In a recent study by Omdia, a leading technology research firm, the infrastructure software market is expected to experience substantial growth, propelled by advancements in key technological domains.
The infrastructure software market is projected to achieve a remarkable Compound Annual Growth Rate (CAGR) of 16.5 percent from 2022 to 2027, ultimately reaching an estimated worth of $358 billion by the close of 2027.
The Omdia infrastructure software market forecast delineates revenue potential across 12 pivotal segments, encompassing database infrastructure and management, server virtualization, storage virtualization, network virtualization, desktop-as-a-Service and VDI, hyperconverged infrastructure, data protection, multi and hybrid cloud management and orchestration, DevOps (release management), AIOps, container management platforms/services, and datacenter infrastructure management (DCIM).
The forecast spans four regions, eight subregions, 27 countries, and 16 vertical industries for the 2022–27 period.
The main technology trends in infrastructure software market
# The rise of generative AI
# Changing the application mix
# Increased security and protection
# Data privacy
# The growth of environmental sustainability
At the conclusion of 2022, the software infrastructure market was valued at approximately $167 billion. The anticipated growth is attributed to the convergence of key technologies that are expected to shape the technology landscape in the foreseeable future.
Roy Illsley, Chief Analyst and lead of Omdia’s IT Operations research practice, emphasized, “The need to transform the IT department and the business to meet this new demand requires newer more agile software infrastructure. The fact that container management software shows a CAGR of over 38 percent compared to server virtualization at less than 7 percent demonstrates this shift perfectly.”
Omdia’s predictions highlight a significant growth in infrastructure software spending, particularly in the Americas, with expenditures expected to surge from $82.7 billion in 2022 to over $172 billion by the end of 2027.
Among countries, India is poised to be the fastest-growing market during the forecast period, boasting an impressive CAGR of 26 percent, closely followed by China with a CAGR of 25.4 percent from 2022 to 2027.
Additionally, the Rest of Africa is anticipated to grow at 24.5 percent, albeit from a relatively low base, indicating a rising interest in deploying new technologies to bridge the technical divide and reduce inequality across the continent. Africa emerges as a promising region to watch in the realm of technological advancements.