Application Integration Market

Global Application Integration Market Outlook for 2024 to 2034

The application integration market value is estimated to be USD 15.8 billion in 2024. The overall market is predicted to grow at a staggering CAGR of 20.3% during the forecast period. The global application integration industry share is estimated to reach a value of nearly USD 100 billion by 2034.

Application Integration Market Trends & Analysis

• With the recent shift towards event-driven application integration architectures market players are focused more on developing solutions that can support real-time event processing. Such modern integration solutions allow systems to react dynamically to changes and triggers. Leading players with capable infrastructure for research and development are taking advantage of this emerging trend.
• Application integration platforms for no-code data integration enhance the speed by nearly 2.5 times besides lowering operation costs by USD 1 to 1.5 million on average. The popularity of no-code and low-code development approaches has surged the need for adaptable application integration solutions these days.

Report Attribute	Details
Application Integration Market Size (2024)	USD 15.8 billion
Market Anticipated Forecast Value (2034)	USD 100 billion
Market Projected Growth Rate (2024 to 2034)	20.3% CAGR

Global Application Integration Market Historical Analysis Vs Forecast Outlook

The global application integration market was valued at USD 5.4 billion in 2019. In the following years, demand for application integration witnessed an unexpected upward turn due to the pandemic outbreak. The adoption of application integration services surged at 24.1% CAGR between 2019 and 2023. The overall market had reached a valuation of USD 12.8 billion in 2023.

Modern companies started looking for more ways to make money out of their digital data repository in the years 2020 and 2021. So many organizations and corporations partnered with data integration solution providers during this period. They were mostly preferring scalable integration solution providers who can complement their data monetization initiatives.

Attributes	Details
Application Integration Market Value (2019)	USD 5.4 billion
Market Revenue (2023)	USD 12.8 billion
Market Historical Growth Rate(CAGR 2019 to 2023)	24.1% CAGR

Prominent Factors Fuelling the Growth of Application Integration Market

The success of the integration platform as a service market depends on the industry type in need of application integration solutions. The creation of industry-specific integration solutions is expected to spur the demand. It mostly includes business application integration solutions that are suited to the requirements of diverse industries like healthcare, finance, or manufacturing.

A fair amount of enterprise application integration market players have shifted their attention to providing solutions for edge computing environments. On the other hand, cloud integration allows for a seamless merger of operations and workflows at the network's edge. So development of hybrid integration solutions to handle edge environments as well as cloud servers is forecasted to fuel the market growth.

Country-wise Insights

The table below lists the countries that are expected to witness higher growth trends in the advancement of their integration software market till 2034.

Regional Market Comparison	CAGR (2024 to 2034)
United States	20.4%
Japan	21.2%
United Kingdom	21.5%
South Korea	21.6%
China	20.7%

The United States Application Integration Market Leads in Technological Feature

The United States application integration market is likely to witness a CAGR of 20.4% from 2024 to 2034. This regional market value is expected to reach USD 17.8 billion by the end of this forecast period.

• A growing need for cloud integration services that can link cloud-based and on-premises apps.
• Effective SaaS integration and its application with current systems with the proliferation of SaaS apps across many business domains.
• Chinese enterprises are seeking intelligent automation and integration solutions that facilitate the implementation of AI and ML functions.

Progress of Hybrid IT Environments to Drive the United Kingdom Application Integration Market

The demand for application integration solutions and services in the United Kingdom is likely to grow at a rate of 21.5% through 2034. By the end of this forecast period, the total value of this regional market is expected to reach USD 4 billion.

• There is an increasing demand for seamless integration of real-time integration technology insights in the services sector
• Most businesses in the United Kingdom use a combination of cloud-based and on-premises technology to run their hybrid IT environments.
• As IoT technology is proliferating fast in the country, enormous volumes of data are now required to be incorporated into already-existing systems.

China's Application Integration Market is Inclined toward Edge Computing Technology

China holds a greater share of the Asia market and is likely to grow at a rate of 20.7% between 2024 and 2034. The overall market in China is likely to reach a valuation of USD 16.3 billion by the end of this forecast period.

• Growing need to have access to integrated data from several sources due to the growing information technology (IT) sector.
• An upsurge of digital transformation integration initiatives in many consumer-based service sectors of the country.
• The growing importance of edge computing environments in the country owing to strict government policies.

Service-based Companies are Driving Japan Application Integration Market

Japan follows China in the adoption of enterprise application integration solutions and is likely to expand at a rate of 21.2% through the projected years. The regional market value is further forecasted to reach USD 11.1 million by 2034.

• Changing demands of companies with concentrating more on data synchronization through strong integration solutions.
• Japanese service-based companies place a high value on a consistent and integrated customer experience over a range of touch points.
• Greater focus on legacy system integration solutions that make it easier to integrate various digital tools and systems.

South Korea Application Integration Market to Witness Most Rapid Growth

The regional market in South Korea is anticipated to witness a lucrative growth rate of 21.6% through the forecasted year. The South Korean enterprise application software industry value is expected to reach USD 6 billion by 2034 end.

• To keep up with the country's rapid economic growth seamless integration of e-commerce platforms, payment gateways, and backend systems is indispensable.
• The rising significance of data-driven decision-making in expanding and globalizing regional industries has increased the use of application integration.
• Market players in South Korea are improving customer experiences by providing technologies that allow for unified customer data and data interaction histories.

Category-wise Insights

Application Integration Platforms Garner Higher Revenue

Based on offering type, the application integration platforms market segment currently garners higher revenue than the software segment. This market segment is likely to expand at a rate of 20.1% over the next ten years.

Attributes	Details
Top Offering Type or Segment	Platforms
Market Segment Growth Rate from 2024 to 2034	20.1% CAGR
Market Segment Growth Rate from 2019 to 2023	23.8% CAGR

• The increasing need to link and utilize Internet of Things (IoT) data presents a greater opportunity for platform developers providing IoT integration solutions.
• Application integration platforms have been made more efficient by solution providers who offer pre-built connectors for well-known SaaS apps.
• The difficulties of managing hybrid IT environments can be addressed by new platforms that provide multiple integration capabilities.

Application Integration Solutions for Enterprises Rule the Market

Based on integration type, the enterprise application integration market segment leads in 2024. The enterprise application integration market trends are expected to drive the segment at 19.8% CAGR through 2034.

Attributes	Details
Top Integration Type or segment	Enterprise Application Integration
Market Segment Growth Rate from 2024 to 2034	19.8% CAGR
Market Segment Growth Rate from 2019 to 2023	23.6% CAGR

• Enterprises pursuing digital revolutions have surged the adoption of integration consulting services.
• Enterprise application integration solutions that emphasize strong security features like data encryption and access controls are in higher demand.
• Enterprise application integration service providers who specialize in middleware solutions are expected to witness higher growth.

Competitive Landscape for Application Integration Market

The market is highly consolidated as very few market players like Microsoft and IBM account for a greater market share. Cloud-friendly integration solution providers have gained a competitive edge in the present market by taking advantage of cloud computing capabilities.

Recent Developments in the Global Application Integration Market

• In October 2023, IBM introduced the Watsonx Code Assistant solution. This new solution provides generative AI-powered code generation capabilities tailored for corporate application and modernization.
• In November 2022, Turvo, Inc. announced that it had joined the MuleSoft Technology Partner Program by contributing a MuleSoft Certified API definition. This relationship is expected to be beneficial as Turvo, a global supply chain collaboration tool provider, now has a special MuleSoft Certified Connector. Its clients are expected to get efficient supply chain information and expedite integration with the Turvo Collaboration Cloud by utilizing the Turvo Connector, which is available on MuleSoft's Anypoint Exchange.

Key Players Profiled in the Application Integration Market Report

• SAP SE
• Oracle Corporation
• Salesforce Inc.
• International Business Machines (IBM) Corp
• Microsoft Corporation
• Informatica Co.

Application Integration Market Report Scope

Attribute	Details
Estimated Market Size (2024)	USD 15.8 billion
Projected Market Size (2034)	USD 100 billion
Anticipated Growth Rate (2024 to 2034)	20.3%
Forecast Period	2024 to 2034
Historical Data Available for	2019 to 2023
Market Analysis	USD million or billion for Value and Units for Volume
Key Regions Covered	North America, Latin America, Europe, Middle East & Africa (MEA), East Asia, South Asia and Oceania
Key Countries Covered	United States, Canada, Brazil, Mexico, Germany, Spain, Italy, France, United Kingdom, Russia, China, India, Australia & New Zealand, GCC Countries, and South Africa
Key Segments Covered	By Offering Type, By Integration Type, and By Region
Key Companies Profiled	SAP SE; Oracle Corporation; Salesforce Inc.; International Business Machines (IBM) Corp; Microsoft Corporation; Informatica Co.
Report Coverage	Market Forecast, Company Share Analysis, Competition Intelligence, DROT Analysis, Market Dynamics and Challenges, and Strategic Growth Initiatives
Customization & Pricing	Available upon Request

Key Segments Covered by Application Integration Industry Survey Report

By Offering Type:

• Platforms
• Software

By Integration Type:

• Enterprise Application Integration
• Enterprise Service Bus
• Point-to-point Integration
• Integration Platform as a Service (iPaaS)
• Hybrid Integrtion

By Region:

• North America Market
• Latin America Market
• Europe Market
• East Asia Market
• South Asia and Pacific Market
• Middle East and Africa (MEA) Market

Frequently Asked Questions

How Big is the Global Application Integration Market Currently?

The global application integration market is estimated to be USD 15.8 billion in 2024.

What is the Growth Outlook of the Application Integration Market?

The global application integration market is to grow at 20.3% during the forecast period.

What is the projected Value of Application Integration Market by 2033?

The global application integration market to be valued at USD 100 billion by 2034.

What was the Historical Size of the Application Integration Market?

The global application integration market was valued at USD 5.4 billion in 2019.

Which Country Dominates the Global Application Integration Market?

The United States to account for 18% revenue share of the global market by 2034.

Which Regional Application Integration Market has the Highest Growth Potential?

South Korea to witness 21.6% CAGR in adoption of application integration through 2034.