PUBLISHER: The Business Research Company | PRODUCT CODE: 1672536
PUBLISHER: The Business Research Company | PRODUCT CODE: 1672536
Open source services involve software for which the source code is freely available, allowing users to redistribute and modify it based on their requirements. Typically, open source software (OSS) is accompanied by a license that permits programmers to customize the software to meet their needs and control its distribution. The open source code is publicly shared, enabling anyone to access the repository for independent use or contribution to the improvement of the project's design and functionality.
The primary service types in the open source services market include professional services and management services. Professional services encompass a wide range of specialized services provided by individuals or firms with expertise in a particular field. Industries that extensively use open source services include banking, financial services, insurance, telecommunications, IT, manufacturing, government, healthcare, retail, and others.
The open source services market research report is one of a series of new reports from The Business Research Company that provides open source services market statistics, including open source services industry global market size, regional shares, competitors with an open source services market share, detailed open source services market segments, market trends and opportunities, and any further data you may need to thrive in the open source services industry. This open source services 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 open source services market size has grown exponentially in recent years. It will grow from $42.73 billion in 2024 to $51.64 billion in 2025 at a compound annual growth rate (CAGR) of 20.8%. The growth in the historic period can be attributed to emerging markets growth, the rising focus on digitizing business processes, increased IT spending, and increased big data and automation.
The open source services market size is expected to see exponential growth in the next few years. It will grow to $135 billion in 2029 at a compound annual growth rate (CAGR) of 27.2%. The growth in the forecast period can be attributed to rising the utilization of cloud computing, rising government support, and a growing number of tech-savvy people. Major trends in the forecast period include the introduction of new open-source versions, the launch of quantum-centric supercomputing, investment in artificial intelligence, technological advancements, and product launches.
The growth of the open-source services market is attributed to the reduced cost of ownership and time to market. Prominent entities such as MySQL Databases, Apache HTTP Server, WordPress by Automatic, Ubuntu by Canonical, MuleSoft Data Integration Platform, and Red Hat actively employ open-source solutions. The adoption of open-source software (OSS) can lead to substantial cost savings for clients, encompassing acquisition, deployment, support, and maintenance expenses. A study by Linux Foundation Consulting revealed that clients leveraging open-source solutions save between 20-55% compared to commercial alternatives. These savings commence with acquisition costs and extend across deployment, support, and maintenance, fostering the growth of the open-source services market.
The continued expansion of cloud computing usage is anticipated to drive the open-source services market's growth. The implementation of cloud applications using open-source software facilitates source code accessibility, modification, and utilization. Free and open-source software technologies enable cloud deployment across diverse domains. In 2022, Exploding Topics reported that the cloud hosts 60% of global corporate data, accounting for 3% of global energy usage. Cloud infrastructure services generate an annual revenue of $178 billion, with 90% of large businesses employing a multi-cloud infrastructure. Consequently, the increasing reliance on cloud computing is expected to significantly contribute to the growth of the open-source services market.
Leading companies in the open-source services sector are prioritizing technological advancements to fortify their market positions. For instance, Google AI, a division of Google dedicated to artificial intelligence, launched TensorStore in September 2022-a C++ and Python library designed for the storage and manipulation of n-dimensional data. This open-source library addresses critical engineering challenges in scientific computing, enhancing the management and processing of extensive datasets.
Partnerships among companies to accelerate technological advancement and reduce time to market are emerging trends in the open-source services market. Information technology firms worldwide are forming strategic partnerships or consortiums to create innovative open-source platforms and services tailored to various industries. For example, in June 2022, Hewlett Packard Enterprise (HPE), a US-based edge-to-cloud company, partnered with Red Hat, a US-based software company that specializes in open-source software products. This collaboration focuses on enhancing the HPE GreenLake ecosystem by integrating Red Hat's advanced open-source technologies, including OpenShift and the Ansible Automation Platform. The goal of this partnership is to provide organizations with flexible, cost-effective IT solutions that facilitate digital transformation and optimize hybrid cloud environments. By combining HPE's edge-to-cloud platform with Red Hat's capabilities, the partnership aims to streamline operations, enhance performance, and offer comprehensive support, enabling businesses to innovate and maintain a competitive advantage.
In April 2024, International Business Machines Corporation (IBM), a US-based technology firm, acquired HashiCorp for $6.4 billion. This acquisition is intended to enhance IBM's ability to manage complex cloud environments, enabling businesses to deploy applications effortlessly across multiple cloud platforms. It supports IBM's strategy to provide comprehensive solutions for enterprises undergoing cloud transformation, ensuring they can successfully navigate their cloud journeys. HashiCorp is a US-based software company that offers open-source tools and services.
Major companies operating in the open source services market include IBM Corporation, Oracle Corporation, Hewlett Packard Enterprise, Accenture, Cisco Systems, Infosys, Salesforce.com, HCL, Atos Information Technology Incorporated, Wipro, Appsmith, Zilliz, Alibaba, Tencent, Endor Labs, Dgraph Labs, ToolJet, ValarDigital, 5ire, CivicDataLab, Swan Solutions & Services Pvt. Ltd, UCloud Information Technology, Mindee, Luos, Platform.sh, Strapi, PrestaShop, Bonitasoft, SensioLabs, draw.io, Sysdig, Giskard, Starburst, Bucharest DevOps Hackers Meetup, JSHeroes Meetups, SKB Kontur, Saleor Commerce, Tensor, Pachyderm, Rapid Silicon, Mirantis, SpiderOak, Eclipse Foundation, Appnovation, LifeRaft, PerfectlySoft Inc, BoxOfDocs, Cogdina, Sonatafy Technology, GoNet, Teravision Technologies, Extendo, ClickIT Smart Technologies, Altoros, Exoft, CodeNinja, Tuxdi, Flowing Code, Zarego, GitHub, Treeverse, flexiWAN, Linnovate, AeroBase Group, Inc, Foretold, OpenSource Intelligent Solutions (Pty) Ltd, Bridge IT Support, Axial Technologies (Pty) Ltd, Saturn Technologies, Data.world, Hope La Fleur Communications Networks, Green IT Web, Net Advertising Solutions
North America was the largest region in the open-source services market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the open source services market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the open source services market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.
The open-source services market includes revenues earned by entities by providing software tools that allow programmers to use current code to hone their innovations and enhance the product according to their requirements. 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.
Open Source Services Global Market Report 2025 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 open source services 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 open source services ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The open source services 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 forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.