“Global Platform Engineering Services Market to reach a market value of 27.0 Billion by 2031 growing at a CAGR of 23.2%”
The Global Platform Engineering Services Market size is expected to reach $27 billion by 2031, rising at a market growth of 23.2% CAGR during the forecast period.
The rising demand for these services in the region is a result of the European Union's emphasis on data privacy and security, as well as its strong emphasis on digital transformation, as evidenced by government initiatives like the European Digital Strategy. Consequently, the European region would acquire nearly 30% of the total market share by 2031.
The major strategies followed by the market participants are Acquisitions as the key developmental strategy to keep pace with the changing demands of end users. For instance, in May, 2024, IBM Corporation announced the acquisition of SKYARCH NETWORKS, a Japanese firm specializing in Amazon Web Services (AWS). This move will enhance IBM Consulting’s capacity to support clients in cloud transformation and underscores IBM’s dedication to strategic partners like AWS, crucial for leveraging data and scaling generative AI. Moreover, in July, 2024, ServiceNow, Inc. announced the acquisition of Raytion, an internationally operating IT business consultancy to boost GenAI-powered search and knowledge management on the Now Platform. Raytion’s advanced information retrieval technology will provide unified, real-time access to critical business data from various sources, enhancing AI search capabilities for a more efficient and personalized experience on a single platform.
Based on the Analysis presented in the KBV Cardinal matrix; Microsoft Corporation and Google LLC are the forerunners in the Market. In January, 2023, Microsoft Corporation announced the acquisition of Fungible Inc., a company specializing in composable infrastructure for enhancing datacenter networking and storage with efficient, low-power data processing units (DPUs). Fungible's technology supports high-performance, scalable datacenter infrastructure. The Fungible team will integrate with Microsoft's datacenter engineering division to drive DPU solutions and network innovations. Companies such as Cisco Systems, Inc., IBM Corporation, and Oracle Corporation are some of the key innovators in Market.
The adoption of DevOps and Continuous Integration/Continuous Deployment (CI/CD) practices has transformed software development. These services are critical in effectively implementing DevOps and CI/CD practices. They provide the necessary infrastructure to automate testing, integration, and deployment, enhancing the speed and quality of software delivery. Hence, as more organizations aim to accelerate their software development pipelines, the demand for these services continues to grow.
Unlike traditional monolithic architectures, where all components of an application are tightly integrated, microservices architecture breaks down complex applications into smaller, independent services. As more businesses adopt microservices, particularly in sectors such as e-commerce, financial services, and cloud-based applications, the demand for these services continues to grow. Thus, as the microservices trend expands, the role of platform engineering in facilitating smooth, reliable, and scalable service-based applications will become increasingly vital, further driving the market for these services.
Platform engineering is a highly specialized field that requires in-depth knowledge across various domains, such as cloud architecture, software development, automation, DevOps practices, and cybersecurity. This talent shortage directly impacts organizations' ability to implement platform engineering solutions effectively. Hence, the shortage of skilled workforce may hamper the market's growth.
The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The above illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies in order to cater demand coming from the different industries. The key developmental strategies in the market are Acquisitions.
On the basis of organization size, the market is classified into large enterprises and SMEs. The SMEs segment recorded 38% revenue share in the market in 2023. As SMEs increasingly prioritize digitalization to improve operational efficiency and compete in a fast-evolving business landscape, their adoption of these services has grown.
Based on product, the market is classified into DAW systems, mixers, interfaces, power amplifiers, PA systems, network switches, processors, speakers, headphones, microphones, and others. The PA systems segment procured 15% revenue share in the market in 2023. Public Address (PA) systems are extensively employed in large venues, including concert halls, theaters, and corporate events, where the delivery of speeches, music, and performances is contingent upon the clear and powerful amplification of sound.
Based on type, the market is segmented into design & architecture, development & implementation, support & maintenance, optimization & performance tunings, integration & migration, and others. The support & maintenance segment recorded 19% revenue share in the market in 2023. As organizations rely on these services for critical operations, ongoing support, troubleshooting, and system maintenance have become essential.
Based on deployment, the market is bifurcated into cloud and on-premises. The on-premises segment procured 34% revenue share in the market in 2023. On-premises solutions are the preferred choice for numerous organizations, particularly those with more regulations such as finance and healthcare, as they offer better control over infrastructure, data security, and compliance.
Free Valuable Insights: Global Platform Engineering Services Market size to reach USD 27.0 Billion by 2031
Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The North America segment garnered 38% revenue share in the market in 2023. In addition to the early adoption of emerging technologies, the rise can be ascribed to the presence of major technological companies such as Amazon Web Services (AWS), Microsoft, Google, and IBM.
The Market is highly competitive, with a diverse range of players offering customized solutions for enterprise needs. Companies focus on innovation, scalability, and integration capabilities, making differentiation crucial. Key competitors include established IT service providers, specialized engineering firms, and emerging startups.
| Report Attribute | Details |
|---|---|
| Market size value in 2023 | USD 5.3 Billion |
| Market size forecast in 2031 | USD 27.0 Billion |
| Base Year | 2023 |
| Historical Period | 2020 to 2022 |
| Forecast Period | 2024 to 2031 |
| Revenue Growth Rate | CAGR of 23.2% from 2024 to 2031 |
| Number of Pages | 338 |
| Tables | 493 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Competitive Landscape, Market Share Analysis, Porter’s 5 Forces Analysis, Company Profiling, Companies Strategic Developments, SWOT Analysis, Winning Imperatives |
| Segments covered | Deployment, Organization Size, Vertical, Type, Region |
| Country scope |
|
| Companies Included | Amazon Web Services, Inc. (Amazon.com, Inc.), Cisco Systems, Inc., Google LLC (Alphabet Inc.), Hewlett Packard Enterprise Company, IBM Corporation, Microsoft Corporation, Oracle Corporation, Salesforce, Inc., SAP SE and ServiceNow, Inc. |
By Deployment
By Organization Size
By Vertical
By Type
By Geography
This Market size is expected to reach $27 billion by 2031.
Growing adoption of microservices architecture are driving the Market in coming years, however, High initial investment costs restraints the growth of the Market.
Amazon Web Services, Inc. (Amazon.com, Inc.), Cisco Systems, Inc., Google LLC (Alphabet Inc.), Hewlett Packard Enterprise Company, IBM Corporation, Microsoft Corporation, Oracle Corporation, Salesforce, Inc., SAP SE and ServiceNow, Inc.
The expected CAGR of this Market is 23.2% from 2024 to 2031.
The Cloud segment is generating the highest revenue in the Global Platform Engineering Services Market by Deployment in 2023; thereby, achieving a market value of $17.4 billion by 2031.
The North America region dominated the Market by Region in 2023, and would continue to be a dominant market till 2031; thereby, achieving a market value of $9.9 billion by 2031.
Our team of dedicated experts can provide you with attractive expansion opportunities for your business.
Unique Offerings 