The Computer software assurance Market is estimated to be valued at US$8.48 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 Overview:

Computer software assurance refers to the various processes, tools and controls implemented by enterprises to ensure that their software development activities conform to quality, security and compliance standards. It encompasses activities such as software testing, vulnerability assessment, software configuration management and release management. Major enterprises rely on computer software for critical business functions and operations. Software assurance helps validate software functionalities and integrity. It also helps identify security loopholes proactively.

Market Dynamics:

Emergence of predictive analytics is a key driver propelling the computer software assurance market growth. Predictive analytics examines past trends and behaviors to predict potential issues or failures. It helps computer software developers and enterprises identify anomalies or vulnerabilities early and address them proactively. This helps reduce costs associated with reworks and enhances overall software quality. Another driver is the rising instances of cyber threats targeting software vulnerabilities. Sophisticated threat actors are constantly exploring new ways to exploit software weaknesses. Strict regulatory requirements regarding data security and privacy are also augmenting the need for robust software assurance practices. The growth of IoT and connected devices run by software further accentuates the importance of software integrity and cyber resilience.

Segment Analysis

The computer software assurance market is dominated by the application security testing sub segment. This sub segment accounts for over 35% of the total market share as ensuring application security has become a top priority for organizations across industries due to rising cyber threats and data breaches. Regular security testing helps organizations identify vulnerabilities in applications and platforms before cyber criminals can exploit them.

PEST Analysis

Political: Government regulations around data privacy and cyber security are becoming stricter each year pushing organizations to implement robust software assurance practices and comply with standards like ISO 27001.

Economic: The economic costs of data breaches have been rising significantly. It is estimated that the global average cost of a data breach is $4.35 million pushing companies to view software assurance as an investment rather than just an expense.

Social: With rising awareness about privacy and security, customers are increasingly choosing companies that demonstrate responsible data practices through measures like thorough security testing and certifications. This is influencing businesses to boost investments in this market.

Technological: Emerging technologies like cloud, IoT and mobile have increased the attack surface for hackers. At the same time, new assurance tools leveraging ML/AI are helping automate and scale testing processes to meet the challenges of a dynamic threat landscape.

Key Takeaways

The computer software assurance market is expected to witness high growth at a CAGR of 13% over the forecast period until 2030 to reach a value of US$ 18.32 Bn, driven by increasing stringent compliance requirements worldwide. North America currently holds the highest share of over 40% attributed to early adoption of assurance standards in countries like the US. However, the Asia Pacific region is emerging as the fastest growing market led by countries like India and China with growing digitalization and internet penetration.

Key players operating in the computer software assurance market are IBM Corporation, Accenture PLC, Cognizant Technology Solutions Corporation, Capgemini SE, Hewlett Packard Enterprise (HPE), Deloitte Touche Tohmatsu Limited, Ernst & Young Global Limited (EY), KPMG International Cooperative, PricewaterhouseCoopers (PwC), Synopsys, Â Inc., Micro Focus International plc, Veracode (Acquired by Thoma Bravo), Trustwave Holdings, Â Inc., WhiteHat Security (Acquired by NTT Ltd.), Rapid7, Â Inc. Among these, IBM holds the largest share attributed to its robust portfolio of assurance solutions and services.

Regional analysis

The Asia Pacific region is forecast to be the fastest growing market for computer software assurance during the forecast period. This can be attributed to rapid digitization of services and processes across industries in emerging economies like China and India. Both countries have implemented ambitious digital transformation agendas to boost tech adoption among businesses and citizens. This is leading to immense growth in software and internet-based services requiring stringent assurance standards to be met. Additionally, an increasingly young tech-savvy population is raising the demand for secure digital services.

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