PUBLISHER: The Business Research Company | PRODUCT CODE: 1455164
PUBLISHER: The Business Research Company | PRODUCT CODE: 1455164
Application integration involves the connection of different software applications and systems within an organization to function cohesively as a coordinated whole. The primary objective of application integration is to facilitate seamless collaboration among disparate systems, enabling them to share data and automate processes.
The main types of integrations in application integration include point-to-point integration, enterprise application integration, enterprise service bus, integration platform as a service, and hybrid integration. Point-to-point integration is a method of directly connecting two or more software applications or systems to exchange data or messages. This approach utilizes various technologies such as middleware solutions, application programming interface management, and integration platform as a service (IPAAS). It provides platforms and services for consumer relationship management, enterprise resource planning, human resource management systems, supply chain management, business intelligence, electronic health record management, and other applications. These applications cater to various verticals including banking, financial services, and insurance, retail and e-commerce, manufacturing, healthcare and life sciences, energy and utilities, automotive, transportation and logistics, government and public sector, among others.
The application integration market research report is one of a series of new reports from The Business Research Company that provides application integration market statistics, including application integration industry global market size, regional shares, competitors with a application integration market share, detailed application integration market segments, market trends and opportunities, and any further data you may need to thrive in the application integration industry. This application integration 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 application integration market size has grown exponentially in recent years. It will grow from $15.96 billion in 2023 to $19.43 billion in 2024 at a compound annual growth rate (CAGR) of 21.7%. The growth observed during the historical period can be attributed to factors such as increased awareness and early diagnosis, collaboration between healthcare stakeholders, a growing prevalence of autoimmune disorders, government support for rare diseases, and improvements in patient education.
The application integration market size is expected to see exponential growth in the next few years. It will grow to $41.84 billion in 2028 at a compound annual growth rate (CAGR) of 21.1%. The growth in the forecast period can be attributed to continued research in immunology, personalized medicine approaches, global health initiatives for autoimmune diseases, expansion of rare disease treatment programs, patient advocacy and support. Major trends in the forecast period include advancements in targeted therapies, personalized medicine approaches, growing research on novel drug classes, emphasis on early diagnosis and intervention, collaborative research and clinical trials.
The anticipated growth in the application integration market is driven by the expanding attack surface for cyber threats. Cyber threats involve malicious activities targeting computer systems, networks, devices, or data with the aim of compromising integrity, confidentiality, or availability. Application integration plays a crucial role in exchanging data and information between security tools, systems, and applications, enhancing the identification of cybersecurity threats. For example, in November 2022, the Australian Cyber Security Centre reported a significant increase in cybercrime reports, reaching over 76,000, reflecting a nearly 13% rise from the previous year. This underlines the critical role of application integration in addressing the growing challenge of cyber threats.
The growth of the application integration market is further fueled by the increasing adoption of cloud technology. Cloud technology involves the use of remote servers to store and manage data, run applications, and deliver services over the Internet. It facilitates application integration by providing scalable and centralized resources, fostering seamless connectivity, data sharing, and efficient communication among diverse software applications. A report from December 2023 by Eurostat, an intergovernmental organization based in Luxembourg, revealed that in the EU, 45.2% of enterprises adopted cloud computing services, marking a 4.2% increase from 2021 to 2023. The widespread adoption of cloud services across businesses of varying sizes is a driving force behind the growth of the application integration market.
A major challenge hindering the growth of the application integration market is the high initial investment required. Enterprise Application Integration (EAI) demands resources for technology infrastructure, software, custom development, data transformation, security, monitoring, training, and ongoing maintenance. The substantial initial investment can create barriers for smaller businesses, impose budget constraints, prolong return on investment (ROI) periods, divert resources, increase perceived risks, influence vendor choices, and favor simpler off-the-shelf alternatives. As per New York University, the initial implementation expenses for Enterprise Application Integration (EAI) range from $500,000 to $2 million, highlighting the significant financial commitment required.
Major companies in the application integration market are actively innovating with new technologies. For instance, the introduction of the Qristal software suite by Quantum Brilliance, an Australia-based quantum computing hardware company, exemplifies efforts to explore the utility of quantum computing in practical applications. Launched in March 2023, the Qristal software suite offers complete C++ and CUDA feature integration, enabling researchers and developers to test and create high-performance software. This innovation positions Quantum Brilliance as a significant player in the expanding quantum computing industry.
In June 2023, Silver Lake, a US-based private equity firm, acquired Qualtrics for $12.5 billion. This strategic move aims to strengthen the corporate cloud platform and transform various business processes. The acquisition positions Qualtrics, a provider of experience platform integrations, APIs, and connections, as an independent, privately owned business with the potential for category-defining innovation and effective growth at scale.
Major companies operating in the application integration market report are Microsoft Corporation, Dell Inc., International Business Machines Corporation, Deloitte Touche Tohmatsu Limited, Oracle Corporation, SAP SE, Salesforce Inc., Zebra Technologies Corporation, Informatica Inc., OSI Digital Inc., TIBCO Software Inc., Software AG, InterSystems Corporation, QlikTech International AB, Boomi Inc., Tavant Technologies Inc., Neudesic LLC, MuleSoft LLC, Zapier Inc., Axway, Actian Corporation, Workato Inc., WSO2 LLC, SnapLogic Inc., ScienceSoft Corporation, Cleo, Celigo Inc., DBSync, Flowgear, OpenLegacy Inc.
North America was the largest region in the application integration market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the application integration market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the application integration market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The application integration market consists of revenues earned by entities by providing services such as application programming interface (API) management, data integration, cloud integration, event-driven integration, web services, and custom development. The market value includes the value of related goods sold by the service provider or included within the service offering. The application integration market also includes sales of talent integration suite, azure logic apps, Amazon Web services (AWS) step functions, mule soft any point platform, and Dell Boomi. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
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.
Application Integration 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 application integration 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 application integration ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The application integration 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.