0%

Best Virtual Private Cloud (VPC) Software

Comparing 11 vendors in Virtual Private Cloud Software across 70 criteria.
2 Experts are advising 40 buyers
AWS provides secure technology platforms to all industry verticals with the utmost reliability, safety, and flexibility. AWS cloud products, offer robust features and functionalities to customers with consistent upgradations. The company provides VPC offerings that enable organizations to have advanced security features at low costs with the flexibility to optimize resources as per the business needs. 
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Microsoft is an eminent player in the VPC market. To maintain its leadership position in the global competitive environment, Microsoft concentrates on innovations, cloud integration, and technology partnerships. The company delivers a delightful experience to its customers and partners using a wide range of products, services, and support offerings. It follows the strategy of developing a complete portfolio by conducting R&D at a global level.
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Google enables enterprises to scale and control their workloads, which are connected regionally and globally in a single VPC. VPC can automatically set up an organization's virtual topology and configure prefix ranges for network policies. It also allows users to expand CIDR ranges without downtime. The platform helps businesses in segmenting their networks with a global distributed firewall to prevent access to instances. By leveraging its application replication function, Google helps professionals to create backup GCP compute capacity, then revert back after the end of the incident.
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Alibaba VPC creates an isolated network environment that is based on Alibaba Cloud. The solution works with numerous products and it easily handles internet portals to deliver a hybrid cloud architecture. It helps businesses to gain a fully isolated VPC environment for free on the Alibaba VPC. Furthermore, it also allows organizations to customize their network settings as per their needs. Alibaba's Express Connect helps professionals to create an intranet connection amonst VPC instances in different regions and different users.
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Huawei VPC lets the users create their security groups and VPNs, modify their IP address ranges, and specify bandwidth sizes in their own VPC. It helps them to manage and modify their internal networks, deploy secure and instant network changes. With Huawei VPC, the organizations are also able to define rules for their communication ammongst ECSs in the same or in different security groups. The solution provides multiple connectivity options which helps professionals to meet the organization's diverse service requirements. 
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OVH provides Backup hosts automization, that helps businesses in maintaining the configuration of their previous host. OVH just takes about five minutes to assign new resources requested by a customer, be it RAM, CPU, storage space for increased IOPS, or any other component of the solution. OVH has designed vScope which is a monitoring tool for Private Cloud. It displays all the useful information about the resources on a single page. It also allows professionals to assess their organization's virtual datacenter instantly and anticipate new resources to be deployed.
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CenturyLink provides reliable virtualized environments from any combination of its network, colocation, hosting, and cloud services. The company helps businesses to combine hybrid, multiple clouds on a global scale interconnected by its own global network. The company provides businesses with coordinated management, scalability, networking, and security models across onsite and offsite environments. The company's vCloud Air platform supports more than 5,000 applications and 90 operating systems that have been already certified to function on vSphere. The company's solution can be modified to meet the demands of their enterprise. CenturyLink Private Cloud on VMware Cloud Foundation has an international presence, it has been installed in 32 locations and has been running on the company's leading CenturyLink Network.
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Rackspace VPC enables businesses to protect their virtual networking environment, including their IP addresses, subnets and network gateways. The company's VPC is separated from other clouds at the network layer. This allows the users to manage their own data and avoind it from mixing with the data of other entities. Rackspace also provides VMware vRealize Suite, that delivers automation, lifecycle management and policy-based governance for hybrid cloud environments.
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Atos Digital Private Cloud enables enterprise to compete more effectively in the digital revolution. Atos ensures the co-existence of legacy applications with new applications and improves the operational cost savings up to 20-30%. The company seamlessly aggregates multiple cloud infrastructure types and establishes a consolidated management view. The company enables businesses to carry out rapid innovation and build secure platforms with the help of its 3,700 cyber security experts.
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DXC Technology offers one of the only cloud platforms that is both physically and virtually resistant against attacks and viruses. It possesses a layer of insulation that secures businesses from severe outages and data loss. The company's integrated services for VMware Cloud on AWS offers a solo management and support structure. It also provides a dedicated flexible client portal with optional backup and virus protection services. The company also offers an open and extensible secure architecture, network and multi hypervisor support for traditional physical and virtual servers. 
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The CTRLS Cloud VPS solution offers high scalability, control, sturdiness, and control which is only possible with the cloud. The company allows users to run their choice of Hypervisor platforms on dedicated servers and it ensures that no other company shares the same server infrastructure. It also allows users to physically place their servers secured in their infrastructure. The platform offers restricted access that has been enforced with multiple layers of security and is controlled with biometric security and access cards.

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