PUBLISHER: The Business Research Company | PRODUCT CODE: 1713689
PUBLISHER: The Business Research Company | PRODUCT CODE: 1713689
Test environment as a service (TEaaS) is a cloud-based solution that offers on-demand, scalable, and automated test environments for software testing. This service enables organizations to quickly establish, manage, and dismantle test environments without needing dedicated infrastructure. TEaaS simplifies the creation of environments that replicate production or other target setups, enhancing the efficiency of functional, performance, and integration testing.
Key offerings in TEaaS include cloud-based test environment management solutions and testing as a service (TaaS). Cloud-based test environment management solutions provide a flexible, scalable platform for setting up, managing, and dismantling testing environments entirely in the cloud. These solutions can be deployed on public, private, or hybrid clouds and support various types of testing, including functional, performance, security, and compatibility testing. They are utilized across multiple industries such as information technology (IT) and telecommunications, banking, financial services, and insurance (BFSI), healthcare, retail, manufacturing, and others, serving both small and medium enterprises as well as large corporations.
The test environment as a service market research report is one of a series of new reports from The Business Research Company that provides test environment as a service market statistics, including test environment as a service industry global market size, regional shares, competitors with a test environment as a service market share, detailed test environment as a service market segments, market trends and opportunities, and any further data you may need to thrive in the test environment as a service industry. This test environment as a service 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 test environment as a service market size has grown exponentially in recent years. It will grow from $14.32 billion in 2024 to $17.19 billion in 2025 at a compound annual growth rate (CAGR) of 20.0%. The growth in the historic period can be attributed to rise in the need for scalable testing solutions, rise of agile and DevOps methodologies, increase in complexity in software development, rise in cost optimization demands, shift towards cloud computing.
The test environment as a service market size is expected to see rapid growth in the next few years. It will grow to $35.23 billion in 2029 at a compound annual growth rate (CAGR) of 19.6%. The growth in the forecast period can be attributed to increasing adoption of cloud computing, growing demand for cost-effective testing solutions, acceleration of digital transformation, increasing complexity of software applications, rising need for remote testing capabilities. Major trends in the forecast period include adoption of AI-driven testing, advancements in cloud-native testing environments, advancements in mobile and IoT testing services, integration of DevOps practices, and advancements in continuous testing platforms.
The growth of cloud-based services and platforms is expected to drive the expansion of the test environment as a service (TEaaS) market. Cloud-based services are internet-hosted solutions that offer scalable, on-demand computing resources, software, and infrastructure, enabling remote access and management of applications and data without relying on local hardware. The increasing adoption of these services is due to their scalability, cost-efficiency, flexibility, and their support for remote work and innovation in a digital-centric world. TEaaS is essential for these cloud-based environments, providing scalable and cost-effective test environments that can be rapidly deployed and managed, facilitating continuous testing, faster deployments, and reduced risks in cloud-native development. For example, AAG IT Services, a UK-based IT support company, reported in June 2024 that cloud infrastructure services generated $191 billion in revenue from 2021 to 2022. Furthermore, global cloud storage is expected to reach 200 zettabytes (or 2 billion terabytes) by 2025. This expansion of cloud-based services is fueling the growth of the TEaaS market.
Key players in the TEaaS market are focusing on developing advanced software development environments that enhance flexibility, scalability, and automation. These environments provide the necessary tools, frameworks, and settings for building, testing, and deploying software applications. For instance, in December 2023, Renesas Electronics Corporation, based in Japan, introduced AI Workbench, a new cloud-based platform designed to streamline the software design process for automotive AI engineers. This integrated virtual development environment enables engineers to design, simulate, and refine automotive software using the cloud. The platform leverages Microsoft Azure services, including Azure Compute, IaaS, Microsoft Entra ID, and Azure Security, allowing engineers to conduct performance evaluations, debugging, and verification through online simulations without the need for local installations or evaluation boards.
In March 2024, VIAVI Solutions, a US-based provider of communications test, measurement, and optical technologies, acquired Spirent Communications for $1,277 million (£1,005 million). This acquisition combines their complementary product offerings, creating a more robust global portfolio. The merger enables Spirent to build on its strategic advancements while utilizing VIAVI's resources to pursue long-term growth opportunities. Spirent Communications Plc, based in the UK, specializes in providing tests as a service.
Major companies operating in the test environment as a service market are Microsoft Corporation, Amazon Web Services Inc., HP Inc., Accenture plc, International Business Machines Corporation, Oracle Corporation, Tata Consultancy Services Limited, Capgemini SE, Cognizant Technology Solutions Corporation, Infosys Limited, HCL Technologies Limited, Atos SE, Wipro Limited, CA Technologies Inc., Qualitest Group, KPIT Technologies Limited, Tricentis LLC, BrowserStack Software Private Limited, SmartBear Software, Sauce Labs, Leapwork, Applitools, Infotree Solutions, Testim.io, SOASTA Inc.
North America was the largest region in the test environment as a service market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the test environment as a service market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the test environment as a service market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The test environment as a service market consists of revenues earned by entities by providing services such as on-demand environment provisioning, environment configuration management, infrastructure as code support, test data management. The market value includes the value of related goods sold by the service provider or included within the service offering. The test environment as a service market also includes sales of infrastructure automation tools, cloud-based load testing platforms environment cloning and sandbox solutions, and multi-cloud management 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.
Test Environment As A Service 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 test environment as a service 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 test environment as a service ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The test environment as a service 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.