The Global Application Development Software Market Size accounted for USD 187 Billion in 2021 and is estimated to achieve a market size of USD 1,628 Billion by 2030; growing at a CAGR of 27.4%.
Application development is the process of designing, building, and implementing software applications. Because it performs difficult operations in seconds, application development software has infiltrated practically every industry. Without a question, software development has aided in the improvement of efficiency in commercial settings. In many ways, software development has revolutionized the world. For example, the development of software tools has promoted morals and child safety, facilitated business, improved the military, and altered the healthcare system. It has also improved transportation, contributed to the economy, and aided scientific studies.
The growing digital transformation is one of the application development software market trends that are fueling the industry demand. Digital transformation is "the integration of digital technology into all elements of an organization," which radically transforms the way firms function and give value to their consumers. Technology, data, process, and organizational change are the four core domains of digital transformation, with each domain reliant on the others to help organizations establish themselves in the digital economy.
Global Application Development Software Market Dynamics:
Application Development Software Market Report Coverage:
|Market||Application Development Software Market|
|Application Development Software Market Size 2021||USD 187 Billion|
|Application Development Software Market Forecast 2030||USD 1,628 Billion|
|Application Development Software Market CAGR During 2022 - 2030||27.4%|
|Application Development Software Market Analysis Period||2018 - 2030|
|Application Development Software Market Base Year||2021|
|Application Development Software Market Forecast Data||2022 - 2030|
|Segments Covered||By Type, By Deployment Model, By Application, By Enterprise Size, And By Geography
|Application Development Software Market Regional Scope||North America, Europe, Asia Pacific, Latin America, and Middle East & Africa|
|Key Companies Profiled||Alphabet Inc., Azure, Datadog Cloud Monitoring, Fujitsu Ltd., HCL Technologies, IBM Corporation, Microsoft Corporation, Oracle Corporation, Salesforce, SAP HANA Cloud Platform, Wipro Limited, and Zoho Corporation.|
||Market Trends, Drivers, Restraints, Competitive Analysis, Player Profiling, Regulation Analysis|
The growing need for application software in the healthcare industry owing to the COVID-19 pandemic is primarily driving the global application development software market growth. Unlike most other industries, the software business has fared quite well throughout the COVID-19 storm. While work from home and stay at home restrictions and business closures have devastated industries that rely on physical services and in-person customers (namely hospitality, tourism, and arts), tech businesses appear to be emerging from the crisis relatively unscathed. Because of the COVID-19 lockdowns, businesses are shifting toward cloud-based software that partners and employees can access. The change toward spending on internet-accessible technology for productivity, sales, reporting, and other activities has coincided with statistical trends such as a 57% growth in collaboration tools and a 67% increase in web conferencing applications by 2020.
The rising adoption of IoT technology fuels the application development software market revenue. The surging adoption of software in industrialized sectors such as automotive, mining, chemical, and oil & gas, among others is expected to create significant growth opportunities for the application development software industry. The growing adoption of smartphones, computers, and laptops is also supporting the industry growth. In addition, the explosion of the online gaming industry is a global application development software market trend that is expanding the market demand. However, the high cost of these software as well as security and privacy risks related to this software are restricting the market growth.
Application Development Software Market Segmentation
The worldwide application development software market is split based on type, deployment model, application, enterprise size, and geography.
Market by Type
According to our application development software industry analysis, the low-code development platforms sub-segment will occupy a significant market share during the forecast timeframe from 2022 to 2030. The growing demand for digitalization is the key reason driving the growth of the low-code development platform market. As a result of digital transformation, businesses of all sizes and industries are seeking innovative methods to tackle challenges and improve company performance. Low-code is already being used by businesses to obtain a competitive advantage by boosting corporate agility and efficiency. This technology enables IT, teams, to break down existing business departmental silos.
Market by Deployment Model
According to our analysis, the on-premise subsegment will have a considerable market share from 2022 to 2030. On-premise software's biggest advantage is that it protects data as it is stored on local premises. On-premise deployment model allows total cost of ownership, can allow complete control over data and does not rely on internet connectivity or external factors. However, the cloud-based deployment model sub-segment is anticipated to achieve the fastest growth rate during the forecast timeframe from 2022 to 2030.
Market by Application
According to our application development software market forecast, media and entertainment held the most market share in 2021 and are expected to continue to do so in the future years. Media and entertainment comprise a wide range of applications, including data collection, processing, and management for viewers. Increased use of over-the-top (OTT) platforms, as well as increased viewer screen time as a result of imposed lockdowns, are likely to boost category growth throughout the projection period. In terms of growth, the IT & telecom sub-segment will occupy a significant growth rate from 2022 to 2030.
Market by Enterprise Size
In terms of enterprise size, major enterprises continue to outnumber small and medium enterprises (SMEs). Large businesses have a broad revenue flow and business system. It aids in the application of cutting-edge technologies and solutions within their presented framework. SMEs, on the other hand, will experience the fastest growth in the next years. During the projection period, the growing number of SMEs in both emerging and developed countries is expected to contribute to the division's expansion.
Application Development Software Market Regional Outlook
The Middle East & Africa (MEA)
The presence of prominent players in US supports the North American application development software market growth
According to our regional research of the application development software industry, North America accounted for the majority of the share of the market in 2021 and is likely to do so in the coming years. The presence of key players such as Alphabet Inc., Oracle Corporation, IBM, and Microsoft Corporation among others is supporting the regional market. The high presence of internet users and rapid technological advancements in the US and Canada is also driving the market growth. However, the Asia-Pacific region is anticipated to witness a substantial growth rate during the forecast timeframe. The growing number of manufacturing and IT companies, growing urbanization, and the increasing adoption of smartphones in countries like China and India are expanding the Asia-Pacific application development software market share.
Application Development Software Market Players
Some of the top application development software companies offered in the professional report include Alphabet Inc., Azure, Datadog Cloud Monitoring, Fujitsu Ltd., HCL Technologies, Wipro Limited, IBM Corporation, Oracle Corporation, Microsoft Corporation, SAP HANA Cloud Platform, Salesforce, and Zoho Corporation.
The estimated value of global application development software market in 2021 was accounted to be USD 187 Billion.
The projected CAGR application development software market during the analysis period of 2022 to 2030 is 27.4%.
The prominent players of the global application development software market are Alphabet Inc., Azure, Datadog Cloud Monitoring, Fujitsu Ltd., HCL Technologies, IBM Corporation, Microsoft Corporation, Oracle Corporation, Salesforce, SAP HANA Cloud Platform, Wipro Limited, and Zoho Corporation.
North America held the dominating application development software during the analysis period of 2022 to 2030.
Asia-Pacific region exhibited fastest growing CAGR for application development software during the analysis period of 2022 to 2030.
Increasing demand for various application software among industries, rising automation across industries, and robust demand for customized and scalable software drives the growth of global application development software market.
Based on application, media & entertainment segment is expected to hold the maximum share application development software market.