PUBLISHER: Roots Analysis | PRODUCT CODE: 1830062
PUBLISHER: Roots Analysis | PRODUCT CODE: 1830062
As per Roots Analysis, the global system integration market size is estimated to grow from USD 520.9 billion in the current year to USD 1,521 billion by 2035, at a CAGR of 11.31% during the forecast period, till 2035.
The opportunity for system integration market has been distributed across the following segments:
Type of Service
Type of Enterprise
Type of Vertical
Geographical Regions
System Integration Market: Growth and Trends
System integration involves the process of combining various components, systems, and applications within a company into a cohesive, interoperable system that operates as a unified whole. This process integrates hardware, software, and data from multiple sources to streamline operations, enhance communication, and improve overall operational effectiveness.
The system integration sector is currently witnessing growth due to several compelling factors that are altering the dynamics of the integration market. A major factor driving this growth is the rising need for seamless connectivity among different systems, which is crucial for operational effectiveness and innovation. As businesses increasingly implement enterprise resource planning (ERP) systems, the outlook for ERP integrations appears promising. Companies are becoming more aware of the necessity for real-time data integration, enabling them to make timely decisions and improve overall performance, thereby boosting market demand. This capability not only optimizes processes but also ensures that businesses can stay agile and responsive to changes in the market.
Moreover, the influence of the Internet of Things (IoT) on system integration is generating significant opportunities for industry players to create customized solutions tailored to specific applications. As a result of these driving factors, the system integration market is expected to grow significantly throughout the forecast period.
System Integration Market: Key Segments
Based on type of service, the global system integration market is segmented into application integration, consulting, and infrastructure integration. According to our estimates, currently, the application integration sector captures the majority of the market share. This can be attributed to the increasing emphasis of businesses on achieving seamless connectivity among different applications and data sources to enhance operational efficiency. The surge in cloud-based applications and software-as-a-service solutions has significantly increased the demand for application integration. Application integration enables users to maintain and oversee all their applications in real-time while reducing data redundancy and repetition.
However, the infrastructure integration segment is expected to grow at a higher CAGR during the forecast period, due to the trend towards modernizing legacy systems. Organizations are updating and optimizing their IT environments to boost performance, scalability, and security. Furthermore, the emergence of a hybrid IT model, which integrates cloud and on-premises resources, expands the need for cohesive management to ensure optimal performance across all environments.
Based on type of enterprise, the global system integration market is segmented into large enterprises and small and medium enterprises. According to our estimates, currently, the large enterprises captures the majority of the market share during the forecast period. This can be ascribed to their intricate IT infrastructure that necessitates advanced system integration solutions for ensuring smooth connectivity across diverse platforms.
On the other hand, the small and medium-sized enterprises are expected to grow at a higher CAGR during the forecast period, owing to their increasing adoption of innovative technologies and digital transformation efforts. SMEs must utilize technology to compete with larger corporations, where system integration enables them to remain agile, improve operational efficiency, and provide an enhanced customer experience.
Based on type of vertical, the global system integration market is segmented into BFSI, energy and utilities, government, healthcare, IT & telecom, manufacturing, retail and e-commerce, and others. According to our estimates, currently, the BFSI segment captures the majority of the market share. This can be attributed to the significant uptake of digital technologies by financial institutions. System integration delivers improved customer experiences more efficient operations, and superior risk management, leading to increased demand.
On the other hand, the IT & telecom sector is expected to grow at a higher CAGR during the forecast period. This growth can be attributed to the global deployment of 5G networks, which requires system integration to enhance connectivity and oversee network infrastructure.
Based on geographical regions, the system integration market is segmented into North America, Europe, Asia, Latin America, Middle East and North Africa, and the rest of the world. According to our estimates, currently, North America captures the majority share of the market. However, the market in Asia Pacific is expected to grow at relatively higher CAGR during the forecast period.
The primary driver of this growth is the region's rapidly expanding economy, which has increased the demand for automation and integrated IT infrastructure across various sectors. In addition, the growing government support for digital transformation, especially in China, India, and Japan, is enhancing the market outlook.
System Integration Market: Research Coverage
The report on the system integration market features insights on various sections, including:
Key Questions Answered in this Report
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