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Independent software vendors (ISVs) provide customized applications and software packages for different end-use industries. They develop and sell software solutions to help companies streamline operations and optimize business processes. ISV products provide operational advantages like increased productivity, reduced costs, improved customer experiences etc.
The global Independent Software Vendors (ISVs) Market is estimated to be valued at US$ 302.25 Bn or billion in 2023 and is expected to exhibit a CAGR of 13% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends in the ISV market is the shift toward cloud-based software and services. Many established ISVs are transitioning their existing on-premise software to cloud-based Software-as-a-Service (SaaS) solutions. This allows customers to access the application remotely through the internet instead of installing and running the software locally on devices. The cloud model provides benefits like reduced costs of ownership, easy scalability, enhanced collaboration and mobility for users. This transition is expected to drive growth in cloud-based ISV revenues over the forecast period.
SWOT Analysis
Strength: The ISVs have expertise in specialized sectors like cloud services, customer relationship management, and supply chain management etc. Their products are designed to meet specific customer needs.
Weakness: ISVs have to depend on other tech giants’ platforms for distribution and resources. This lack of control over platforms can impact their business.
Opportunity: Growing adoption of cloud technologies and newer trends like blockchain, AI/ML provide opportunities for ISVs to offer innovative solutions. Increasing spend on digital transformation also favors ISVs.
Threats: Large software giants are entering niche markets through acquisitions threatening smaller ISVs. Shifting customer preferences towards cloud platforms pose currency risks for some ISVs.
Key players operating in the Independent Software Vendors (ISVs) market are Microsoft Corporation, Oracle Corporation, SAP SE, Salesforce.com Inc., Adobe Inc., IBM Corporation, Autodesk Inc., Intuit Inc., VMware Inc., Red Hat Inc. (part of IBM), ServiceNow Inc., Symantec Corporation (part of Broadcom Inc.), Splunk Inc., Tableau Software (part of Salesforce.com Inc.), Atlassian Corporation Plc. These players are focusing on strategic partnerships and acquisitions to expand their portfolio and customer base.
Regional analysis: North America dominated the global ISV market in 2022 with a share of over 35%, due to high technology adoption across sectors in the US and Canada. Asia Pacific is expected to be the fastest growing region, expanding at a CAGR of around 16% during 2023 – 2030, led by countries like China and India increasingly investing in emerging technologies.
Key Takeaways
The global Independent Software Vendors (ISVs) market is expected to witness high growth, exhibiting CAGR of 13% over the forecast period, due to increasing spend on digital transformations across industries. Growing adoption of cloud technologies is further driving the need for specialized cloud-based solutions by ISVs.
*Note:
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it
