Press release
Global Composable Applications Market to Reach $17.13 Billion by 2029, Growing at 20.6% CAGR
What Is the Expected Size and Growth Rate of the Composable Applications Market?In recent years, there has been a significant growth in the size of the composable applications market. Anticipated to increase from $6.69 billion in 2024 to $8.09 billion in 2025, the market is set to exhibit a compound annual growth rate (CAGR) of 20.9%. This robust growth over the historic period is due to factors including digital transformation drives, the emergence of microservices, increased demand for customization, concentrated emphasis on user experience, and advances in development tools.
In the coming years, the market size of composable applications is projected to witness rapid expansion. By 2029, it is anticipated to reach $17.13 billion, with a compound annual growth rate (CAGR) of 20.6%. The expected growth during forecasted period is credited to several factors such as the growing adoption of cloud-native technologies, the expansion of edge computing, the high demand for omnichannel solutions, heightened security and compliance requirements, and the emergence of low coding. The forecast period will also see key trends such as the adoption of composable infrastructure, the wider use of composable enterprise architectures, the proliferation of hybrid and multi-cloud environments, the ascendance of automated application composition, and integration with upcoming technologies.
What Are the Key Drivers Behind the Growth of the Composable Applications Market?
The advancement of digital transformation initiatives is predicted to stimulate the composable applications market. Efforts to fundamentally better processes, customer relationships, and business frameworks through the application of technology are known as digital transformation initiatives. These are fuelled by the need to boost operational efficiency, keep up with technological progress, and satisfy changing customer needs. Composable applications are enabled by digital transformation as it supports adaptable, modular frameworks that accommodate altering business requirements and promote innovation. For example, a report by the European Investment Bank, a financial institution from Luxembourg functioning for the long-term in the European Union, indicated in May 2023, that there was a 9-point increase in 2022 when 42% of European firms deepened their investment in digitalisation compared to 2021. Conversely, half of the firms in the United States, or 50%, sought increased investment in digitalisation during the same period. As a result, the surge in digital transformation initiatives is propelling the composable applications market growth.
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Which Leading Companies Are Shaping the Growth of the Composable Applications Market?
Major companies operating in the composable applications market are Amazon.com Inc., Microsoft Corporation Inc., Dell Technologies Inc., International Business Machines Corporation (IBM), Cisco Systems Inc., Oracle Corporation, SAP SE, Salesforce Inc., Adobe Inc., VMware Inc., Elastic NV, OutSystems, Appian Corporation, TIBCO Software Inc., Mendix Technology B.V., Workato Inc., Sage IT Inc., Kong Inc., SnapLogic Inc., and Amzur Technologies Inc.
What Are the Major Trends Shaping the Composable Applications Market?
Prominent firms in the composable applications market are concentrating their efforts on creating groundbreaking solutions, such as online commerce tools, to establish their competitive superiority in the industry. Online commerce technologies are platforms that make it possible for companies to facilitate online trading operations, supervise product catalogues, manage payments, and improve user experiences. For instance, Salesforce Inc., a software company from the United States, introduced their digital commerce solution: Composable Storefront, in August 2022. This modular, headless commerce platform enables businesses to adapt and quickly roll out digital storefronts using pre-existing, API-oriented components. This platform provides effortless integration with the wider Salesforce ecosystem, allowing for personalized customer experiences and scalable growth while granting greater scope in flexibility and speed to adapt to market transitions.
What Are the Key Segments of the Composable Applications Market?
The composable applications market covered in this report is segmented -
1) By Offering: Platform, Service
2) By Enterprise Size: Large Enterprises, Medium Enterprises, Small Enterprises
3) By Vertical: Banking Financial Services And Insurance (BFSI), Retail And E-commerce, Government, Healthcare And life sciences, Manufacturing, Information Technology (IT) And Information Technology Enabled Services(ITeS), Energy And Utilities, Other Verticals
Subsegments:
1) By Platform: Composable Application Platforms, Modular Architecture Platforms, Low-Code Or No-Code Platforms
2) By Service: Implementation Services, Integration Services, Consulting Services, Support And Maintenance Services
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Which Region Dominates the Composable Applications Market?
North America was the largest region in the composable applications market in 2024. The regions covered in composable applications report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
What Is Covered In The Composable Applications Global Market Report?
- Market Size Analysis: Analyze the Composable Applications Market size by key regions, countries, product types, and applications.
- Market Segmentation Analysis: Identify various subsegments within the Composable Applications Market for effective categorization.
- Key Player Focus: Focus on key players to define their market value, share, and competitive landscape.
- Growth Trends Analysis: Examine individual growth trends and prospects in the Market.
- Market Contribution: Evaluate contributions of different segments to the overall Composable Applications Market growth.
- Growth Drivers: Detail key factors influencing market growth, including opportunities and drivers.
- Industry Challenges: Analyze challenges and risks affecting the Composable Applications Market.
- Competitive Developments: Analyze competitive developments, such as expansions, agreements, and new product launches in the market.
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