The growing demand for flexible workplaces boosts the growth of the U.S. coworking space market during the forecast period.

The U.S. Co-Working Space Market size was valued at USD 2.1 billion in 2023 and is predicted to reach USD 7.1 billion by 2030, at a CAGR of 18.7% from 2024 to 2030, according to new research by Next Move Strategy Consulting. The surge in demand for flexible working arrangements primarily propels the coworking space market in the U.S.

This heightened demand serves as a pivotal driver of market growth, reflecting the evolving preferences of American workers. According to the Gitnuz Organization, the number of coworking spaces in the U.S. experienced exponential growth, soaring from just 22 in 2007 to an impressive 4,528 in 2018.

American workers now constitute 45% of the global coworking industry, highlighting the significant presence of coworking spaces in the U.S. Moreover, the rapid expansion of the coworking space market is evident in the remarkable growth of available spaces. In 2017, there were approximately 4,000 coworking spaces in the country.

By 2022, this figure had surged to over 6,200, representing a remarkable 55% growth in just five years. This trend underscores the increasing popularity and adoption of coworking spaces as a preferred workspace option among American professionals.

Moreover, the expansion of the coworking space market in the U.S. is propelled by the increasing appeal of coworking spaces, driven by the growing number of startups and freelancers. As the birthplace of some of the world's most successful startups, including SpaceX, Instagram, and Airbnb, the U.S. maintains a vibrant entrepreneurial ecosystem that continues to thrive.

Additionally, a study conducted by the U.S. Bureau of Labor Statistics projects that 50% of the American workforce will be freelancing by 2027, further boosting the demand for flexible workspace solutions. This surge in startups and freelancers has led to the emergence of prominent coworking chains such as WeWork, Impact Hub, Alley, and District Cowork. These chains establish shared spaces across multiple locations in major cities, catering to the diverse needs of entrepreneurs, freelancers, and small businesses.

However, cybersecurity threats remain a significant challenge to the widespread acceptance of coworking spaces, particularly for businesses responsible for handling sensitive data. These collaborative work environments, reliant on shared technology infrastructure, are exposed to various threats that may result in unauthorized access and data breaches.

This issue is especially concerning for companies entrusted with protecting client confidentiality and proprietary information, as the communal aspect of these spaces exacerbates the risks associated with network security, physical access, and device vulnerabilities. It is imperative to tackle these cybersecurity challenges to foster trust and ensure the secure functioning of coworking spaces, especially for businesses managing sensitive data.

Alternatively, the integration of Augmented Reality (AR) and Virtual Reality (VR) into coworking spaces presents significant opportunities for expanding the coworking space market. These immersive technologies are positioned to transform remote collaboration, allowing individuals to actively engage in virtual meetings, collaborative projects, and training sessions with an enhanced sense of physical presence. By eliminating geographical constraints and enhancing the interactive dimension of remote work, AR and VR are expected to make coworking spaces equipped with these technologies highly appealing.

Request for a sample here: Download Now

Several market players operating in the U.S coworking space market include Regus Group Companies, TechSpace Inc, Knotel Inc, SimplyWork, Talent Garden S P A, Premier Workspaces, KR Space, Convene, Servcorp Limited, WeWork Management LLC, The Office Group Ltd., Industrious LLC, Ucommune (Beijing) Venture Capital Co., Ltd., LiquidSpace Inc., Awfis Space Solutions Pvt Ltd., Impact Hub GmbH, Newmark Group, Inc., Soho China Ltd., Serendipity Labs, India Accelerator, and others.

Key Insights from the U.S Coworking Space Market Report:

• The information related to key drivers, restraints, and opportunities and their impact on the U.S. coworking space market is provided in the report.

• The value chain analysis in the market study provides a clear picture of the roles of each stakeholder.

• The market share of players in the U.S. coworking space market is provided in the report along with their competitive analysis.

For More Insights, Browse Reports