Managed DNS Services Market Analysis

Managed DNS Service Market Overview

The Managed DNS Service Market Size was valued at USD 0.28 billion in 2022. The managed DNS service market industry is projected to grow from USD 0.329 Billion in 2023 to USD 0.865810 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 17.50% during the forecast period (2023 - 2030). The volume of internet traffic is increasing, as is the desire for quick page loading. Although a managed DNS service does not directly affect Internet speed, it can affect how quickly webpage loads in a web browser. Moreover, managed DNS load balancing solution helps to divide a web access request load across several servers, hence speeding up response times and preventing revenue loss caused by delayed page loading. These are the key market drivers enhancing market growth.

Source Secondary Research, Primary Research, MRFR Database and Analyst Review

Industry News of Managed DNS Service Market 

• February 2023- An authoritative domain name system (DNS) service, defence against the distributed denial-of-service attacks, and a web application firewall are three Neustar Security Services' products that are crucial to safeguarding organizations' online assets and infrastructure. These three products are combined in UltraPlatform, a new solution from Neustar Security Services (WAF). The UltraPlatform combines elements from the UltraDNS, UltraDDoS Protect, and UltraWAF solutions from Neustar Security Services: The best managed authoritative DNS solution, UltraDNS guarantees precise, secure, and dependable connections. Via a high-performance, fault-tolerant worldwide network, UltraDNS provides blazing-fast, dependable query results. It is also completely protected by massively scaled DDoS mitigation capabilities and provides a wide range of sophisticated capabilities. Many businesses are turning to the cloud-based managed services for strengthening their security posture without overtaxing their security teams as cyberattacks grow in frequency and complexity. Risk is decreased, vendor consolidation is supported, and total cost of ownership (TCO) is decreased for businesses thanks to UltraPlatform's innovative combination of the industry-leading DNS, the DDoS protection, and WAF functionalities.

Managed DNS Service Market Trends

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  Increasing incidence of distributed denial of service (DDoS) attacks boosts the market growth

  
  

The increasing incidence of distributed denial of service (DDoS) attacks has indeed contributed to the growth of the Managed DNS Service Market. Managed DNS (Domain Name System) Service is a type of service that allows organizations to outsource the management of their DNS infrastructure to a third-party provider. DNS is a fundamental component of internet infrastructure that converts domain names into IP addresses, which are then used to transport traffic across the internet. DDoS attacks on DNS infrastructure may cause considerable downtime and financial loss for enterprises. Managed DNS service providers can also offer enhanced performance and reliability compared to in-house DNS management. This is because managed DNS service providers typically have a global network of DNS servers that can provide faster response times and better uptime is the primary driver driving the industry and enhanced the managed DNS service market CAGR globally in recent years. By strategically placing name servers on multiple continents, the GeoDNS service finds uses in spreading web traffic based on request locations. In contrast to Anycast, a GeoDNS service gives unique replies based on the user's IP address.

Furthermore, Growing IoT adoption and increased use of managed DNS services to deliver functions and data required to make the IoT more stable, secure, and transparent, allowing for seamless and smooth interaction of IoT devices with the physical world, is another factor driving the growth of the managed DNS service market revenue.

Managed DNS Service Market Segment Insights

Managed DNS Service Service Type Insights

Based on service, the Managed DNS Service Market segmentation includes Premium/Advance DNS, DDoS Protected DNS, and GeoDNS. DDoS Protected DNS category accounted for the largest revenue share in 2022 in Managed DNS Service Market revenue. A distributed denial of service exploits many security flaws in systems and redirects significant online traffic to a web-based application or website. Such assaults may force servers to crash, rendering the online application or website inoperable, affecting client service and resulting in significant revenue loss. Managed DNS providers provide various advantages, including increased security against large-scale assaults and a failover DNS plan and increased performance, allowing for the seamless operation and performance of websites and online apps.

For instance, by strategically placing name servers on multiple continents, the GeoDNS service finds uses in spreading web traffic based on request locations. In contrast to Anycast, the GeoDNS service gives unique replies based on the user's IP address.

Managed DNS Service Organization Size Insights

Based on the organization size, the Managed DNS Service Market segmentation includes Large Enterprises and Small & Medium Enterprises. Throughout the projected period, the Small & Medium Enterprises sector is predicted to contribute around ~65-67% of the Managed DNS Service Market revenue. Small and medium-sized enterprises (SMEs) are increasingly turning towards managed DNS services because they can be cost-effective and comprehensive compared to managing DNS in-house. Managing DNS in-house can be complex and time-consuming, requiring dedicated staff and resources. SMEs often have limited IT resources and budgets, and managing DNS in-house can strain these resources. In addition, implementing and maintaining the necessary infrastructure and security measures for DNS management can be prohibitive for many SMEs. Managed DNS services offer a more cost-effective and comprehensive solution. Outsourcing DNS management to a third-party provider allows SMEs to access the necessary expertise and infrastructure without needing in-house resources.

Managed DNS Service End User Insights

Based on end users, the Managed DNS Service Market data includes BFSI, Media & Entertainment, Retail & Consumer Goods, Healthcare Government, Education, and E-Commerce. The BFSI (Banking, Financial Services, and Insurance) segment accounts for the greatest revenue share in 2022 in Managed DNS Service Market. The BFSI sector has critical requirements for DNS management, including security, performance, and reliability, due to the sensitive nature of financial transactions and the large amount of customer data they handle. DNS downtime or delays can result in significant financial losses and damage their reputation. Moreover, the BFSI sector is heavily regulated, with strict compliance requirements, including data privacy and security regulations, which require a high level of DNS security and management, positively impacting the market growth.

Figure 1 Managed DNS Service Market, by End User, 2022 & 2030 (USD billion)Source Secondary Research, Primary Research, MRFR Database and Analyst Review

Managed DNS Service Regional Insights

By Region, the study provides market insights into North America, Europe, Asia-Pacific and Rest of the World. In 2022, North America dominated the managed DNS service industry, with approximately 45.80% of global revenue owing to the presence of key managed DNS service providers in the area, including GoDaddy Inc, Microsoft Corporation, Amazon Web Services, and Oracle Corporation. Furthermore, the region's high Internet penetration and popularity of loT are driving market expansion. For Instance, in March 2019, Akamai improved its edge platform for cloud security. Among the new features were fully integrated VPN and DNS proxy detection services.

Further, the major countries studied in the market report are The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2 MANAGED DNS SERVICE MARKET SHARE BY REGION 2022 (%)Source Secondary Research, Primary Research, MRFR Database and Analyst Review

The European managed DNS service market accounted for the second-largest revenue share worldwide in 2022, owing to an increasing number of SMEs employing managed DNS services for their separate websites. Furthermore, expanding the retail, banking and financial services, information technology, and telecommunications industries is driving market growth.

Asia Pacific managed DNS service market is expected to grow at the fastest CAGR due to the adoption of cloud computing in the region, driving the demand for reliable and secure DNS services. Many businesses are moving their operations to the cloud, requiring DNS services that provide fast and secure access to their applications and data. Secondly, the e-commerce industry in the Asia Pacific region is expanding rapidly. With more consumers shopping online, there is a growing need for managed DNS services to ensure the availability and reliability of online stores and marketplaces. Managed DNS services can help to reduce downtime and improve the overall user experience for e-commerce customers.

Managed DNS Service Key Market Players & Competitive Insights

Major market players are substantially spending in R&D to extend their product lines, which will aid in the growth of the managed DNS service industry. Market participants also pursue various strategic activities to expand their global footprint, including contractual agreements with key market developments, mergers and acquisitions, higher investments, and collaboration with other companies. To develop and thrive in a more competitive and rising market climate, competitors in the managed DNS service industry must offer cost-effective goods.

One of the primary business strategies manufacturers adopt in the globally managed DNS service industry to benefit clients and expand the market sector is manufacturing locally to reduce operating costs. In recent years, the managed DNS service industry has offered some of the most important medical advancements. In the managed DNS service market, major players such as Cloudflare Inc., ClouDNS, Neustar Inc., Oracle Corporation, and others are attempting to increase market demand by investing in research and development.

Neustar Inc is a global provider of managed DNS services that help businesses to manage their online presence and ensure that their websites and applications are always available and accessible to users. Neustar's managed DNS service is designed to help businesses manage their online presence more effectively and ensure that their websites and applications are always available and accessible to users. For Instance, in November 2020, Neustar, Inc., a renowned IT corporation and supplier of identity resolution services, announced the signing of a contract with VeriSign, Inc. to acquire Verisign's recursive Public DNS service.

Also, Oracle Corporation is a leading provider of managed DNS services that offer businesses a comprehensive solution for managing their online presence. The company's managed DNS service provides users various features and capabilities, including advanced traffic management, DNS management, and global load balancing. The DNS management feature enables users to manage their DNS records easily and efficiently using a web-based portal. With this feature, businesses can quickly and easily change their DNS settings, ensuring that their website and application performance is optimized.

Key Companies in the managed DNS service market includes

• Cloudflare Inc.


• ClouDNS


• Neustar Inc.


• Oracle Corporation (Dyn)


• Google Inc.


• Amazon Web Services Inc.


• Akamai Technologies


• EasyDNS Technologies Inc.


• com


• CDNetworks Inc.

Managed DNS Service Industry Developments

March 2022  Oracle Cloud Infrastructure (OCI) is growing with 11 new computing, networking, and storage services and capabilities, allowing clients to execute workloads faster and more securely at a reduced cost. Customers may now get flexible core infrastructure services that automatically optimize resources to fit application requirements and greatly decrease expenses.

October 2019 Akamai added features to its edge platform to preserve its competitive advantage by improving security and media delivery and reducing web performance concerns.

Managed DNS Service Market Segmentation

Managed DNS Service Service Type Outlook

• Premium/Advance DNS


• DDoS Protected DNS


• GeoDNS

Managed DNS Service Organization Size Outlook

• Large Enterprises


• Small & Medium Enterprises

Managed DNS Service End User Outlook

• BFSI


• Media & Entertainment


• Retail & Consumer Goods


• Healthcare Government


• Education


• E-Commerce

Managed DNS Service Regional Outlook

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  North America

  
  
  
  
  • US
  
  
  • Canada
  
  
  
  


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  Europe

  
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


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  Asia-Pacific

  
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


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  Rest of the World

  
  
  
  
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    Middle East

    
    
  
  
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    Africa

    
    
  
  
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    Latin America