The global application management services market size was valued at $17,120 million in 2020, and is projected to reach $94,786 million by 2030, registering a CAGR of 19.1% from 2021 to 2030
An application management service is a type of framework that outsources management by way of a customized, well-defined set of policies, processes, procedures, templates, and standards. Application management services are provided by a number of different organizations to companies that need such services. Organizations that agree to provide this service typically have an expertise in the IT sector or in similar applications for companies in the same line of business.
Application testing has a smaller revenue share, however, is equally if not more important than application modernization to ensure that any and every bug is nipped in the bud. Companies involved in application testing are expected to do well to target North America and Europe as both regions are the largest in the application testing management segment by a considerable margin.
In 2020, the global application management services market share was dominated by the application portfolio assessment segment, and is expected to maintain its dominance in the upcoming years. Increasing adoption of advanced software functionalities in business applications to increase business efficiency is expected to drive growth of the market. Companies are investing in advanced technologies to maintain their technological growth with changing customer demands.
Within the market, the application security segment is estimated to emerge as the fastest growing segment, Mobile and cloud-based computing technology have drastically changed the business scenario. Currently, most of companies use software applications to carry out their business process. For instance, Amazon highly depends on online websites and mobile applications to sell a wide range of products to consumers.
Strong in-app consumer spending, high smartphone penetration, and a relatively greater number of mobile application downloads have collectively ensured a high market share. U.S. is expected to emerge as a lucrative market for mobile games application, in terms of in-app payment, paid mobile games, and rapidly increasing user base of mobile apps in the country.
The report focuses on growth prospects, restraints, and application management services market analysis. The study provides Porter’s five forces analysis of the application management services industry to understand impact of various factors such as bargaining power of suppliers, competitive intensity of competitors, threat of new entrants, threat of substitutes, and bargaining power of buyers on the Application Management Services market trends.
Application Management Services Market By Services Your browser does not support the canvas element.Application Security segment is projected as one of the most lucrative segments.
The global application management services industry is segmented on the basis of services, organization size, end use, and region. Based on services, the market is segmented into application portfolio assessment, application security, web application security, mobile application security, application modernization, cloud application migration, and others. On the basis of organization size, it is segmented into SME’s and large enterprises. By end use, it is segmented into BFSI, telecom & IT, government, retail & ecommerce, healthcare & Lifescience, manufacturing, and others. Region wise, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
Application Management Services Market By Region Asia-pacific North AmericaAPAC is projected as one of the most significant region.
Growing drive for next generation tech integration in modern business application and easing load of modern business operations are the major factors that is driving the market growth. However data privacy concerns and plastic nature of application management services is restraining the market growth. Further evolving consumer trends and Aftereffects of the COVID-19 pandemic and rise in demand to ease the operation complexity of employees working remotely is estimated to create a lucrative opportunity for the market.
Modern business sector has seen some dramatic transitions in the last few decades, right from the way services are delivered to customers by physical services transforming into digital mediums The adoption of cloud technology, and the penetration of mobile phones and personal computers has led to an increased adoption of social media platforms that were hard to imagine just a few decades ago.
These trends are compelling modern business organizations to stay up to date with newer technologies and innovations to keep on par with other players in the industry and their service offerings. Application management services assist such businesses in easily adopting these new-age digital transformations and help them expand their application(s) portfolio, thus the application management services market has witnessed a significant growth in recent years, which is expected to continue during the forecast period
Modern business operation models are getting more complicated every day, with more variables to analyze, more data to handle, and more demands to meet. Application management services solutions reduce the burden on business enterprises and allow them to focus more on development and business end of an organization's activities rather than committing their critical and expensive IT resources. Application management services can assist development teams to enhance their capabilities while removing the need to engage extra qualified personnel for specific operations.
According to a survey published by Fujitsu, more than 42% of respondents who had room for digitalization in their business operations dealt with the global COVID-19 outbreak more efficiently. This serves well for the global application management services market, as more and more enterprises seek to use emerging capabilities and application management services that deliver services with low burden and expense.
Post the global COVID-19 pandemic, the application management services market is predicted to grow. This is attributed to rapid spread of the coronavirus around the world, which compelled many business organizations to transition to remote working and work from home modes during the COVID-19 lockdowns. As a result, organizations have turned to application management services and applications to assist them in managing their software and cloud applications remotely. Moreover, with the increasing importance of application management services and solutions helping in the digitization process of many small and medium level enterprises, causing the application management services market to propel during the times of the pandemic.
