Software Testing Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 42.15 Billion |
| Market Size (2029) | USD 82.19 Billion |
| CAGR (2024 - 2029) | 14.29 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Software Testing Market Analysis
The Software Testing Market size is estimated at USD 42.15 billion in 2024, and is expected to reach USD 82.19 billion by 2029, at a CAGR of 14.29% during the forecast period (2024-2029).
- The software testing market plays a pivotal role in the software development lifecycle, safeguarding the quality, reliability, and functionality of applications. As applications grow in complexity, especially with the rise of cloud-based services and mobile apps, there's a pressing need for rigorous testing protocols to ensure smooth functionality across diverse platforms.
- Automation is emerging as a foundational element in software testing. Currently, 44% of IT companies are automating half of their testing processes, according to an industry expert survey. This shift towards automation not only curtails manual effort but also enhances accuracy and speeds up testing cycles.
- Moreover, the 'Shift-Left' approach, which advocates for the early and frequent integration of testing within the software development cycle, is on the rise. By 2024, it's projected that shift-left testing will be mainstream, allowing for concurrent functional and other types of testing alongside development.
- According to Global App Testing, the global ratio of software testers stands at 5.2 per 100,000 individuals. Ireland leads the charge with an impressive 61.2 software testers per 100,000 people. Hot on its heels, the United States and Canada share the runner-up position, each with 37.1 testers per 100,000 individuals.
- In terms of market challenges, integrating new testing tools with existing systems can be complex and resource-intensive, posing challenges for organizations looking to modernize their QA processes. Also, there is a growing need for skilled testers who are proficient in both manual and automated testing techniques, which can be challenging to find in the current job market.
- The software testing landscape has been reshaped by the COVID-19 pandemic, which hastened the shift towards automation, digital transformation, and the embrace of emerging technologies. In the post-COVID world, the adoption of Agile methodologies and DevOps practices underscores the importance of continuous integration and delivery (CI/CD). This evolution demands persistent testing throughout the development lifecycle to uphold quality standards.
Software Testing Market Trends
Automation Testing To Hold Significant Growth
- Automated testing consistently and rapidly executes tests, leading to higher defect detection rates. It significantly minimizes human error and enhances the reliability and speed of software development. According to Testlio, the adoption rate for automation testing surged from 50% to 70% in 2023.
- Test Automation can slash developers' 'Feedback Response Time' by up to 80%. Companies, when hiring developers for software testing, prioritize immediate feedback to expedite report generation. Yet, manual testing consumes considerable time. Consequently, firms are turning to automated testing experts to expedite feedback from developers.
- Moreover, over 95% of organizations deem API Testing crucial. This overwhelming adoption rate highlights API testing's pivotal role in ensuring strong and dependable integrations. Proficient API testing enables businesses to uphold smooth operations, thereby boosting overall software quality and performance.
- According to Global App Testing, roughly 25% of companies that ventured into test automation acknowledged an immediate ROI. Another 24% experienced ROI growth within the first six months, and 28% achieved a positive ROI within a year.
- With mobile technology advancing, the surge in mobile application development is evident. This evolution necessitates a shift in testing methodologies, particularly in mobile test automation. While mobile test automation is vital for bolstering DevOps, its adoption has been stunted by a scarcity of effective tools and techniques. Nonetheless, demand is anticipated to rise during the forecast period.
North America is Expected to Hold a Major Share of the Market
- Driven by technological advancements and the growing complexity of software applications, the North American software testing market is witnessing robust growth. Organizations in the region are heavily investing in Quality Assurance (QA) processes, dedicating around 40% of their development budgets to guarantee software products that align with user expectations.
- Automation is becoming integral to software testing. Approximately 30% of testers indicate that automation has supplanted 70% or more of their manual testing, underscoring the industry's pivot towards efficient testing methodologies.
- With many companies digitizing their workflows, the rise in cyber-attacks has underscored the necessity of software testing services. In 2022, the U.S. government CFO Act agencies reported "improper use" as the predominant attack vector. Notably, CFO Act agencies experienced a higher volume of cyberattacks compared to their Non-CFO counterparts.
- In today's landscape of stringent web and mobile accessibility regulations, compliance through accessibility testing is paramount. To avoid legal pitfalls and enhance their brand reputation, organizations are aligning their applications with standards like the Americans with Disabilities Act (ADA), Section 508, and the Web Content Accessibility Guidelines (WCAG) 2.1.
- Focusing on the performance of IoT devices, IoT testing is vital for boosting system productivity and averting unforeseen glitches. It enhances device control and augments network and device efficiency, accessibility, and usage. By 2025, IoT testing is projected to dominate the software testing landscape in the region, emphasizing the assurance of IoT instruments.
Software Testing Industry Overview
The Software Testing market is highly competitive and fragmented, primarily driven by the presence of major players. These key players employ strategies such as mergers, acquisitions, and product innovations to maintain a competitive edge and broaden their global footprint. Key player include QualityLogic Inc., Mindful QA, Cigniti Technologies Limited, and others.
The software testing market is poised for significant growth as organizations increasingly recognize the importance of optimizing their software quality through advanced testing solutions. With substantial growth projections driven by digital transformation, automation adoption, and a focus on security and user experience, stakeholders must navigate challenges such as integration complexity while capitalizing on emerging opportunities within this dynamic market landscape. The future looks promising for software testing as it continues to evolve to meet the demands of modern businesses globally.
Software Testing Market Leaders
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QualityLogic Inc.
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Mindful QA
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Cigniti Technologies Limited
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CGI Inc.
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Cognizant Technology Solutions Corporation
*Disclaimer: Major Players sorted in no particular order
Software Testing Market News
- October 2024: Abstracta unveiled its latest AI-powered solution, Abstracta Copilot, at the forefront of a new era in AI-driven testing, at the Quality Sense Conf 2024. Developed in collaboration with Microsoft's Co-Innovation Lab, this groundbreaking tool leverages AI to transform the software testing landscape by accelerating the testing process, streamlining documentation, reducing costs, and maximizing productivity.
- April 2024: TestGrid, a pioneering force in automation testing, both in the cloud and on-premises, announced CoTester platform. This trailblazing, first-of-its-kind AI technology is dedicated to transforming the landscape of software testing with its unparalleled capabilities. CoTester is designed to liberate software testers from the mundane, enabling them to focus on shipping revolutionary software at unparalleled speeds.
Software Testing 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 Suppliers
4.2.2 Bargaining Power of Consumers
4.2.3 Threat of New Entrants
4.2.4 Threat of Substitute Products
4.2.5 Intensity of Competitive Rivalry
4.3 Industry Value Chain Analysis
4.4 Assessment of Impact of macroeconomic trends
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Increasing Adoption of Mobile Testing
5.1.2 Growing Demand for Test Automation Services
5.2 Market Restraints
5.2.1 Lack of Skilled Professions and Availability of Free Testing Tools
6. MARKET SEGMENTATION
6.1 By Platform
6.1.1 Manual Testing
6.1.2 Automation Testing
6.2 By Type
6.2.1 Unit Testing
6.2.2 Functional Testing
6.2.3 Integration Testing
6.2.4 Performance Testing
6.2.5 Other Types
6.3 By End-user Vertical
6.3.1 BFSI
6.3.2 IT and Telecom
6.3.3 Healthcare
6.3.4 Manufacturing
6.3.5 Retail
6.3.6 Government
6.3.7 Other End-user Verticals
6.4 By Geography***
6.4.1 North America
6.4.2 Europe
6.4.3 Asia
6.4.4 Latin America
6.4.5 Middle East and Africa
6.4.6 Australia and New Zealand
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles
7.1.1 QualityLogic Inc.
7.1.2 Mindful QA
7.1.3 Cigniti Technologies Limited
7.1.4 CGI Inc.
7.1.5 Cognizant Technology Solutions Corporation
7.1.6 A1QA
7.1.7 QASource Inc.
7.1.8 ScienceSoft USA Corporation
7.1.9 Capgemini SE
7.1.10 Moolya Software Testing Private Limited
- *List Not Exhaustive
8. INVESTMENT ANALYSIS
9. FUTURE OUTLOOK OF THE MARKET
Software Testing Industry Segmentation
Software testing is the process of assessing the functionality of a software program. The process checks for errors and gaps and whether the outcome of the application matches desired expectations before the software is installed and goes live.
The software testing market is segmented by platform (manual testing, automation testing), by type (unit testing, functional testing, integration testing, performance testing, other types), end-user verticals (BFSI, IT and telecom, healthcare, manufacturing, retail, government, other end-user verticals), geography (North America, Europe, Asia-Pacific, Latin America, Middle East and Africa). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
| By Platform | |
| Manual Testing | |
| Automation Testing |
| By Type | |
| Unit Testing | |
| Functional Testing | |
| Integration Testing | |
| Performance Testing | |
| Other Types |
| By End-user Vertical | |
| BFSI | |
| IT and Telecom | |
| Healthcare | |
| Manufacturing | |
| Retail | |
| Government | |
| Other End-user Verticals |
| By Geography*** | |
| North America | |
| Europe | |
| Asia | |
| Latin America | |
| Middle East and Africa | |
| Australia and New Zealand |
Software Testing Market Research FAQs
How big is the Software Testing Market?
The Software Testing Market size is expected to reach USD 42.15 billion in 2024 and grow at a CAGR of 14.29% to reach USD 82.19 billion by 2029.
What is the current Software Testing Market size?
In 2024, the Software Testing Market size is expected to reach USD 42.15 billion.
Who are the key players in Software Testing Market?
QualityLogic Inc., Mindful QA, Cigniti Technologies Limited, CGI Inc. and Cognizant Technology Solutions Corporation are the major companies operating in the Software Testing Market.
Which is the fastest growing region in Software Testing 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 Testing Market?
In 2024, the North America accounts for the largest market share in Software Testing Market.
What years does this Software Testing Market cover, and what was the market size in 2023?
In 2023, the Software Testing Market size was estimated at USD 36.13 billion. The report covers the Software Testing Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Software Testing Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Software Testing Industry Report
Statistics for the 2024 Software Testing market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Software Testing analysis includes a market forecast outlook for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
