PUBLISHER: The Business Research Company | PRODUCT CODE: 1499856
PUBLISHER: The Business Research Company | PRODUCT CODE: 1499856
Generative AI in software development encompasses a range of AI models and tools designed to generate new content, including code snippets, functions, and design concepts, in response to natural language prompts and existing code. This technology enables developers to automate repetitive tasks, explore creative solutions, and accelerate the software development process by providing code suggestions and prototypes.
The main components of generative AI in software development are categorized into solutions and services. Solutions represent a comprehensive approach or a set of tools specifically tailored to address particular challenges or requirements within a technological context. These solutions can be deployed either on-premise or on the cloud, offering flexibility and scalability. They find applications across various domains, including code generation, code optimization, bug detection, testing quality assurance, and more. Generative AI solutions in software development play a crucial role in enhancing developer productivity, improving code quality, and expediting the development lifecycle. They leverage advanced algorithms and machine learning techniques to analyze patterns, understand context, and generate code that aligns with the developer's intent and project requirements. This technology has the potential to revolutionize software development by augmenting human capabilities, fostering innovation, and driving efficiency across the development ecosystem.
The generative AI in software development market research report is one of a series of new reports from The Business Research Company that provides generative AI in software development market statistics, including generative AI in software development industry global market size, regional shares, competitors with a generative AI in software development market share, detailed generative AI in software development market segments, market trends and opportunities, and any further data you may need to thrive in the generative AI in software development industry. This generative AI in software development 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 generative AI in software development market size has grown exponentially in recent years. It will grow from $42.95 billion in 2023 to $53.40 billion in 2024 at a compound annual growth rate (CAGR) of 24.3%. The growth during the historical period can be credited to heightened computational capabilities, advancements in deep learning algorithms, accessibility of vast datasets, growing demand for coding optimization, and the rise of cloud computing platforms.
The generative AI in software development market size is expected to see exponential growth in the next few years. It will grow to $129.43 billion in 2028 at a compound annual growth rate (CAGR) of 24.8%. The anticipated growth in the forecast period stems from several factors such as the incorporation of generative AI into software development tools, broader applications across creative industries, the adoption of generative AI for personalized content creation, improved natural language understanding capabilities, and accelerated research into self-improving AI systems. Key trends expected in the forecast period include a heightened emphasis on ethical and responsible AI development, the widespread use of generative AI in low-code and no-code platforms, the integration of AI into software development workflows, the emergence of generative AI-driven cybersecurity solutions, and the inclusion of generative AI in DevOps practices.
The increasing demand for automation is expected to drive the growth of generative AI within the software development market. Automation involves using technology and machinery to perform tasks with minimal human intervention, leading to increased efficiency and productivity. This demand for automation is primarily motivated by the desire to streamline processes, improve efficiency, reduce costs, and enhance accuracy across various industries. Generative AI enables the automation of design tasks such as generating UI layouts, graphics, and architectural designs, allowing human designers to focus more on creative endeavors. For example, data from October 2022, provided by the International Federation of Robotics, indicates a 31% year-over-year growth rate in the installation of 517,385 new industrial robots globally in 2021. Thus, the rising demand for automation is driving the growth of generative AI in the software development market.
Major companies in the generative AI software development market are introducing advanced generative AI offerings to enhance efficiency and drive revenue growth. Generative AI services encompass various applications leveraging artificial intelligence to create new content and ideas, including conversations, stories, images, videos, and music. For instance, in July 2023, Capgemini SE, a France-based IT company, launched a generative AI service portfolio comprising generative AI strategy, generative AI for customer experience, generative AI for software engineering, and custom generative AI for enterprises. The inclusion of generative AI for software engineering provides a unique set of services that enhance efficiency and quality across the software life cycle, from design and coding to documentation, testing, deployment, and operations. This expedites the time to market for new software and reduces technical debt for enterprises by supporting large-scale modernization programs for legacy software. Additionally, it strengthens security measures by automatically identifying bugs or vulnerabilities and suggesting adjustments to software development teams.
In February 2024, Deloitte Touche Tohmatsu Limited, a UK-based professional services company, acquired OpTeamizer for an undisclosed amount. This acquisition strengthens Deloitte's high-performance computing engineering capabilities, enabling clients to leverage generative AI, supercomputers, and edge AI for increased automation, optimized business processes, and greater business value realization. OpTeamizer, an Israel-based provider of generative AI for software development, enhances Deloitte's ability to deliver innovative solutions in this field.
Major companies operating in the generative AI in software development market are Amazon Inc., Google LLC, Microsoft Corporation, Tencent Holdings Ltd., International Business Machines Corporation, Deloitte Touche Tohmatsu Limited, Oracle Corporation, Red Hat Inc., Atlassian Corporation Plc, Alteryx Inc., Itransition Inc., Visionet Systems Inc., BairesDev LLC, Nordcloud Ltd., CloudBees Inc., 15Five Inc, ScienceLogic Inc., Waverley Software Inc., Alibaba Cloud, 10Clouds SP. Z O.O., Radiansys Inc., Tooploox, Blue Label Labs, ASG Technologies Ltd., HatchWorks Inc
North America was the largest region in the generative AI in software development market in 2023. The regions covered in the generative AI in software development market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the generative AI in software development market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The generative AI in the software development market consists of revenues earned by providing services such as documentation, test case generation, idea generation, and synthetic data creation. The market value includes the value of related goods sold by the service provider or included within the service offering. The generative AI in the software development market also includes sales of products such as AI-powered code review tools, UI/UX design tools, and story generation tools. 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.
Generative AI In Software Development 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 generative AI in software development 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 generative AI in software development? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The generative AI in software development 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.