The US Software Market Research Report: Forecast (2024-2030)
US Software Market- By Type (Application Software, System Infrastructure Software, Development & Deployment Software, Productivity Software), By Deployment (Cloud, On-Premises), By...Enterprise Size (Small & Medium Enterprises, Large Enterprises), By End User (IT & Telecom, BFSI, Retail, Government/ Public Sector, Others) and others Read more
- ICT & Electronics
- Feb 2024
- 120
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Market Definition
A collection of programs, data, and instructions that let computers and other digital devices carry out particular jobs or operations is referred to as software. It includes every application, program, and operating system that is used by computers, tablets, smartphones, and other electronic devices. System software and application software are the two primary categories into which software may be roughly divided.
Market Insights & Analysis: The US Software Market (2024-30)
The US Software Market size is estimated to grow at a CAGR of around 7.17% during the forecast period, i.e., 2024-30. Undoubtedly, one of the main factors driving the US software industry is the growing digital transformation. Businesses significantly rely on software solutions to streamline operations, improve customer experiences, obtain data-driven insights, and safeguard their systems as they work to adapt to and compete in the dynamic digital landscape. Demand for software drives growth in several software categories, such as artificial intelligence (AI), cloud computing, cybersecurity, CRM, and enterprise resource planning (ERP). Although several factors influence the industry, the US Software Market's trajectory is being shaped by the strong and enduring force of digital transformation.
Report Coverage | Details |
---|---|
Study Period | Historical Data: 2019-22 |
Base Year: 2023 | |
Forecast Period: 2024-30 | |
CAGR (2024-2030) | 7.17% |
Region Covered | North-East, Mid-West, West, South |
Key Companies Profiled |
Microsoft Corporation, Alphabet Inc., Oracle Corporation, McAfee Corporation, Nortonlifelock Inc., Adobe Inc., Vmware Inc., Cisco Systems. Inc., Splunk, Inc., NVIDIA Corporation, and others |
Unit Denominations | USD Million/Billion |
Moreover, as hackers continue to develop increasingly complex plans and techniques to break into networks, steal data, and disrupt operations, there is a growing need for state-of-the-art cybersecurity solutions that might successfully lower these risks. The rising awareness of cybersecurity threats has caused organizations across all industries to prioritize investments in cybersecurity technology, creating a significant market opportunity for cybersecurity-focused software suppliers. These businesses may benefit from the rising need for advanced threat detection, prevention, and response capabilities by developing cutting-edge cybersecurity solutions that address evolving cyber threats.
Although there are many opportunities for innovation and expansion in the software industry, software companies also face several obstacles that they must overcome to be successful. A significant problem facing the US Software Market is the shortage of skilled workers, which has an impact on companies' ability to develop, innovate, and maintain software products and services. The fast growth of the technology sector and the increasing need for software solutions across industries have resulted in a growing gap between the supply and demand of trained software specialists. This scarcity is exacerbated by the rapid pace of technological advancement, which calls for continual education and skill development, as well as by rivalry from other organizations seeking to hire top personnel.
Software companies can achieve long-term success in the competitive and dynamic US software industry by focusing on quality, security, and customer satisfaction, investing in research and development, and strategically planning to handle these problems. Therefore, with the help of collaborative efforts from stakeholders, the US Software Market is anticipated to reach a remarkable size & volume in the coming years.
The US Software Market Driver:
Increasing Digital Transformation – Redefining company landscapes, altering industries, and driving the vast growth of the US Software Market are all being facilitated by digital transformation. Digital transformation, at its heart, is a comprehensive rethinking of business operations, processes, and models through the ubiquitous integration of digital technology, transforming the way businesses operate, engage with their clients, and generate value. This shift in thinking toward digitization has been crucial in the US software industry, driving previously unheard-of levels of innovation, efficiency, and competitiveness across a wide range of industries.
The adoption and exploitation of cutting-edge software solutions is one of the core tenets of the digital transformation. Software applications are being used by businesses in all industries more and more to improve efficiency, streamline processes, and open up new growth opportunities. Software for supply chain management (SCM), customer relationship management (CRM) platforms, enterprise resource planning (ERP) systems, and business intelligence (BI) tools are just a few examples of the many software solutions that enable businesses to streamline operations, obtain useful insights, and promote strategic decision-making.
Thus, supported by the transformative forces of digital transformation, the US Software Market is positioned for continuous growth & expansion as the pace of technological innovation accelerates and the boundaries of possibility continue to expand.
The US Software Market Opportunity:
Increasing Frequency & Sophistication of Cyber Threats to Create New Opportunities – There is an increasing need for cutting-edge cybersecurity solutions that may successfully reduce these risks as hackers continue to create more sophisticated strategies and methods to breach networks, steal data, and interfere with operations. Organizations in all industries have prioritized investments in cybersecurity technology as a result of the increased awareness of cybersecurity dangers, which has created a sizable market opportunity for cybersecurity-focused software suppliers. By creating cutting-edge cybersecurity solutions that meet changing cyber threats, these companies may profit from the growing need for sophisticated threat detection, prevention, and response capabilities.
Additionally, cybercriminals now have a larger attack surface due to the growing digitization of sectors like healthcare, finance, and manufacturing, which exposes sensitive data and vital infrastructure to online threats. Software vendors can profit from this trend by creating cybersecurity solutions tailored to particular industries that take into account the particular security issues and regulatory needs of various markets. For instance, cybersecurity solutions are needed by healthcare organizations to defend medical devices and electronic health records (EHRs) against cyberattacks and by financial institutions to secure online banking transactions and quickly identify fraudulent activity. Therefore, the increasing frequency & sophistication of cyber threats are presenting notable opportunities for market players to capture a significant market share during the forecast period.
The US Software Market Challenge:
Shortage of Skilled Workers to Impede Market Growth – The US Software Market has a major issue in the form of a shortage of skilled workers, which affects businesses' capacity to innovate, create, and maintain software products and services. There is a growing disparity between the supply and demand of skilled software experts due to the technology sector's rapid growth and the rising need for software solutions across industries. The quick speed of technological advancement, which necessitates ongoing education and skill development, as well as competition from other businesses vying for top talent, all contribute to this scarcity.
Software firms need to make investments in education, training, and talent development initiatives to produce and attract qualified individuals. This could entail working with academic institutions, giving apprenticeships and internships, continuing professional development opportunities, and encouraging learning and teamwork within the company. Software firms can maintain their competitiveness and capacity to satisfy the rising demand for software solutions in the US market by tackling the skilled labor shortage.
The US Software Market Trend:
Edge Computing Gaining Momentum – Due to the growing demand for real-time data processing, lower latency, and increased bandwidth efficiency, edge computing has become a prominent trend in the US Software Market. There is an increasing need for software solutions that can conduct data analysis and decision-making closer to the data source due to the spread of the Internet of Things (IoT) devices and the explosion of data generated at the edge of the network. This is made possible by edge computing, which decentralizes data processing and shifts computational duties to devices, sensors, and edge servers that are located closer to the data generation locations. Software firms are creating edge-native platforms and apps that take advantage of edge computing infrastructure to maximize bandwidth usage, give real-time insights, and enhance reaction times.
Additionally, by processing sensitive data locally and minimizing the need for data transmission over the network, edge computing helps enterprises address privacy and security concerns. Edge computing is therefore positioned to revolutionize several industries and spur software development innovation, allowing businesses to fully utilize edge devices and provide improved user experiences and operational efficiencies. Thus, the increasing popularity of edge computing is anticipated to boost the growth of the software industry during the forecast period.
The US Software Market (2024-30): Segmentation Analysis
The US Software Market study of MarkNtel Advisors evaluates & highlights the major trends and influencing factors in each segment. It also includes predictions for the period 2024–2030 at the national level. According to the analysis, the market has been further classified as:
Based on Deployment:
- Could
- On-Premises
In the US Software Market, "On-Premises" segment holds a major market share, especially in sectors like the government/public sector, healthcare, and some BFSI (banking, financial services, and insurance) businesses that have strict regulations requiring compliance with data security. When software applications are installed and run on servers and other infrastructure housed on the company's property instead of using cloud-based or off-site hosting, this is referred to as on-premises software deployment. By giving enterprises more control over their data and applications, this deployment strategy enables them to tailor their IT systems to their unique requirements and security guidelines. Furthermore, data sovereignty regulations in sectors like government and healthcare frequently require that sensitive data be processed and stored on the organization's premises.
Although cloud-based deployment options, such as Software as a Service (SaaS), have been more and more popular in recent years because of their scalability, affordability, and flexibility, on-premises deployment is still common in several areas where compliance, control, and security of data are critical.
Based on End User:
- IT & Telecom
- BFSI
- Retail
- Government/ Public Sector
- Others (Healthcare, Energy & Utilities, etc.)
In the US software industry, one of the top segments historically has been the Banking, Financial Services and Insurance (BFSI) sector. For a variety of tasks, such as customer relationship management (CRM), risk management, fraud detection, electronic trading, and regulatory compliance, the BFSI sector significantly depends on software solutions. The BFSI sector is experiencing a growing need for creative software solutions due to the increasing digitization of financial services. This trend is being driven by various factors, including the emergence of fintech companies, the expanding use of mobile banking, and the growing acceptance of digital payments.
The BFSI industry is also subject to strict regulations on data security, privacy, and compliance, which encourages the use of software solutions that meet these standards. While the US software industry is greatly influenced by several other industries, including IT & Telecom, Retail, and Government/Public Sector, the BFSI segment stands out for its steady investment in software technology to improve customer experience, increase efficiency, and control risk.
Gain a Competitive Edge with Our The US Software Market Report
- The US Software Market Report by MarkNtel Advisors provides a detailed & thorough analysis of market size & share, growth rate, competitive landscape, and key players. This comprehensive analysis helps business organizations gain a holistic understanding of market dynamics & make informed decisions.
- This report also highlights current market trends & future projections, allowing business organizations to identify emerging opportunities & potential challenges. By understanding market forecasts, companies can align their strategies & stay ahead of the competition.
- The US Software Market Report aids in assessing & mitigating risks associated with entering or operating in the market. By understanding market dynamics, regulatory frameworks, and potential challenges, business organizations can develop strategies to minimize risks & optimize their operations.
Frequently Asked Questions
- Market Segmentation
- Introduction
- Market Definition
- Research Process
- Assumption
- Executive Summary
- The US Software Market Trends & Development
- The US Software Market Dynamics
- Growth Drivers
- Challenges
- The US Software Market Policies, Regulations, and Standards
- The US Software Market Hotspot and Opportunities
- The US Software Market Outlook, 2019-2030F
- Market Size & Analysis
- By Revenues (USD Million)
- Market Share & Analysis
- By Type
- Application Software- Market Size & Forecast 2019-2030F, USD Million
- Enterprise Resource Planning- Market Size & Forecast 2019-2030F, USD Million
- Customer Resource Planning- Market Size & Forecast 2019-2030F, USD Million
- Supply Chain Management (SCM)- Market Size & Forecast 2019-2030F, USD Million
- Enterprise Content Management (ECM) Software- Market Size & Forecast 2019-2030F, USD Million
- Others- (Education Software, Enterprise Collaboration Software, etc.)- Market Size & Forecast 2019-2030F, USD Million
- System Infrastructure Software
- Network Management Software- Market Size & Forecast 2019-2030F, USD Million
- Storage Software- Market Size & Forecast 2019-2030F, USD Million
- Security Software- Market Size & Forecast 2019-2030F, USD Million
- Development & Deployment Software
- Enterprise Data Management- Market Size & Forecast 2019-2030F, USD Million
- Business Analytics & Reporting Tools- Market Size & Forecast 2019-2030F, USD Million
- Application Services- Market Size & Forecast 2019-2030F, USD Million
- Data Quality Tools- Market Size & Forecast 2019-2030F, USD Million
- Productivity Software
- Office Software- Market Size & Forecast 2019-2030F, USD Million
- Creative Software- Market Size & Forecast 2019-2030F, USD Million
- Application Software- Market Size & Forecast 2019-2030F, USD Million
- By Deployment
- Cloud- Market Size & Forecast 2019-2030F, USD Million
- On-Premises- Market Size & Forecast 2019-2030F, USD Million
- By Enterprise Size
- Small & Medium Enterprises- Market Size & Forecast 2019-2030F, USD Million
- Large Enterprises- Market Size & Forecast 2019-2030F, USD Million
- By End User
- IT & Telecom- Market Size & Forecast 2019-2030F, USD Million
- BFSI- Market Size & Forecast 2019-2030F, USD Million
- Retail- Market Size & Forecast 2019-2030F, USD Million
- Government/ Public Sector- Market Size & Forecast 2019-2030F, USD Million
- Others (Healthcare, Energy & Utilities, etc.)- Market Size & Forecast 2019-2030F, USD Million
- By Region
- North-East
- Mid-West
- West
- South
- By Company
- Competition Characteristics
- Market Share & Analysis
- By Type
- Market Size & Analysis
- The US Application Software Market Outlook, 2019-2030F
- Market Size & Analysis
- By Revenues (USD Million)
- Market Share & Analysis
- By Deployment- Market Size & Forecast 2019-2030F, USD Million
- By End User- Market Size & Forecast 2019-2030F, USD Million
- Market Size & Analysis
- The US System Infrastructure Software Market Outlook, 2019-2030F
- Market Size & Analysis
- By Revenues (USD Million)
- Market Share & Analysis
- By Deployment- Market Size & Forecast 2019-2030F, USD Million
- By End User- Market Size & Forecast 2019-2030F, USD Million
- Market Size & Analysis
- The US Development & Deployment Software Market Outlook, 2019-2030F
- Market Size & Analysis
- By Revenues (USD Million)
- Market Share & Analysis
- By Deployment- Market Size & Forecast 2019-2030F, USD Million
- By End User- Market Size & Forecast 2019-2030F, USD Million
- Market Size & Analysis
- The US Productivity Software Market Outlook, 2019-2030F
- Market Size & Analysis
- By Revenues (USD Million)
- Market Share & Analysis
- By Deployment- Market Size & Forecast 2019-2030F, USD Million
- By End User- Market Size & Forecast 2019-2030F, USD Million
- Market Size & Analysis
- The US Software Market Key Strategic Imperatives for Success and Growth
- Competitive Outlook
- Company Profiles
- Microsoft Corporation
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- Alphabet Inc.
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- Oracle Corporation
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- McAfee Corporation
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- Nortonlifelock Inc.
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- Adobe Inc.
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- Vmware Inc.
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- Cisco Systems. Inc.
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- Splunk, Inc.
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- NVIDIA Corporation
- Business Description
- Product Portfolio
- Strategic Alliances or Partnerships
- Recent Developments
- Financial Details
- Others
- Others (International Business Machine Corporation (IBM), Intuit, Inc., etc.)
- Microsoft Corporation
- Company Profiles
- Disclaimer