Software Composition Analysis Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | 21.70 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | North America |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Software Composition Analysis Market Analysis
The software composition analysis market is expected to register a CAGR of 21.7% over the forecasted period. due to the increasing reliance on open-source software (OSS) and the growing penetration of IoT and cloud-based services across numerous industries. SCA gives organizations automated visibility into OSS to provide security risk management, licensing compliance, security, and other management services against various risks, including open source vulnerabilities. This makes it a safer and more popular choice for organizations.
- With the increased use of open source codes, the number of open source vulnerabilities and threats is increasing, as is the acceptance of software composition analysis to successfully counter the risks. Open source software (OSS) has its advantages, such as simplicity of integration, a wide range of components, zero cost, and so on, as well as disadvantages, such as OSS license compliance risk, OSS security risk, OSS quality risk, and so on. These open-source vulnerabilities provide extraordinarily lucrative potential for hackers. According to Sonatype's sixth annual state of the software supply chain study, there has been a 430% increase in next-generation assaults that target open-source component vulnerabilities directly to infect software supply chains.
- According to the Reserve Bank of India, PhonePe had a 46% share of universal payments interface (UPI) usage in India in the last fiscal year, followed by Google Pay with a 34% share. Leading fintech companies have been important drivers of UPI adoption in India. The study market could grow as a result of the widespread use of mobile payments.
- SCA tools check package managers, manifest files, source code, binary files, container images, and other objects. The open source is assembled into a bill of materials (BOM), which is then compared against several databases, including the National Vulnerability Database. These databases contain information on known and prevalent security flaws. The National Vulnerability Database (NVD) is a vulnerability database maintained by the US government. Synopsys' internal vulnerability database, Black Duck KnowledgeBase, is the industry's most complete compilation of open-source project, licensing, and security information.
- In the last few years, businesses have used online transactions more because of the pandemic.COVID-19 and the resulting constraints compelled people to conduct more business online. The necessity of digital transformation influenced firms' time to market. Businesses reduce the time it takes to bring things to market, whether in chains, pieces, or versions. On the other hand, these firms must exercise extreme caution to avoid leaking data or allowing room for vulnerabilities or exploits. For security reasons, every version of a product that is launched must go through the SCA procedure. Such a transition toward digitalization would have created opportunities for the previously researched market during the pandemic.
- One of the most significant barriers to the adoption of software composition analysis is the scarcity of skilled workers. Due to a lack of training and skilled staff, each maintenance crew member devises their own methods for using the program. As a result, the database grows more complicated and disorganized. The organizations are unable to access the paid-for time-saving features. As a result, competent labor is one of the most significant issues in the software composition analysis industry.
Software Composition Analysis Market Trends
This section covers the major market trends shaping the Software Composition Analysis Market according to our research experts:
Cloud Segment is one of the Factor Driving the Market
- Due to the growing acceptance of cloud-based software and solutions across industries, cloud deployment is seeing the fastest growth rate during the anticipated period. Due to the cost-efficiency of the deployment, small and medium-sized businesses (SMEs) are where adoption is most prevalent. The cloud deployment option makes it easy for multiple sites to work together without having to install software or keep up with extra hardware.
- Cloud computing is expected to command a sizable market share and even accelerate growth. The cost and operational benefits offered by the deployment mode are expected to shift the trend away from the on-premise deployment model over the forecasted period. For instance, according to the study by NTT Ltd., over half of the respondents (52%) mentioned that the cloud would have the most transformational impact on their organization's business operations.
- The cloud has proven itself economically and operationally by allowing organizations of all sizes to focus on their core competencies while transferring IT infrastructure, connectivity, and management responsibility to cloud providers who excel at developing and delivering these services. Further, the telecommunications industry is changing. This is due to rapidly expanding technology, increased demand, client base diversification, the need for current products and services at low rates, and the integration of several sectors, such as satellite and cable, with existing telecommunications. Thus, the implementation of enterprise-integrated software is anticipated to assist CSPs (cloud service providers) in managing and administering various systems and applications across multiple functions by enabling them to achieve logical business process integration across different independent application systems.
- Further, Prisma Cloud has added Software Composition Analysis (SCA) to its cloud-native application protection platform to assist teams in obtaining code security that is as tightly linked as the apps they need to protect. This development builds on our industry-leading basic IaC security capabilities and makes possible the first context-aware SCA solution that can include the infrastructure context in application security.
- Furthermore, public cloud spending is a significant line item in IT budgets. The increasing use of the public cloud is driving up cloud spending for organizations of all sizes. According to a survey conducted by Flexera, 37 percent of enterprises said their annual IT spend exceeded USD 12 million, and 80% reported that their cloud spending exceeds USD 1.2 million per year.
North America is Expected to Hold Major Share
- North America is expected to dominate the market due to its early embrace of new technologies, growing use of digital banking systems, and rising cyber threats. In addition, the strict rules set by the government, the rise of online shopping, and the presence of major market players in the area are all helping the industry grow.
- WhiteSource disclosed that it had acquired Diffend, an open-source malware security and threat detection tool. Differnd's commercial offerings will be free to use following the acquisition under the new brand WhiteSource Diffend.WhiteSource can now offer cutting-edge platforms to cut down on risk in the software supply chain.
- Additionally, President Biden urged the public and private sectors to safeguard the US software supply chain by requesting vendors to show secure development standards utilizing a software bill of materials. The software components of goods sold to the government are transparent thanks to an SBOM, as are any possible dangers. Such practices are expected to drive the market.
- In September last year, Veracode, a global provider of application security testing solutions, and Cybeats Technologies, Inc., a software supply chain risk and security technology provider, announced a collaborative relationship. The alliance will take advantage of complementary skills to guarantee that consumers obtain the best cybersecurity solutions. Customers can buy SBOM Studio, a software supply chain security solution from Cybeats, through Veracode Partners, and the two companies will look into doing business together.
- In February last year, organizations increasingly required application security strategies that managed this risk as the hazards posed by open-source components became more prominent thanks to vulnerabilities making headlines like Log4 Shell. Invicti Security has released its software composition analysis product to help businesses monitor, scan, and secure the open-source parts of their applications.
Software Composition Analysis Industry Overview
The software composition analysis market is moderately competitive and consists of several major players. In terms of market share, a few of these players currently dominate the market. To stay ahead of the competition and expand their global reach, influential companies use mergers and acquisitions as well as product innovation.
In January 2023, Apona Security, a security solutions provider that helps enterprises and managed service providers (MSPs) manage data and improve security across their patented product suites, will launch Apona, a software composition analysis (SCA) tool that detects vulnerabilities in libraries and code, including code fragments. This new security solution tries to fix the security problems caused by OSS reuse. It does this by closely analyzing security holes with highly effective proprietary technologies and helping businesses stay compliant and safe.
In September 2022, Palo Alto Networks released the first context-aware software composition analysis (SCA) tool to help developers secure open-source software components. Palo Alto Networks' position as the industry leader in cloud-native security is reinforced by introducing SCA into Prisma Cloud. Traditional SCA solutions are stand-alone products that can create many alarms but lack the runtime context to aid in problem identification and resolution. SCA would let developers and security teams find and prioritize known vulnerabilities that affect the application lifecycle of the Prisma Cloud platform.
Software Composition Analysis Market Leaders
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Synopsys, Inc.
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Sonatype Inc.
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WhiteHat Security, Inc.
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Veracode Inc.
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WhiteSource Software Inc.
*Disclaimer: Major Players sorted in no particular order
Software Composition Analysis Market News
- February 2023: SOOS has announced a new cooperation with Vanta to make it easier to declare software dependencies to fulfill worldwide security, privacy, and regulatory standards. Vanta helps businesses automate their compliance with the most important security and privacy frameworks, like SOC 2, ISO 27001, HIPAA, GDPR, and others, and scale their security processes.
- September 2022: Revenera, a provider of solutions that assist technology companies in building better products, accelerating time to value, and monetizing what matters, has released Revenera SBOM Insights. This SaaS solution assists software companies in managing their software bills of materials built from multiple sources. Revenera SBOM Insights improve the completeness and correctness of SBOMs, allowing for increased supply chain collaboration, transparency, and excellent security measures. Revenera SBOM Insights compiles open-source and third-party component data from SCA scans and other sources, such as partners, third-party developers, and other software providers.
Software Composition Analysis Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Attractiveness- Porter's Five Forces Analysis
4.2.1 Bargaining Power of Buyers/Consumers
4.2.2 Bargaining Power of Suppliers
4.2.3 Threat of New Entrants
4.2.4 Threat of Substitute Products
4.2.5 Intensity of Competitive Rivalry
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Commercial and IoT-based Software Products' Dependence on Open-Source Codes
5.1.2 Strict Laws & Regulations and Growing Levels of Threats and Risks in Open-Source Codes
5.2 Market Restraints
5.2.1 Shortage of Technical Expertise Amongst the Enterprise Workforce
5.2.2 Smooth Services and Agility Due to Devops Repress the Growth
5.3 Industry Value Chain Analysis
5.4 Assessment of Impact of COVID-19 on the Industry
6. MARKET SEGMENTATION
6.1 By Component
6.1.1 Solution
6.1.2 Services
6.2 By Deployment Mode
6.2.1 Cloud
6.2.2 On-premises
6.3 By Industry Vertical
6.3.1 IT & Telecom
6.3.2 BFSI
6.3.3 Retail & E-Commerce
6.3.4 Government
6.3.5 Other Industry Verticals (Healthcare, Automotive)
6.4 Geography
6.4.1 North America
6.4.2 Europe
6.4.3 Asia-Pacific
6.4.4 Latin America
6.4.5 Middle East and Africa
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles*
7.1.1 Synopsys, Inc.
7.1.2 Sonatype Inc.
7.1.3 WhiteHat Security, Inc.
7.1.4 Veracode Inc.
7.1.5 WhiteSource Software Inc.
7.1.6 Flexera Inc.
7.1.7 Contrast Security, Inc.
7.1.8 NexB, Inc
7.1.9 Dahua Technology Co., Ltd.
7.1.10 SourceClear Inc.
7.1.11 Rogue Wave Software
8. INVESTMENT ANALYSIS
9. MARKET OPPORTUNITIES AND FUTURE TRENDS
Software Composition Analysis Industry Segmentation
Software composition analysis (SCA) is a software tool utilized to provide security from possible cyber threats. The software is accountable for conducting complete software code security analysis and monitoring open-source contents at every stage of the software development life cycle (SDLC). There are a wide range of SCA tools on the market that can be used to manage the quality, security, and license compliance risks that come from using open-source and third-party code in applications.
The Software Composition Analysis Market is split up by component (solutions, services), deployment mode (cloud, on-premises), industry vertical (IT & Telecom, BFSI, Retail & ECommerce), and geography (North America, Europe, Asia Pacific, Latin America, the Middle East, and Africa).
The market sizes and forecasts are provided in terms of value (USD million) for all the above segments.
| By Component | |
| Solution | |
| Services |
| By Deployment Mode | |
| Cloud | |
| On-premises |
| By Industry Vertical | |
| IT & Telecom | |
| BFSI | |
| Retail & E-Commerce | |
| Government | |
| Other Industry Verticals (Healthcare, Automotive) |
| Geography | |
| North America | |
| Europe | |
| Asia-Pacific | |
| Latin America | |
| Middle East and Africa |
Software Composition Analysis Market Research FAQs
What is the current Software Composition Analysis Market size?
The Software Composition Analysis Market is projected to register a CAGR of 21.70% during the forecast period (2024-2029)
Who are the key players in Software Composition Analysis Market?
Synopsys, Inc. , Sonatype Inc. , WhiteHat Security, Inc., Veracode Inc. and WhiteSource Software Inc. are the major companies operating in the Software Composition Analysis Market.
Which is the fastest growing region in Software Composition Analysis Market?
Asia-Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Software Composition Analysis Market?
In 2024, the North America accounts for the largest market share in Software Composition Analysis Market.
What years does this Software Composition Analysis Market cover?
The report covers the Software Composition Analysis Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Software Composition Analysis Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Software Composition Analysis Industry Report
Statistics for the 2023 Software Composition Analysis market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Software Composition Analysis analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
