Dublin, Nov. 13, 2024 (GLOBE NEWSWIRE) -- The "Application Modernization Services Market by Service Type (Cloud Application Migration, Application Re-Platforming, Post Modernization), Application Type (Legacy, Cloud-Hosted, Cloud-Native) - Global Forecast to 2029" report has been added to ResearchAndMarkets.com's offering.
The Application modernization services market was estimated to be USD 19.82 billion in 2024 to USD 39.62 billion by 2029 at a Compound Annual Growth Rate (CAGR) of 14.8%
The market study covers the application modernization services market size across different segments. It aims at estimating the market size and the growth potential across different segments, including service types, application types, verticals, and region. The service type includes application portfolio assessment, cloud application migration, application re-platforming, application integration, UI/UX modernization, and post modernization. Further, the application types include legacy applications, cloud-hosted applications, and cloud-native applications.
The major players in the Application modernization services market have adopted various growth strategies, such as partnerships, agreements and collaborations, new product launches, enhancements, and acquisitions to expand their Application modernization services market footprint.
There are a few factors owing to which the application modernization services market is experiencing growth. As it is the era of very fast and advanced technological changes, a business cannot afford to take its eyes off the need to renew its old applications in order to stay in business and realize its efficiency.
Often when the business has grown sufficiently in scope, coverage and even network, the legacy systems in place can hardly meet current business demands because they are constrained by scale, flexibility and even integration with new age technologies. The increased use of cloud technology is another key driver, with many organizations aiming to utilize cloud providers due to the size and low costs of operations offered by them. As a result of this digital evolution, companies have been forced to undergo the application transformation since it is important that such applications work well with advanced technologies like Artificial Intelligence, machine language and internet of things.
Moreover, with the increasing focus on securing data and compliance, organizations are also actively migrating their deployments to newer versions of applications developed to meet the changing needs of regulations aimed at addressing cybersecurity issues. Additionally, better performance of applications and improving user experience with such applications are another reason for enhanced modernization trends since every business strives to improve how its customers interact with the business digitally.
The need to reduce operating costs at the same time increasing agility and speed to market is also a major factor as after application modernization, new features and services can be rolled out at a shorter period. Overall, these are the reasons for the high demand for services concerning application modernization as organizations want to redesign their technological frameworks in response to their strategic objectives and operational effectiveness.
The Healthcare & Life Sciences vertical is expected to have second largest market size during the forecast period.
The healthcare and life sciences vertical is expected to hold the second highest market share in the application modernization services market next to telecom through the forecast period as it enhances the demand for advanced digital solutions. Therefore, the healthcare sector is witnessing a great transformation from the ever-growing adoption of electronic health records, telemedicine, and AI-driven diagnostics. It requires more efficient systems of IT that improve operational efficiency and facilitate better patient care while being in step regarding compliance with standards for the regulatory requirements. Demand for cloud solutions that ensure security and scalability along with the integration of new technologies with the existing systems further promotes growth in this space.
The cloud-native applications segment will witness the highest growth during the forecast period.
In the application modernization services, owing to their vast potential for growth in aspects such as scalability, flexibility, and efficiency over and above the others, cloud-native applications are projected to have a greater increase within the forecasted period. On the other hand, while legacy applications offer services in a nutshell as one piece and more often rely on underlying physical structures, such as servers and data centers, cloud-native applications are cloud-centric and are constructed using enhanced structural designs such as that of microservices, containerized booting and scheduling management systems.
This allows players in the industry to be able to change according to the changes in the business environment, increase the resources when need arises and minimize unnecessary operational costs. Besides, the increased use of cloud-based solutions and the maturing of cloud technologies help push the need for cloud-native applications because such solutions have outweighed the market challenges to deliver faster, better results, and optimized user experience.
The most important technological trend has also been the continuous and sustained drive towards digitizing businesses' processes for improved efficiency, which therefore means the development of able and responsive system solutions to the modern need for cloud based solutions will make transition to the more use of cloud-native applications more faster hence this explains the expected higher growth rate of such applications in the application modernization services market.
Asia Pacific's highest growth rate during the forecast period.
The application modernization services market in the forecast period is anticipated to grow at a higher pace in the Asia-Pacific region owing to a number of underlying reasons. One of the reasons is the digital transformation of the region, which has been facilitated by the growing use of cloud computing and other emerging technologies as well as the quest for efficiency by business operations.
There is an increase in IT spending and digital activities in countries like China and India, which creates a need for such services to modernize the aging management systems and incorporate new technologies. The growth of the sector is also enhanced by the efforts of global technology providers and the influx of local enterprises which are enhancing competition. The increasing affluence of the population as well as the trend towards a population that is more technologically inclined is another major factor that is increasing the need for sophisticated and high-capacity application modernization services within the region.
The report provides insights on the following pointers:
- Analysis of key drivers (rising digital transformation initiatives, demand for flexibility and scalability through cloud computing, rapid technological advancements), restraints (high costs and complexity, legacy system dependencies), opportunities (emerging markets and SMEs, evolution of open standards for software development), and challenges (vendor lock-in and platform dependencies, managing technical debt) influencing the growth of the application modernization services market.
- Product Development/Innovation: Detailed insights on upcoming technologies, research & development activities, and new product & service launches in the application modernization services market.
- Market Development: Comprehensive information about lucrative markets - the report analyses the application modernization services market across various regions.
- Market Diversification: Exhaustive information about new products & services, untapped geographies, recent developments, and investments in the application modernization services market.
- Competitive Assessment: In-depth assessment of market shares, growth strategies and service offerings of leading players
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 301 |
| Forecast Period | 2024 - 2029 |
| Estimated Market Value (USD) in 2024 | $19.82 Billion |
| Forecasted Market Value (USD) by 2029 | $39.62 Billion |
| Compound Annual Growth Rate | 14.8% |
| Regions Covered | Global |
Companies Featured
- IBM
- Hcl Technologies
- Atos
- Capgemini
- Accenture
- Microsoft
- Oracle
- Cognizant
- Tcs
- Innova Solutions
- Epam Systems
- Aspire Systems
- Ntt Data
- Dell Technologies
- Dxc Technology
- Ltimindtree
- Infosys
- Wipro
- Rocket Software, Inc.
- Fujitsu
- Hexaware Technologies
- Virtusa
- Mongodb
- Softura
- Cloudhedge Technologies Pvt. Ltd.
- D3V Technology
- Bayshore Intelligence Solutions
- Opinov8
- Icreon
- Symphony Solutions
- Cleveroad
- Techahead
- Geomotiv
- Soft Suave
For more information about this report visit https://www.researchandmarkets.com/r/pw3ot3
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