The Worldwide Open Source Services Industry is Expected to Reach $50 Billion by 2026ResearchAndMarkets.com
DUBLIN–(BUSINESS WIRE)–The “Open Source Services Market with COVID-19 Impact, by Service Type (Professional Services and Managed Services), Vertical (Manufacturing, BFSI, Telecommunications, Healthcare and Life Sciences, IT & ITeS ), and Region – Global Forecast to 2026” report has been added to ResearchAndMarkets.com’s offering.
The analyst estimates the global open source services market size is expected to grow at a Compound Annual Growth Rate (CAGR) of 18.2% during the forecast period, to reach USD 50.0 billion by 2026 from USD 21.7 billion in 2021.
The COVID-19 Impact on the global open source services market
The pandemic has had a positive impact on the open source services market. The COVID-19 pandemic and the proliferation of remote work environments have created new complex barriers for businesses to overcome. Adopting new business strategies or implementing new technology is a proven route to growth. Increasingly, it’s open source technology that is being chosen as organizations seek a competitive edge and the latest innovations. The percentage of open source software continues to rise with each passing year. The latest economic downturn is only accelerating a trend that was occurring long before the COVID-19 pandemic arrived.
The managed services segment is expected to grow at a higher CAGR during the forecast period
Based on services, the open source services market is segmented into two categories: professional and managed. The managed services segment for open source services is expected to grow at a higher CAGR as managed services provide all the required skillsets to maintain and upgrade solutions, which are of utmost importance in open source environments. Pre- and post-deployment questions and the needs of clients are taken care of through the managed services unit.
Healthcare and Life Sciences industry vertical to hold the highest market share in 2021
Healthcare and life sciences is one of the fastest-growing verticals with respect to the adoption of open source technologies and services due to advance clinical decision support (CDS). Using open source to advance CDS makes sense for a number of reasons. By its very nature, an open-source solution is easier to modify. Because the source code is accessible, clinicians and informaticists working together can design a CDS system that integrates organically with an organization’s clinical workflow. Modifications are more difficult with proprietary systems, since the source code is not accessible, and the organization must hire the vendor to execute changes. In addition to the flexibility of open-source solutions, open source has the advantage of benefitting from the input of many contributing physicians and organizations, as opposed to being developed by a single vendor team.
APAC to grow at the highest CAGR during the forecast period
Asia Pacific has witnessed the advanced and dynamic adoption of new technologies and is projected to record the highest CAGR during the forecast period. In addition, the IT spending across organizations in the region is gradually increasing, which is projected to lead to a surge in the adoption of open source software solutions and services. China, Japan, and India are the leading countries in terms of the adoption of open source software solutions and services in the region. While the expenditure on technology solutions in APAC has increased, a setback is witnessed due to the recent COVID-19 pandemic. The COVID-19 pandemic makes it more urgent for business leaders across APAC to increase their rate of cloud adoption and digital transformation. Also, the current pandemic has forced the government and public sector across APAC to shift toward digital innovation and meet regulatory compliance standards, which is driving huge market opportunities for open source services vendors.
- Lower Software Licensing Cost and Simpler Management
- Compelling Need to Adopt Higher Quality Software Offering More Flexibility, Agility, and Reliability
- Rising Trend of Open Standards That Support Community and Collaborative Development
- Simple Bug Removal and Tracking and Freedom from Vendor Lock-Ins
- Abundant Support from the Community and Open Source Service Vendors
- Vulnerability to Malicious Users Restricting the Adoption of Open Source Software Products
- Free Upfront Open Source Products May Later Call for Licensed Software, Thereby Adding to Hidden Costs
- Boosting Innovation and Cultivating Better Learning
- Growing Inclination to Extend the Technical Support and Maintenance from Open Source Service Vendors
- Rising Adoption of Open Source Cloud Technology
- Open Source Software Products are Sometimes Not as User-Friendly as Commercial Versions
- Compatibility Issues with Current Applications
For more information about this report visit https://www.researchandmarkets.com/r/md50fo
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