PUBLISHER: The Business Research Company | PRODUCT CODE: 1428405
PUBLISHER: The Business Research Company | PRODUCT CODE: 1428405
Enterprise architecture tools are software applications specifically designed to support the practice of enterprise architecture. These tools offer organizations a range of benefits, aiding them in effectively managing their IT (information technology) landscape, aligning IT strategies with business goals, and enhancing overall organizational efficiency and effectiveness.
The primary components encompassed by enterprise architecture tools are solutions and services. A solution refers to a package comprising related software programs and services bundled together to assist businesses in addressing specific challenges. These solutions can be deployed both on-premises and in the cloud, catering to organizations of varying sizes, including large enterprises and small and medium enterprises (SMEs). They find application across diverse sectors, with end-users spanning telecommunications and information technology (IT), banking, financial services, and insurance (BFSI), healthcare, manufacturing, consumer and retail, among others.
The enterprise architecture tools market research report is one of a series of new reports from The Business Research Company that provides enterprise architecture tools market statistics, including enterprise architecture tools industry global market size, regional shares, competitors with a enterprise architecture tools market share, detailed enterprise architecture tools market segments, market trends and opportunities, and any further data you may need to thrive in the enterprise architecture tools industry. This enterprise architecture tools market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The enterprise architecture tools market size has grown strongly in recent years. It will grow from $1.25 billion in 2023 to $1.33 billion in 2024 at a compound annual growth rate (CAGR) of 5.9%. The expansion during the historical period can be attributed to IT system complexity, business process optimization, regulatory compliance, the globalization of business operations, and the emergence of cloud computing.
The enterprise architecture tools market size is expected to see strong growth in the next few years. It will grow to $1.67 billion in 2028 at a compound annual growth rate (CAGR) of 5.9%. The anticipated growth in the forecast period can be attributed to the increasing adoption of hybrid and multi-cloud environments, a heightened emphasis on cybersecurity and data protection, a rising demand for business agility, continued digitalization efforts, and the expansion of remote work. Key trends expected in the forecast period include a greater focus on user experience design, a shift towards microservices architecture, increased utilization of artificial intelligence in architecture tools, a rising demand for modular and customizable solutions, and an emphasis on sustainability and environmental impact in tool development.
The enterprise architecture tools market is expected to experience growth, driven by the increasing adoption of cloud technology. Cloud, which refers to a network of remote servers on the Internet, is utilized for storing, managing, and delivering data, applications, and services. Cloud-based enterprise architecture tools offer advanced visibility, informed decision-making, innovation, continuous updates, and accessibility. These tools play a crucial role in developing a cloud strategy by assessing the current architecture, identifying areas suitable for cloud migration, and defining the target cloud architecture. Eurostat reported that 41% of EU enterprises used cloud computing in 2021, with large businesses adopting it at a rate of 72%, and medium-sized businesses at 53%. Small businesses also showed a 5-percentage point increase to 38%. The rising adoption of cloud technology is a significant driver for the enterprise architecture tools market.
The growth of the enterprise architecture tools market is further fueled by the increasing importance of enterprise architecture. Enterprise architecture, a holistic approach aligning an organization's business processes, IT infrastructure, and strategies, plays a pivotal role in achieving overarching goals. Enterprise architecture tools contribute to this alignment by facilitating and optimizing organizational structures and technologies' effective planning, implementation, and management. According to the Data Warehousing Institute (TDWI), organizations reported an average increase of 15.7% in investments in enterprise architecture in 2022, with 97% expressing plans for significant investments in the next two years. This underscores the growing recognition of the strategic importance of enterprise architecture in driving business development and digital transformation, contributing to the growth of the enterprise architecture tools market.
Innovations in products are a notable trend in the enterprise architecture tools market, with major companies focusing on developing innovative solutions to maintain their market positions. Ardoq, a Norway-based technology company, introduced Ardoq Discover in June 2022, a new enterprise architecture tool designed to facilitate impactful decisions at every organizational level. This tool democratizes enterprise architecture throughout the firm, enabling quick, insight-driven decisions for profitable transformation over time. Key features include enhanced accessibility and reduced architectural support efforts, providing rich tools for modeling and building data visualizations.
Major companies in the enterprise architecture tools market are emphasizing the development of innovative products, such as enterprise architecture management tools, to support the evolving enterprise architecture field. An Enterprise Architecture Management Tool is designed to document, analyze, and manage an organization's enterprise architecture, promoting strategic alignment, optimization, and communication across business and IT stakeholders. LeanIX, a Germany-based Software-as-a-Service (SaaS) company, launched the Free Academic Edition of its Enterprise Architecture Management Tool in February 2022. This initiative offers students free access to practical applications of academic theories and collaboration-based features, contributing to hands-on experience and preparing students for digital leadership roles.
In January 2021, Quest Software, a US-based software company, acquired Erwin Inc. for an undisclosed amount. This strategic acquisition is expected to strengthen Quest Software's portfolio and enhance its capabilities to support big data initiatives. Erwin Inc., a US-based software company, provides a unified software platform and enterprise architecture solutions, including Erwin Evolve.
Major companies operating in the enterprise architecture tools market report are Microsoft Corporation, International Business Machines Corporation (IBM), ServiceNow Inc., Dassault Systemes SE, Avolution, Software AG, Planview, iGrafx, LeanIX, BOC Group, BiZZdesign, Orbus Software, Clausmark, Ardoq, Enterprises Architecture Solutions Ltd., Atoll Technologies Information, Mega Interntional, QualiWare ApS, UNICOM Systems Inc., Capstera, Capsifi, FIOS Insight, Sparx Systems, Valispace, SmartDraw Software LLC, ValueBlue
North America was the largest region in the enterprise architecture tools market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the enterprise architecture tools market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the enterprise architecture tools market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.
The enterprise architecture tools market includes revenues earned by entities by providing services such as business process optimization, technology road mapping, training and skill development. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Enterprise Architecture Tools Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on enterprise architecture tools market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for enterprise architecture tools ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The enterprise architecture tools market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.
The impact of higher inflation in many countries and the resulting spike in interest rates.
The continued but declining impact of covid 19 on supply chains and consumption patterns.