May 21, 2024

The Global Global Independent Software Vendors (ISVs) Market Propelled by the demand for customisation and on-demand delivery model

Independent Software Vendors refers to third-party companies that develop and markets commercially licensed software that run on another vendor’s computing platform. These companies develop and supply independent software that are designed to run on specific operating systems or hardware platforms created by other companies. ISV software offers flexibility, customization and help businesses meet their unique requirements. They offer software on subscription or licensing basis using on-demand delivery model.

The global  Independent Software Vendors (ISVs) Market is estimated to be valued at US$ 302.25 Bn 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:

The demand for customization and adoption of on-demand delivery model is one of the important trends shaping the ISV market. With businesses requiring customized solutions, ISVs are focusing on developing flexible software that can be easily modified according to the specific needs of clients. They are offering specialized software on subscription basis using SaaS delivery model. This provides businesses flexibility to access software on an on-demand basis without significant upfront cost. The subscription-based on-demand model is gaining popularity as it allows scalability and help organizations pay only for what they use at any given time. This has significantly boosted adoption of ISV solutions among businesses of various sizes over the last few years.

Key players related content comprises
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. The market is relatively concentrated with top players accounting for majority share.
SWOT Analysis

Strength: ISVs have strong expertise in developing niche software solutions for specific industry segments and domains. They are able to develop customized solutions as per customer requirements.

Weakness: ISVs have limited resources for research & development compared to large tech companies. They also face stiff competition from in-house development teams of large organizations.

Opportunity: Growing demand for cloud-based solutions and software as a service offers significant growth opportunities for ISVs. Emerging technologies like AI, IoT, blockchain also present new avenues.

Threats: Dependency on few large customers poses concentration risk. Shift towards open-source software is a challenge. Customers may choose to develop solutions in-house instead of relying on ISVs.

Key Takeaways

The global  Independent Software Vendors (ISVs) Market is expected to witness high growth over the forecast period of 2023 to 2030. The global Independent Software Vendors (ISVs) Market is estimated to be valued at US$ 302.25 Bn in 2023 and is expected to exhibit a CAGR of 13% over the forecast period 2023 to 2030.

North America currently dominates the market owing to high technology adoption and presence of major ISVs in the region. The US and Canada are the largest markets in North America. Asia Pacific is expected to be the fastest growing region for ISVs market driven by increasing digitization and emergence of digital economies like India and China. Growing demand for automation, big data analytics solutions from sectors like manufacturing, BFSI, retail offer significant opportunities.

*Note:

  1. Source: Coherent Market Insights, Public sources, Desk research
  2. We have leveraged AI tools to mine information and compile it