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PUBLISHER: Daedal Research | PRODUCT CODE: 1162079

PUBLISHER: Daedal Research | PRODUCT CODE: 1162079

Global Industrial Software Market: Analysis By Platform, By End User, By Region, Size and Trends with Impact of COVID-19 and Forecast up to 2027

PUBLISHED: November 25, 2022

PAGES: 152 Pages

DELIVERY TIME: 1-2 business days

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The global industrial software market was valued at US$92.58 billion in 2021, and is predicted to grow to US$157.41 billion in 2027. Industrial software is a collection of application programs, processes, methods, and functions that can help with data collection, manipulation, and management on a large scale. Industrial software is used in a variety of industries, including operations, manufacturing, design, construction, mining, textile mills, chemicals, food processing, and service providers.

The power of high computational devices and the availability of massive amounts of memory have revolutionized industry. Industrial software assists in digitizing real-world work data for analysis or in maintaining a non-physical record that cannot be destroyed, lost, or stolen. Industrial software is available in a wide range of configurations to support the diverse processes that an industry employs. The global industrial software market is determined to grow at a CAGR of 9.25% over the forecasted period of 2022-2027.

Market Segmentation Analysis:

By Platform: The report identifies two segments on the basis of platform: On Premise and Cloud. Among the platform, cloud segment is expected to be the fastest growing segment in the forecasted period. Companies can achieve immediateness, efficiency, resource planning activity optimization, scalability, and accessibility by deploying cloud based industrial software. Additionally, it provides advantages like quicker implementation and lower upfront costs, which are foreseen as major factors propelling growth of the segment during the forecasted period.

By End User: The report identifies eight segments on the basis of end user: BFSI, IT & Telecom, Manufacturing, Government, Healthcare, Retail, Aerospace & Defense and Others. Among the end user, BFSI dominated the industrial software market in 2021. Companies that specialize in delivering a variety of financial products/services, such as universal banks, make up the banking, financial services, and insurance (BFSI) market. This market has shown great expansion in recent years, and it is predicted to enhance the industrial software market during the forecast period. Software solutions assist banks in tracking transactions and generating accurate portfolio reports. The software's user-friendly interface includes a variety of charts, analytics, and other data blocks. Easy data access, digital banking, and fintech startups are driving the growth of the BFSI software market.

By Region: In the report, the global industrial software market is divided into four regions: North America, Europe, Asia Pacific, and ROW. North America accounted for the maximum share of the global market in 2021. The significant market share of this region is primarily attributable to elements like the increasing adoption of industrial software by small and medium-sized businesses, the increasing investments made by vendors in the creation of software using cutting-edge technologies, and the existence of numerous market players. The market is also anticipated to grow over the forecast period as a result of increased accessibility to software functions through smartphone applications.

The Asia Pacific market is expected to expand as a result of the thriving manufacturing sector and expanding small and medium enterprises. Many businesses in the area have already adopted on-premises industrial software solutions to boost their organizations' productivity and performance. Additionally, the market is expected to grow as a result of the rising number of start-ups and their rising demands for cloud-based software. Government support for IT infrastructure implementation is expected to boost demand for industrial software over the forecast period.

Market Dynamics:

Growth Drivers: One of the key drivers of the market's expansion is the surging adoption of industrial cloud computing technology. Cloud computing refers to the method for delivering information technology (IT) services in which resources are retrieved from the internet through web based applications, as opposed to a direct connection to a server. Industrial cloud computing provides the infrastructure for the transmission of this data to the applications that operators use on computers or mobile devices, as well as software programs that automate workflows. Organizations are using this data to more strategically manage assets and overall operations as they are able to capture more and more of it. As a result, the growing use of industrial cloud computing is increasing the installation of industrial software, propelling the market growth. Other significant growth factors of the market include, growing electronics industry, rapid installations of industrial robots, growing spending on software, industry 4.0, growing need to improve operational efficiency and rising adoption of digital transformation.

Challenges: However, some challenges are impeding the growth of the market such as problem of cyber security and high initial capital investment. The increasing use of digital technologies, such as the cloud, mobile, Internet of Things (IoT) and artificial intelligence in more areas of business and the growing connectivity of everything depict greater challenges on the level of security, compliance and data protection. With the help of Internet of Things (IoT) and the cloud computing, the industrial software functions properly as well as store the data. There is greater integration between the devices and applications but there is also the fear of being hacked. This is eventually regarded as a key factor that restrain the global industrial market growth.

Trends: The market is projected to grow at a fast pace during the forecast period, due to integration of artificial intelligence (AI) with industrial software, increasing adoption of industrial internet of things (IIoT), increasing industrial spending on R&D, rising adoption of automation in raw material industries and growing implementation of digital twin. Organizations can use digital twins to understand feasibility, reduce risk during implementation, and estimate potential improvements. The industrial Internet of Things, such as cloud systems and smart sensors, has made digital twin implementation and maintenance more manageable. To reduce the risk of equipment failure, businesses incorporate digital twin technology into their operations. It also aids in the automatic scheduling of repairs by simulating the process. It would contribute to the delivery of scalable, cost-effective, and agile supply chain operations. The increasing adoption of digital twin technology can increase the adoption of industrial software in the coming years.

Impact Analysis of COVID-19 and Way Forward:

Like many sectors, COVID-19 has also impacted the industrial software market. Government-imposed factory and plant closures, as well as travel restrictions, had a significant impact on manufacturing facilities and other industries. Demand for industrial software fell precipitously as a result of the temporary closure of end-use industries.

New technological approaches for logistics chain development, production, and management, also known as smart factory automation, are centered on the Industrial Internet of Things (IIoT) and Industry 4.0. These are the prevalent trends in the industrial sector, which would drive the market growth in the post COVID period.

Competitive Landscape:

The industrial software market is moderately fragmented, with some high-growth segments like cloud infrastructure and services, cybersecurity, and data analytics. In order to strengthen the market positions and propel the business growth, players with headquarters in North America and Europe are aiming to expand their presence in the Asia Pacific region. The market's major players have established robust regional presences, distribution networks, and product portfolios.

The key players in the global industrial software market are:

IBM Corporation

Microsoft Corporation

Oracle Corporation

Salesforce Inc.

SAP

Siemens AG (Siemens Digital Industries Software)

ABB Group

Honeywell International Inc.

Dassault Systemes SE

Amazon.Com, Inc. (Amazon Web Services, Inc.)

Cadence Design Systems, Inc.

Synopsys Inc.

The players with significant exposure to these aforementioned segments would continue to gain a larger share of the overall industrial software spend as more businesses digitize and modernize their software infrastructure. Technological advances, new easily accessible software solutions, and increasing trend of automation and robotics are creating opportunities for new market entrants in the industrial software market.

1. Executive Summary

2. Introduction

2.1 Industrial Software: An Overview
- 2.1.1 Benefits of Industrial Software
- 2.1.2 Aspects of Industrial Software
2.2 Industrial Software Segmentation: An Overview
- 2.2.1 Industrial Software Segmentation

3. Global Market Analysis

3.1 Global Industrial Software Market: An Analysis
- 3.1.1 Global Industrial Software Market: An Overview
- 3.1.2 Global Industrial Software Market by Value
- 3.1.3 Global Industrial Software Market by Platform (On Premise and Cloud)
- 3.1.4 Global Industrial Software Market by End User (BFSI, IT & Telecom, Manufacturing, Government, Healthcare, Retail, Aerospace & Defense and Others)
- 3.1.5 Global Industrial Software Market by Region (North America, Europe, Asia Pacific, and rest of the World (ROW))
3.2 Global Industrial Software Market: Platform Analysis
- 3.2.1 Global Industrial Software Market by Platform: An Overview
- 3.2.2 Global On Premise Industrial Software Market by Value
- 3.2.3 Global Cloud Industrial Software Market by Value
3.3 Global Industrial Software Market: End User Analysis
- 3.3.1 Global Industrial Software Market by End User: An Overview
- 3.3.2 Global BFSI Software Market by Value
- 3.3.3 Global IT & Telecom Software Market by Value
- 3.3.4 Global Manufacturing Software Market by Value
- 3.3.5 Global Government Software Market by Value
- 3.3.6 Global Healthcare Software Market by Value
- 3.3.7 Global Retail Software Market by Value
- 3.3.8 Global Aerospace & Defence Software Market by Value
- 3.3.9 Global Other Industrial Software Market by Value

4. Regional Market Analysis

4.1 North America Industrial Software Market: An Analysis
- 4.1.1 North America Industrial Software Market: An Overview
- 4.1.2 North America Industrial Software Market by Value
- 4.1.3 North America Industrial Software Market by Region (The US, Canada and Mexico)
- 4.1.4 The US Industrial Software Market by Value
- 4.1.5 Canada Industrial Software Market by Value
- 4.1.6 Mexico Industrial Software Market by Value
4.2 Europe Industrial Software Market: An Analysis
- 4.2.1 Europe Industrial Software Market: An Overview
- 4.2.2 Europe Industrial Software Market by Value
- 4.2.3 Europe Industrial Software Market by Region (Germany, The UK, France, Italy and Rest of the Europe)
- 4.2.4 Germany Industrial Software Market by Value
- 4.2.5 The UK Industrial Software Market by Value
- 4.2.6 France Industrial Software Market by Value
- 4.2.7 Italy Industrial Software Market by Value
- 4.2.8 Rest of Europe Industrial Software Market by Value
4.3 Asia Pacific Industrial Software Market: An Analysis
- 4.3.1 Asia Pacific Industrial Software Market: An Overview
- 4.3.2 Asia Pacific Industrial Software Market by Value
- 4.3.3 Asia Pacific Industrial Software Market by Region (China, Japan, South Korea, India, and Rest of Asia Pacific)
- 4.3.4 China Industrial Software Market by Value
- 4.3.5 Japan Industrial Software Market by Value
- 4.3.6 South Korea Industrial Software Market by Value
- 4.3.7 India Industrial Software Market by Value
- 4.3.8 Rest of Asia Pacific Industrial Software Market by Value
4.4 Rest of World Industrial Software Market: An Analysis
- 4.4.1 Rest of World Industrial Software Market: An Overview
- 4.4.2 Rest of World Industrial Software Market by Value

5. Impact of COVID-19

5.1 Impact of COVID-19
- 5.1.1 Impact of COVID-19 on Industrial Software Market
- 5.1.2 Post-COVID Scenario

6. Market Dynamics

6.1 Growth Drivers
- 6.1.1 Growing Electronics Industry
- 6.1.2 Surging Adoption of Industrial Cloud Computing Technology
- 6.1.3 Rapid Installations of Industrial Robots
- 6.1.4 Growing Spending on Software
- 6.1.5 Rise of Industry 4.0
- 6.1.6 Growing Need to Improve Operational Efficiency
- 6.1.7 Rising Adoption of Digital Transformation
6.2 Challenges
- 6.2.1 Problem of Cyber Security
- 6.2.2 High Initial Capital Investment
6.3 Market Trends
- 6.3.1 Integration of Artificial Intelligence (AI) with Industrial Software
- 6.3.2 Increasing Adoption of Industrial Internet of Things (IIoT)
- 6.3.3 Increasing Industrial Spending on R&D
- 6.3.4 Rising Implementation of Digital Twin
- 6.3.5 Growing Adoption of Automation in Raw Material Industries

7. Competitive Landscape

7.1 Global Industrial Software Players by Market Share
7.2 Global Industrial Software Market: Services & Products Offering

8. Company Profiles

8.1 IBM Corporation
- 8.1.1 Business Overview
- 8.1.2 Operating Segments
- 8.1.3 Business Strategy
8.2 Microsoft Corporation
- 8.2.1 Business Overview
- 8.2.2 Operating Segments
- 8.2.3 Business Strategy
8.3 Oracle Corporation
- 8.3.1 Business Overview
- 8.3.2 Operating Businesses
- 8.3.3 Business Strategy
8.4 Salesforce Inc.
- 8.4.1 Business Overview
- 8.4.2 Revenues From Sources
- 8.4.3 Business Strategy
8.5 SAP SE
- 8.5.1 Business Overview
- 8.5.2 Operating Segments
- 8.5.3 Business Strategy
8.6 Siemens AG (Siemens Digital Industries Software)
- 8.6.1 Business Overview
- 8.6.2 Operating Segments
- 8.6.3 Business Strategy
8.7 ABB Group
- 8.7.1 Business Overview
- 8.7.2 Operating Businesses
- 8.7.3 Business Strategy
8.8 Honeywell International Inc.
- 8.8.1 Business Overview
- 8.8.2 Operating Segments
- 8.8.3 Business Strategy
8.9 Dassault Systemes SE
- 8.9.1 Business Overview
- 8.9.2 Operating Regions
- 8.9.3 Business Strategy
8.10 Amazon.Com, Inc. (Amazon Web Services, Inc.)
- 8.10.1 Business Overview
- 8.10.2 Operating Segments
- 8.10.3 Business Strategy
8.11 Cadence Design Systems, Inc.
- 8.11.1 Business Overview
- 8.11.2 Operating Regions
- 8.11.3 Business Strategy
8.12 Synopsys Inc.
- 8.12.1 Business Overview
- 8.12.2 Operating Segments
- 8.12.3 Business Strategy

List of Tables

Table 1: Global Industrial Software Market: Services & Products Offering

List of Figures

Figure 1: Benefits of Industrial Software
Figure 2: Aspects of Industrial Software
Figure 3: Industrial Software Segmentation
Figure 4: Global Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 5: Global Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 6: Global Industrial Software Market by Platform; 2021 (Percentage, %)
Figure 7: Global Industrial Software Market by End User; 2021 (Percentage, %)
Figure 8: Global Industrial Software Market by Region; 2021 (Percentage, %)
Figure 9: Global On Premise Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 10: Global On Premise Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 11: Global Cloud Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 12: Global Cloud Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 13: Global BFSI Software Market by Value; 2017-2021 (US$ Billion)
Figure 14: Global BFSI Software Market by Value; 2022-2027 (US$ Billion)
Figure 15: Global IT & Telecom Software Market by Value; 2017-2021 (US$ Billion)
Figure 16: Global IT & Telecom Software Market by Value; 2022-2027 (US$ Billion)
Figure 17: Global Manufacturing Software Market by Value; 2017-2021 (US$ Billion)
Figure 18: Global Manufacturing Software Market by Value; 2022-2027 (US$ Billion)
Figure 19: Global Government Software Market by Value; 2017-2021 (US$ Billion)
Figure 20: Global Government Software Market by Value; 2022-2027 (US$ Billion)
Figure 21: Global Healthcare Software Market by Value; 2017-2021 (US$ Billion)
Figure 22: Global Healthcare Software Market by Value; 2022-2027 (US$ Billion)
Figure 23: Global Retail Software Market by Value; 2017-2021 (US$ Billion)
Figure 24: Global Retail Software Market by Value; 2022-2027 (US$ Billion)
Figure 25: Global Aerospace & Defence Software Market by Value; 2017-2021 (US$ Billion)
Figure 26: Global Aerospace & Defence Software Market by Value; 2022-2027 (US$ Billion)
Figure 27: Global Other Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 28: Global Other Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 29: North America Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 30: North America Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 31: North America Industrial Software Market by Region; 2021 (Percentage, %)
Figure 32: The US Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 33: The US Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 34: Canada Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 35: Canada Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 36: Mexico Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 37: Mexico Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 38: Europe Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 39: Europe Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 40: Europe Industrial Software Market by Region; 2021 (Percentage, %)
Figure 41: Germany Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 42: Germany Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 43: The UK Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 44: The UK Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 45: France Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 46: France Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 47: Italy Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 48: Italy Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 49: Rest of Europe Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 50: Rest of Europe Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 51: Asia Pacific Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 52: Asia Pacific Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 53: Asia Pacific Industrial Software Market by Region; 2021 (Percentage, %)
Figure 54: China Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 55: China Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 56: Japan Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 57: Japan Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 58: South Korea Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 59: South Korea Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 60: India Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 61: India Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 62: Rest of Asia Pacific Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 63: Rest of Asia Pacific Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 64: Rest of World Industrial Software Market by Value; 2017-2021 (US$ Billion)
Figure 65: Rest of World Industrial Software Market by Value; 2022-2027 (US$ Billion)
Figure 66: Global Electronics Industry Growth Rate; 2020-2022 (Percentage, %)
Figure 67: Global Cloud Spending Budget as a Part of Total IT Budget; 2020-2027 (Percentage, %)
Figure 68: Global Annual Installation of Industrial Robots; 2019-2024 (Thousand Units)
Figure 69: Global IT Spending Growth; 2022 & 2023 (Percentage, %)
Figure 70: Global Artificial Intelligence Software Market Revenue; 2018-2025 (US$ Billion)
Figure 71: Global Spending on Enterprise IOT Technologies; 2019-2027 (US$ Billion)
Figure 72: Global Industrial R&D Spending; 2016-2021 (Percentage, %)
Figure 73: Global Industrial Software Players by Market Share; 2021 (Percentage, %)
Figure 74: IBM Corporation Revenue by Segments; 2021 (Percentage, %)
Figure 75: Microsoft Corp. Revenue by Segment; 2022 (Percentage, %)
Figure 76: Oracle Corporation Revenues by Businesses; 2022 (Percentage, %)
Figure 77: Salesforce Inc. Revenues From Sources; 2022 (Percentage, %)
Figure 78: SAP Revenue by Segments; 2021 (Percentage, %)
Figure 79: Siemens AG Revenue by Segments; 2021 (Percentage, %)
Figure 80: ABB Group Revenues by Business Areas; 2021 (Percentage, %)
Figure 81: Honeywell International Inc. Net Sales by Segment; 2021 (Percentage, %)
Figure 82: Dassault Systemes SE Total Revenue by Region; 2021 (Percentage, %)
Figure 83: Amazon.Com, Inc. Net Sales by Segment; 2021 (Percentage, %)
Figure 84: Cadence Design Systems, Inc. Revenue by Region; 2021 (Percentage, %)
Figure 85: Synopsys Inc. Total Revenue by Segments; 2021 (Percentage, %)