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The independent software vendors (ISVs) industry provides customized software applications and services designed for specialized functions and vertical markets, created by independent developers as alternatives to in-house custom development or software programs developed and sold by large technology companies. ISVs develop packaged software programs that operate across multiple technology platforms to support various business needs of enterprises such as CRM, HR, finance, and operations. By developing modular and scalable software products, ISVs enable businesses to improve productivity and efficiency, automate workflows, gain real-time data insights, and accelerate digital transformation initiatives. Customized ISV applications empower organizations to strengthen customer relationships, optimize employee engagement, streamline supply chains and gain competitive advantages in a rapidly evolving digital economy.
The global Independent Software Vendors (ISVs) Market is estimated to be valued at US$ 302.25 Bn in 2024 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 ISVs market is the rising adoption of cloud-based solutions. Cloud platforms offer ISVs the flexibility to deploy their applications via SaaS and web-based models without costly on-premise infrastructure requirements. This has significantly expanded their market opportunities globally. The increasing availability of cloud services has also enabled ISVs to focus more on innovation rather than infrastructure maintenance. As digital transformation accelerates across industries, demand is growing for specialized ISV solutions that leverage cloud, artificial intelligence, IoT, and other advanced technologies to drive business outcomes. This is prompting ISVs to incorporate emerging technologies into their offerings and create differentiated products and services.
Key players: Key players operating in the 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. Microsoft Corporation has the largest share in the market due to its wide range of productivity and business solutions. Salesforce.com Inc. is expanding aggressively through strategic acquisitions.
Porter’s Analysis
Threat of new entrants: New players will find it challenging to acquire clients and build brand recognition in this market dominated by some well-established ISVs.
Bargaining power of buyers: Buyers have moderate bargaining powers as they can choose from a variety of options from top ISVs.
Bargaining power of suppliers: ISVs have full control over their intellectual properties and proprietary technologies giving them strong bargaining powers over suppliers.
Threat of new substitutes: Alternatives like in-house development pose minimal threats as outsourcing to ISVs helps buyers focus on their core competencies.
Competitive rivalry: The market sees stiff competition among key players to expand their platforms and offerings leading to continuous product innovations.
Key Takeaways
The global Independent Software Vendors (ISVs) Market is expected to witness high growth over the forecast period. The global Independent Software Vendors (ISVs) Market is estimated to be valued at US$ 302.25 Bn in 2024 and is expected to exhibit a CAGR of 13. % over the forecast period 2023 to 2030.
Regional analysis: North America region currently dominates the market backed by significant technology adoption across industries in the US and Canada. However, Asia Pacific is expected to showcase the fastest growth due to rapid digitization of businesses in major countries like China and India.
*Note:
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
