Technology

The Future of The Web Hosting Industry – Statistics, Latest Predictions & Trends

It can be challenging to keep up with advancements in the website hosting market! On the board, there are far too many moving parts. Technology developments, innovations, and one-of-a-kind real-world happenings, such as the COVID-19 pandemic, are just a few of the variables at work.

While calculating the market size and growth of the website hosting sector, including shared hosting, VPS hosting, and dedicated servers, is nearly impossible due to various factors, there are hundreds of tools available online. You’ve come to the perfect site if you don’t want to determine which one is the most accurate and trustworthy.

General Web Hosting Industry Statistics

When did the web hosting business get its start? How many hostnames have been registered on the Internet? 

  • The beginnings of the web hosting sector were small. It all began in 1969 with only four hosts. Over the next five decades, the sector exploded to a whopping 126 million hosts, 30 million domains, and 28.2 million websites.
  • Over 1.21 billion hostnames were registered online by 2021. However, not all of these websites are operational. In reality, only roughly 200.8 million of the 1.21 billion registered hostnames are online and active. Only 15.5 percent of all registered hostnames are active websites.
  • The global market for web hosting services is still expanding. Its size was evaluated at $56.7 billion in 2019. According to predictions, it will rise at a compound annual growth rate (CAGR) of 15.5 percent from 2020 to 2027.
  • The web hosting business market is expected to expand to $171.4 billion by 2027. At the same time, this prediction shows that the industry would grow at a CAGR of 15.5 percent from 2020 to 2027.

Top 5 Hosting Trends for 2022/2023

Let’s look at the most recent web hosting trends and how the industry is dealing with the difficulties threatening its market position.

Trend #1: Green Web Hosting

The annual CO2 emissions from the Internet are equivalent to 31 million cars traveling around the world simultaneously. What caused this to happen? 

Aside from the web developers who manage all of the servers, all of the gear gets its fair share of attention, if not more. Like the everyday electronics we use, such as our phones, tablets, and computers, they tend to get hot when used for an extended period.

Fortunately, web hosting firms are beginning to invest in carbon offset programs. Green web hosting involves web hosts actively participating in eco-friendly projects to reduce negative environmental impacts, accomplished by acquiring renewable energy certificates (RECs) or carbon offset certificates (VER).

Trend #2: Multi-Cloud Hosting

Emerging technologies that enable organizational resilience, team collaboration, and massive data management, such as multi-cloud hosting, allow companies to mitigate COVID-19 consequences and buckle up for the future.

This relatively new cloud-based hosting technique involves distributing various cloud assets, such as documents and software, across two or more cloud environments. A company with this business model utilizes many platforms to operate. In turn, it liberates a corporation from dependency on a single cloud host by working with many providers. An organization can select only the best-of-breed services from each cloud host with this configuration.

Trend #3: HTTPS as The Standard

In 2018, Google Chrome labeled “non-secure” to non-HTTPS websites and encouraged sites to accept this standard by offering a ranking boost. Consequently, 97 out of every 100 websites will have switched to HTTPS (Google, 2021) by early 2021. As a result, providing free HTTPS has become the norm in the web hosting industry. Failure to migrate to HTTPS can significantly impact site rankings, which can be costly for web-based enterprises.

There are numerous advantages to adopting HTTPS. It improves a website’s search engine ranking, fosters customer trust, and, most crucially, safeguards sensitive data. The use of HTTPS is critical for the security of a website, which ensures that any information collected on a website is secure and impossible for most Internet hackers to steal.

Trend #4: Security Protocols

In recent years, several data breaches and cybersecurity meltdowns have compelled hosting providers to strengthen security. As a result, providing customer privacy protection is now more important than ever for web hosting providers. 

Companies use proxies to keep their internal IP anonymous from the outside world. These proxies also increase the data transfer speeds by a significant margin.

A powerful web hosting solution must give additional capabilities to protect clients’ sensitive information. Hosting security protocols, such as CMS vulnerability compliance checks, standard SSL certification, and encrypted data storage, are becoming more common.

Domain privacy is another excellent option that a web host may provide. Many web hosting companies provide it as an add-on option.

Trend #5: Fewer Data Centers

Fewer businesses are creating their own data centers these days. A variety of variables causes this decline. Still, the most important influence is the migration to the cloud. 

The cloud is eliminating some data center functions and is one of the causes contributing to the decline in data centers. With so many businesses utilizing the cloud, infrastructures for putting up data centers are no longer required and need Bluehost affiliate program

The Final Verdict – The Future of Web Hosting

There are numerous new prospects in the web hosting market, but you must know where aspects such as the environment, cloud, and privacy protocols stand regarding web hosting.

Clearly, the web hosting sector has no choice but to move forward—but only if it continues to evolve and adapt to the ever-changing digital market. The ease of access to online movies and the advent of mobile browsing and apps, such as various mobile marketing platforms, have all pushed the limits of what web hosting can offer to the creation of websites. 

And if you want to stand out in the business, these are the trends you’ll need to consider as you develop your plan!

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