Microservices Architecture Global Market Report 2024

The microservices architecture market size has grown rapidly in recent years. It will grow from $5.34 billion in 2023 to $6.41 billion in 2024 at a compound annual growth rate (CAGR) of 20.0%. The growth during the historical period can be attributed to the ascent of cloud computing, the momentum of digital transformation, a cultural shift embracing DevOps practices, the increasing demand for scalability, and the rising concerns regarding data security.

The microservices architecture market size is expected to see rapid growth in the next few years. It will grow to $13.14 billion in 2028 at a compound annual growth rate (CAGR) of 19.7%. The anticipated growth in the forecast period is driven by several factors: the increasing adoption of serverless architecture, the integration of the Internet of Things (IoT), heightened security measures, a focus on sustainability, and the utilization of microservices architecture. Major trends expected during this period encompass AI-driven DevOps practices, the implementation of event-driven architecture, continuous integration methodologies, a shift towards micro frontends in development, and improved hybrid cloud management solutions.

The surge in connected devices is anticipated to drive the expansion of the microservices architecture market in the foreseeable future. Connected devices encompass physical objects linked wirelessly to a network, such as the internet, enabling data transmission and communication among themselves or with other systems. These devices span smartphones, laptops, smart vehicles, and more. Microservices architecture-based solutions integrated into connected devices aid in developing versatile software that facilitates seamless interaction among diverse devices, protocols, and applications. This enhances the devices' capability to exchange data across various computing environments. Furthermore, microservices architecture facilitates continuous upgrades, integration, and maintenance of IoT applications within connected devices. For instance, as reported by Uswitch in November 2023, 92% of mobile users in the UK utilize smartphones. Additionally, according to The Office of Communications in March 2022, 21% of internet users in the UK access the internet through smartphones. This widespread usage underscores the increasing reliance on connected devices. Consequently, the proliferation of connected devices acts as a catalyst driving the growth of the microservices architecture market.

The anticipated increase in cloud adoption is set to propel the microservices architecture market in the coming years. Cloud adoption involves the shift from traditional on-premises computing resources to utilizing cloud-based services by individuals, organizations, or businesses. Microservices architecture aligns seamlessly with cloud adoption, enabling the construction of scalable, adaptable, and robust applications that fully harness the advantages offered by cloud platforms. For example, as per Microsoft Corporation in October 2023, the revenue generated by Microsoft's cloud division surged to $31.8 billion, showcasing a significant growth of 24% compared to the previous year. Consequently, the rising trend of cloud adoption stands as a pivotal driver fueling the growth of the microservices architecture market.

In the microservices architecture market, technological advancement stands as a pivotal trend. Major companies within this sector are deeply involved in the development of innovative products, such as Infosys Cortex. This customer engagement platform, introduced by Infosys Limited in January 2021, harnesses artificial intelligence (AI) and analytics to revolutionize customer care operations. Infosys Cortex operates on managed AI and analytics services, facilitating smarter and faster decision-making processes. Its primary goal is to empower businesses to reimagine customer care by infusing intelligence into customer communications, thereby delivering enhanced value. Leveraging a modular, microservices-based architecture, this platform enables organizations to achieve remarkable milestones, such as a 30% improvement in customer satisfaction through intent prediction and self-service, along with a 40% optimization of operations through the utilization of the Google cloud-powered Infosys data and analytics platform. This exemplifies the transformative impact of Infosys Cortex within the microservices architecture market, promising enhanced efficiency and intelligence in customer-centric operations.

Major companies in the microservices architecture market are concentrating on partnerships to enhance their profitability within the industry. Partnerships in the realm of microservices architecture entail collaborative relationships among various entities, organizations, or teams engaged in designing, developing, deploying, and maintaining systems based on microservices. For instance, in October 2022, Agora Publishing Services Ireland (APSI), an Ireland-based media and business service provider, along with 14 West, a US-based business administrative service provider operating collectively as Westech, joined forces with Red Hat Inc., a US-based software company. This collaboration aims to establish a modern digital services framework rooted in microservices architecture utilizing Red Hat OpenShift. Westech achieved a significant transformation in its feature delivery timeline, reducing it from months to weeks through the adoption of DevOps and embracing continuous integration and continuous deployment (CI/CD) practices. The updated architecture allows for independent scaling and updates, mitigating service interference. Westech has expanded its support for dynamic promotional content within a standardized framework, enhancing understanding of customer needs and extending its reach to a broader audience.

In June 2021, OwnBackup Ltd., a US company specializing in SaaS data protection and microservices architecture, acquired Nimmetry Inc. for an undisclosed sum. This strategic acquisition is geared towards enhancing OwnBackup Ltd.'s product portfolio within the realm of SaaS. Nimmetry Inc., also based in the US, operates within the microservices architecture market.

Major companies operating in the microservices architecture market report are Microsoft Corporation, Amazon Web Services Inc., International Business Machines Corporation, Cisco Systems Inc., Oracle Corporation, Broadcom Inc., Tata Consultancy Services Limited, Salesforce Inc., Google Cloud Platform, Cognizant Technology Solutions India Pvt. Ltd., VMware Inc., The universal process orchestrator, Twilio Inc., Citrix Systems Inc., F5 Inc., Splunk Inc., Micro Focus International PLC, TIBCO Software Inc., Red Hat Inc., Software AG, Dynatrace Inc., New Relic Inc., Suse Linux AG, HashiCorp Inc., WSO2 Inc., Docker Inc., D2iQ Inc., Lightbend Inc., Datawire Inc., Kubernetes.

North America was the largest region in the microservices architecture market in 2023. The regions covered in the microservices architecture market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the microservices architecture market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

In a microservices architecture, the main components are solutions and services. Solutions involve solving problems using a set of software programs and services within an organization. These architectures are deployed through on-premises clouds and are used across various industries such as banking, financial services, insurance, government, manufacturing, IT and telecom, retail, healthcare, energy and utilities, media, and others. They cater to both large enterprises and small and medium enterprises.

The microservices architecture market research report is one of a series of new reports that provides microservices architecture market statistics, including microservices architecture industry global market size, regional shares, competitors with a microservices architecture market share, detailed microservices architecture market segments, market trends and opportunities, and any further data you may need to thrive in the microservices architecture industry. This microservices architecture market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The microservices architecture market includes revenues earned by entities through inventory microservices and accounting microservices. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.