Global Software Development Services
Market Report
2025
the global software development services market size was USD 402.9 billion in 2022 and will grow at a compound annual growth rate (CAGR) of 10.50% from 2023 to 2030.
The base year for the calculation is 2024. The historical will be 2021 to 2024. The year 2025 will be estimated one while the forecasted data will be from year 2025 to 2033. When we deliver the report that time we updated report data till the purchase date.
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According to Cognitive Market Research, the global software development services market size was USD 402.9 billion in 2022 and will grow at a compound annual growth rate (CAGR) of 10.50% from 2023 to 2030.
2024 | 2025 | 2032 | 2033 | CAGR | |
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Global Software Development Services Market Sales Revenue | 121212 | 121212 | 121212 | 121212 | 10.5% |
Base Year | 2024 |
Historical Data Time Period | 2021-2024 |
Forecast Period | 2025-2033 |
Market Split by Solution Type |
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Market Split by Application |
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Market Split by Deployment |
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Market Split by End Use |
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List of Competitors |
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Regional Analysis |
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Country Analysis |
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Report scope is customizable as we have a huge database of Software Development Services industry. We can deliver an exclusive report Edition/Consultation as per your data requirements. Request for your Free Sample Pages.
Software Development Services Market is Segmented as below. Particular segment of your interest can be provided without any additional cost. Download the Sample Pages!
Software development services (SDS) encompass a wide array of services that assist businesses in the creation, maintenance, and enhancement of their software applications. These services can be rendered by internal teams. This process involves the development of brand-new software applications from the ground up. Software development services encompass a wide range of offerings provided by vendors in the market. This delivery model involves hosting software and its associated data centrally, allowing clients to access it through a web browser.
These developments empower businesses to offer better-tailored solutions and services, which, in turn, contribute to the growth of the Software Development Service industry.
Bentley Systems, Incorporated (Nasdaq: BSY), the company that specializes in software for infrastructure engineering, has recently acquired Blyncsy, a provider of advanced artificial intelligence services for transportation departments. This acquisition will enhance Bentley's iTwin Ventures portfolio, focusing on the digital twin ecosystem. It will help drive the development and widespread use of valuable infrastructure asset analytics specifically for operations and maintenance activities.
The software development services market is experiencing rapid growth in the aerospace and defense sector. This growth is attributed to several factors. Firstly, there is a rising complexity in aerospace and defense systems. These systems are becoming more intricate, necessitating software solutions to manage and oversee their operations. Secondly, real-time data processing is crucial in aerospace and defense systems. These systems must be capable of instantaneously processing large amounts of data to make critical decisions. Lastly, there is an increasing utilization of artificial intelligence (AI) and machine learning (ML) in aerospace and defense systems. AI and ML technologies automate tasks, enhance decision-making, and identify anomalies.
The demand for digitalization across the world is increasing as businesses demand innovation to transform their operations, adopt digital solutions, and leverage technology to stay competitive in today’s rapidly evolving world.
Rootstock Software announced the results of their sponsored study in May 2023. The study showed that even with inflation and other economic concerns, 75.2% of manufacturers who participated in the survey plan to increase their spending on software in the next 12 months. Additionally, 37.8% of those manufacturers plan on doubling their current spending.
(Source:www.rootstock.com/manufacturing-technology-survey/)
According to the European Commission (EC), by 2030, the world will experience a significant global shift due to industrial and technological advancements.
(Source:https://www.mdpi.com/1999-4893/16/4/211)
In 2017, the Organization for Economic Cooperation and Development (OECD) initiated a new worldwide project titled "Going Digital: Making the Transformation Work for Growth and Well-being." The project's aim is to assist policymakers in comprehending the digital revolution and developing a policy structure that fosters economic and social advancement in a world that is increasingly reliant on data and digital technologies.
(Source:one.oecd.org/document/DSTI/CDEP/GD(2017)2/en/pdf)
Many organizations and businesses have integrated advanced technologies such as Big Data analytics, IoT, cloud computing, and social media to improve their daily operations. As a result, demand for software development services is increasing which led to drive the growth of the software development services market.
The rising number of startups and growing tech industry boosting the software development services market growth
Startups are increasing across various sectors and they are known for their disruptive ideas and agile operations, which drives them to seek specialized software solutions in order to develop and deliver innovative goods or services. As a result, demand for software development services has increased significantly, leading to market growth.
According to the U.S. Bureau of Labor Statistics, entrepreneurs started 843,320 new businesses in the year ending March 2021.
(Source:www.bls.gov/bdm/us_age_naics_00_table5.txt)
According to data compiled by Fintrackr, in total, 1,327 startups raised $25.2 billion in 1,556 transactions.
(Source:entrackr.com/2023/01/indian-startups-raised-over-25-bn-in-2022-entrackr-report/)
A total of 5.4 million new business applications were filed in 2021 according to the Business Formation Statistics data from the U.S. Census Bureau.
(Source:www.census.gov/econ/bfs/pdf/bfs_current.pdf)
This increasing number of startups across the world is creating a demand for software development services which further drives the market growth.
The software development industry faces a major challenge: a shortage of skilled software developers. While the demand for these professionals is increasing rapidly, the supply is struggling to keep pace. This problem can be attributed to many factors, including increasing software complexity, introducing new technologies such as artificial intelligence and machine learning, an aging workforce, and many other races in business. As software becomes more intricate, specialized skills are required to handle its complexity. This is causing a demand for developers with unique expertise.
The software development service market experienced a substantial effect from the COVID-19 pandemic. The transition to remote work resulted in a higher need for software development services, as companies had to rapidly adjust their IT infrastructure to accommodate remote employees. The growing adoption of cloud computing & digital transformation efforts amplified this demand. In summary, the COVID-19 pandemic has notably influenced the software development service market, leading to considerable growth and presenting various opportunities for software development companies. Nevertheless, these companies must be mindful of the challenges ahead.
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The market for Software Development Services is characterized by fierce competition and diversity, as it consists of numerous providers offering these services. This includes both major international corporations and smaller, specialized organizations. Given the impact of globalization and technological advancements, businesses are facing intense rivalry to provide cutting-edge solutions and top-notch services in translation, interpretation, and software development.
February 2023: Google I/O, introduced Vertex AI, a managed platform for machine learning. This platform enables businesses to speed up the deployment and maintenance of artificial intelligence models. Vertex AI significantly reduces the code needed to train a model by approximately 80% compared to other platforms. Data scientists and machine learning engineers of all skill levels can implement Machine Learning Operations (MLOps) to efficiently create and manage machine learning projects throughout development.
August 2022: IBM Cloud Pak for Data allows businesses to build a solid groundwork for efficient data management, promote a data-focused organization, and stimulate AI advancements. Clients have successfully utilized Cloud Pak for Data to establish a framework offering data integration, governance, and observability features. Our highly acclaimed data fabric capabilities also play a crucial role in providing reliable data, essential for effective AI workflows.
Top Companies Market Share in Software Development Services Industry: (In no particular order of Rank)
If any Company(ies) of your interest has/have not been disclosed in the above list then please let us know the same so that we will check the data availability in our database and provide you the confirmation or include it in the final deliverables.
According to Cognitive Market Research, North America dominated the market in 2022. The economy in North America is robust and secure, creating an advantageous atmosphere for companies looking to invest in software development. Being in close proximity to major markets like Europe and Asia, North America is a convenient choice for businesses seeking to develop software for global markets. Additionally, North America boasts a sizable and prosperous market with a strong demand for software development services.
According to Cognitive Market Research, due to its significant economic size and vast global corporate presence, the United States is anticipated to hold a strong position in the North American area.The economy of the United States is robust and dependable, creating an advantageous atmosphere for companies to invest in software development. The United States possesses a substantial number of proficient software developers, making it an economically efficient choice for outsourcing software development.
The region's strong economy and significant presence of multinational firms create a considerable demand for software development services, which promotes global trade and business growth. Additionally,The Asia Pacific region is currently undergoing a swift expansion in its economy, resulting in fresh prospects for businesses to invest in software development. The middle class in this region is experiencing notable growth, leading to an increased demand for novel software applications and services.
The current report Scope analyzes Software Development Services Market on 5 major region Split (In case you wish to acquire a specific region edition (more granular data) or any country Edition data then please write us on info@cognitivemarketresearch.com
The above graph is for illustrative purposes only.
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Global Software Development Services Market Report 2025 Edition talks about crucial market insights with the help of segments and sub-segments analysis. In this section, we reveal an in-depth analysis of the key factors influencing Software Development Services Industry growth. Software Development Services market has been segmented with the help of its Solution Type, Application Deployment, and others. Software Development Services market analysis helps to understand key industry segments, and their global, regional, and country-level insights. Furthermore, this analysis also provides information pertaining to segments that are going to be most lucrative in the near future and their expected growth rate and future market opportunities. The report also provides detailed insights into factors responsible for the positive or negative growth of each industry segment.
According to Cognitive Market Research, desktop-based solutions refer to software applications designed to operate on personal computers. This particular segment holds the largest market share within the software development services market. The primary category within this segment is enterprise software, encompassing applications tailored for business purposes such as customer relationship management (CRM), enterprise resource planning (ERP), and supply chain management (SCM).
Mobile based solutionsis the second-most used product.Mobile-based solutions are software applications created for mobile devices like smartphones and tablets. This sector is experiencing rapid growth within the market for software development services. The gaming category is the most extensive in this sector, encompassing software applications designed for mobile games.
The above Chart is for representative purposes and does not depict actual sale statistics. Access/Request the quantitative data to understand the trends and dominating segment of Software Development Services Industry. Request a Free Sample PDF!
According to Cognitive Market Research, Commercial software development services are used to develop business software applications. This segment is the largest in the software development services market, accounting for most of the market share. The largest category in this field is software development, which includes business software such as enterprise resource planning (ERP), customer relationship management (CRM), and supply chain management (SCM).
The Software Development Service for Residentialsecond in usage.Residential software development services are used to develop software applications for homes and households. This segment is the fastest growing segment in the software development industry. The largest category in this segment is home automation software, which includes software applications that allow users to control their homes remotely.
The above Graph is for representation purposes only. This chart does not depict actual Market share.
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The largest segment in the market is cloud-based services, which holds most of the market share. This is because of growing adoption of cloud computing by businesses of all sizes. Cloud-based services offer several advantages compared to on-premise services. They can easily be scaled up or down to accommodate fluctuating demand, resulting in cost savings for businesses.
According to Cognitive Market Research, on-premise services is the second-most popular segment.Field services are the fastest growing segment as companies adopt hybrid cloud architectures. The hybrid cloud architecture combines the advantages of cloud services with the control and security of on-premises services. The growth of cloud computing: Cloud computing is becoming more popular as businesses of all sizes realize the benefits of technology. This is driving the growth of the cloud-based services segment in the software development services industry.
According to Cognitive Market Research, Small & Medium Enterprises (SME),SMEs are businesses with fewer than 250 employees. This segment is the largest in the software development services market, accounting for most of the market share. The largest category in this segment is custom software development, which includes software applications developed specifically for a particular SME's needs.
The Software Development Service for large enterprisessecond in usage.Large enterprises are businesses with more than 250 employees. This segment is the fastest growing segment in the software development services market. The largest category in this segment is enterprise software development, which includes software applications that are developed for large businesses.
Research associate at Cognitive Market Research
Swasti Dharmadhikari, an agile and achievement-focused market researcher with an innate ardor for deciphering the intricacies of the Service & Software sector. Backed by a profound insight into technology trends and consumer dynamics, she has committed herself to meticulously navigating the ever-evolving terrain of digital Services and software solutions.
Swasti an agile and achievement-focused market researcher with an innate ardor for deciphering the intricacies of the Service & Software sector. Backed by a profound insight into technology trends and consumer dynamics, she has committed herself to meticulously navigating the ever-evolving terrain of digital Services and software solutions.
In her current role, Swasti manages research for service and software category, leading initiatives to uncover market opportunities and enhance competitive positioning. Her strong analytical skills and ability to provide clear, impactful findings have been crucial to her team’s success. With an expertise in market research analysis, She is adept at dissecting complex problems, extracting meaningful insights, and translating them into actionable recommendations, Swasti remains an invaluable asset in the dynamic landscape of market research.
Our study will explain complete manufacturing process along with major raw materials required to manufacture end-product. This report helps to make effective decisions determining product position and will assist you to understand opportunities and threats around the globe.
The Global Software Development Services Market is witnessing significant growth in the near future.
In 2023, the Desktop Based Solutions segment accounted for noticeable share of global Software Development Services Market and is projected to experience significant growth in the near future.
The Commercial segment is expected to expand at the significant CAGR retaining position throughout the forecast period.
Some of the key companies Autodesk Inc. , LinkedIn and others are focusing on its strategy building model to strengthen its product portfolio and expand its business in the global market.
Please note, we have not disclose, all the sources consulted/referred during a market study due to confidentiality and paid service concern. However, rest assured that upon purchasing the service or paid report version, we will release the comprehensive list of sources along with the complete report and we also provide the data support where you can intract with the team of analysts who worked on the report.
Disclaimer:
Solution Type | Desktop Based Solutions, Mobile Based Solutions |
Application | Commercial, Residential, Manufacturing, Industrial Facilities, Others |
Deployment | Cloud Based Services, On-Premise Services |
End Use | Small & Medium Enterprises (SME), Large Enterprises |
List of Competitors | Autodesk Inc., Bentley Systems Inc., LinkedIn, IBM, Dassault Systems S.A, Oracle, Siemens PLM Software, Inc., SAP SE, Ansys, Inc., Carlson Software Inc., Geometric Ltd., CEPTES, Concur Technologies, Workday, NetSuite, Medidata Solutions, ServiceNow, Microsoft, Google, Zuora |
This chapter will help you gain GLOBAL Market Analysis of Software Development Services. Further deep in this chapter, you will be able to review Global Software Development Services Market Split by various segments and Geographical Split.
Chapter 1 Global Market Analysis
Global Market has been segmented on the basis 5 major regions such as North America, Europe, Asia-Pacific, Middle East & Africa, and Latin America.
You can purchase only the Executive Summary of Global Market (2019 vs 2024 vs 2031)
Global Market Dynamics, Trends, Drivers, Restraints, Opportunities, Only Pointers will be deliverable
This chapter will help you gain North America Market Analysis of Software Development Services. Further deep in this chapter, you will be able to review North America Software Development Services Market Split by various segments and Country Split.
Chapter 2 North America Market Analysis
This chapter will help you gain Europe Market Analysis of Software Development Services. Further deep in this chapter, you will be able to review Europe Software Development Services Market Split by various segments and Country Split.
Chapter 3 Europe Market Analysis
This chapter will help you gain Asia Pacific Market Analysis of Software Development Services. Further deep in this chapter, you will be able to review Asia Pacific Software Development Services Market Split by various segments and Country Split.
Chapter 4 Asia Pacific Market Analysis
This chapter will help you gain South America Market Analysis of Software Development Services. Further deep in this chapter, you will be able to review South America Software Development Services Market Split by various segments and Country Split.
Chapter 5 South America Market Analysis
This chapter will help you gain Middle East and Africa Market Analysis of Software Development Services. Further deep in this chapter, you will be able to review Middle East and Africa Software Development Services Market Split by various segments and Country Split.
Chapter 6 Middle East and Africa Market Analysis
Only Available with Corporate User License
Chapter 7 Top 10 Countries Analysis (Only Available with Corporate User License)
This chapter provides an in-depth analysis of the market share among key competitors of Software Development Services. The analysis highlights each competitor's position in the market, growth trends, and financial performance, offering insights into competitive dynamics, and emerging players.
Chapter 8 Competitor Analysis (Subject to Data Availability (Private Players))
(Subject to Data Availability (Private Players))
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
Data Subject to Availability as we consider Top competitors and their market share will be delivered.
This chapter would comprehensively cover market drivers, trends, restraints, opportunities, and various in-depth analyses like industrial chain, PESTEL, Porter’s Five Forces, and ESG, among others. It would also include product life cycle, technological advancements, and patent insights.
Chapter 9 Qualitative Analysis (Subject to Data Availability)
Segmentation Solution Type Analysis 2019 -2031, will provide market size split by Solution Type. This Information is provided at Global Level, Regional Level and Top Countries Level The report with the segmentation perspective mentioned under this chapters will be delivered to you On Demand. So please let us know if you would like to receive this additional data as well. No additional cost will be applicable for the same.
Chapter 10 Market Split by Solution Type Analysis 2021 - 2033
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Chapter 11 Market Split by Application Analysis 2021 - 2033
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Chapter 12 Market Split by Deployment Analysis 2021 - 2033
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Chapter 13 Market Split by End Use Analysis 2021 - 2033
This chapter helps you understand the Key Takeaways and Analyst Point of View of the global Software Development Services market
Chapter 14 Research Findings
Here the analyst will summarize the content of entire report and will share his view point on the current industry scenario and how the market is expected to perform in the near future. The points shared by the analyst are based on his/her detailed in-depth understanding of the market during the course of this report study. You will be provided exclusive rights to interact with the concerned analyst for unlimited time pre purchase as well as post purchase of the report.
Why Desktop Based Solutions have a significant impact on Software Development Services market? |
What are the key factors affecting the Desktop Based Solutions and Mobile Based Solutions of Software Development Services Market? |
What is the CAGR/Growth Rate of Commercial during the forecast period? |
By type, which segment accounted for largest share of the global Software Development Services Market? |
Which region is expected to dominate the global Software Development Services Market within the forecast period? |
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Service Level Customization |
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