Cloud Native Software Market Technologies Enable Digital Transformation as a key driver

The global Cloud Native Software Market is estimated to be valued at US$ 5.80 billion in 2023 and is expected to exhibit a CAGR of 7.7% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:
Cloud native software refers to applications that are built using practices inspired by cloud computing. They leverage modern software engineering approaches like containers, microservices, immutable infrastructure and declarative APIs. Cloud native applications are designed to utilize and take advantage of the flexibility, scalability and fault tolerance of cloud infrastructure. They enable enterprises to deploy and update applications quickly using automation, without traditional lengthy testing cycles. With cloud native software, businesses can build, deploy and manage applications easily in public, private and hybrid cloud environments. This makes cloud native technologies ideal for enabling digital transformation by enhancing software delivery and operations.

Market key trends:
One of the key trends driving growth in the Global Cloud Native Software Market is the increasing need for scalability and agility among enterprises. As business requirements evolve rapidly, organizations require application platforms that can support changing workloads efficiently. Traditional monolithic applications face challenges meeting these dynamic needs. In contrast, cloud native technologies facilitate continuous delivery of updates and easy scaling of applications up or down based on demand. Microservices architecture promoted by cloud native approach also provides modularity, which makes applications more scalable and resilient. This enhances an organization’s ability to respond to market changes promptly through constant software improvements.

Porter’s Analysis

Threat of new entrants: The cloud native software market has modest threat of new entrants due to high R&D costs and need for robust server infrastructure and technologies.

Bargaining power of buyers: Buyers have moderate bargaining power due to availability of numerous vendors providing similar cloud native software.

Bargaining power of suppliers: Software developers and cloud service providers have moderate bargaining power over cloud native software vendors.

Threat of new substitutes: Threat of new substitutes is low as cloud native software provides unique benefits compared to traditional infrastructure software.

Competitive rivalry: The cloud native software market experiences high competition due to presence of numerous global and local players.

Key Takeaways

The global cloud native software market is expected to witness high growth, exhibiting CAGR of 7.7% over the forecast period, due to increasing demand for scalable and agile cloud services from organizations. The market was valued at US$ 5.80 billion in 2023.

North America dominated the global cloud native software market, accounting for over 35% share in 2023. The growth in the region is driven by growing adoption of cloud native architectures by large enterprises to prevent vendor lock-in and improve reliability. Asia Pacific is expected to exhibit the highest CAGR during the forecast period attributable to surging demand for cloud services in emerging countries such as China and India.

Key players operating in the cloud native software market include Microsoft, IBM, Dynatrace, Datadog, Splunk, New Relic, GitLab, CircleCI, CloudBees, Snyk, Twistlock, Qualys, Salesforce, SAP, Adobe, Oracle, VMware, Red Hat, Rancher Labs, and Sysdig. Major players are focusing on partnerships and acquisitions to expand their cloud native solutions portfolio and customer base. For instance, in 2022, Splunk acquired Flowmill to strengthen its observability platform with application performance monitoring capabilities.

 

Read More: https://www.trendingwebwire.com/cloud-native-software-market-is-estimated-to-witness-high-growth/

6 thoughts on “Cloud Native Software Market Technologies Enable Digital Transformation as a key driver”

Leave a Comment