Global Software Composition Analysis Market Size, Share & Trends Analysis Report By Deployment (Cloud and On-Premise), By Component, By Enterprise Size, By End-use, By Regional Outlook and Forecast, 2024 - 2031
The Global Software Composition Analysis Market size is expected to reach $952.4 million by 2031, rising at a market growth of 18.3% CAGR during the forecast period.
Modern vehicles have advanced software systems for navigation, infotainment, autonomous driving, and vehicle-to-everything (V2X) communication. Managing and securing these systems' various software components and open-source libraries is critical, and SCA tools provide the necessary oversight. The trend towards software-defined vehicles, where software controls various aspects of vehicle functionality, requires rigorous management of software components to ensure reliability and safety. SCA tools help maintain the integrity of these components.
Open-source components have become integral to modern software development due to their cost-effectiveness, flexibility, and community-driven innovation. Many organizations use open-source libraries, frameworks, and tools to accelerate development and reduce costs.
Additionally, SCA tools need to be capable of managing and securing components across these heterogeneous environments, ensuring comprehensive coverage and effective risk management. Therefore, the growing complexity of software environments is propelling the market's growth.
However, hiring or training staff to handle these responsibilities can add to the overall cost burden. Training staff to effectively use and manage SCA tools can be costly. Organizations must allocate resources for training programs to ensure that their teams are proficient in using the tools and understanding the insights they provide. In conclusion, high implementation and maintenance costs hamper the market's growth.
Deployment Outlook
On the basis of deployment, the market is segmented into cloud and on-premise. In 2023, the on-premise segment attained 42% revenue share in the market. On-premise deployments allow organizations to retain complete control over their data and infrastructure.
Component Outlook
Based on component, the market is divided into solution and services. In 2023, the solution segment garnered 68% revenue share in the software composition analysis market. Modern software applications incorporate various components, including open-source libraries and third-party modules.
Services Outlook
The services segment is further subdivided into professional services and managed services. The professional services segment attained 65% revenue share in the market in 2023. Implementing SCA solutions can be complex, especially in large or diverse IT environments.
Enterprises Size Outlook
Based on enterprise size, the market is segmented into large enterprises and small & medium enterprises (SMEs). The small & medium enterprises (SMEs) segment witnessed 42% revenue share in the market in 2023. Due to cost-effectiveness and access to advanced functionalities, SMEs are increasingly incorporating open-source software and third-party libraries into their applications.
End-Use Outlook
By end-use, the market is divided into BFSI, IT & telecom, manufacturing, government & defense, retail & e-commerce, automotive, healthcare, and others. In 2023, the BFSI segment registered 24% revenue share in the market. Financial institutions handle highly sensitive data, including personal, financial, and transactional information.
Regional Outlook
Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. In 2023, the Asia Pacific region generated 27% revenue share in the software composition analysis market. The Asia Pacific region has witnessed a surge in cyber threats and security breaches.
Recent Strategies Deployed in the Market
2024-Jun: Checkmarx Ltd. entered a partnership with DXC Technology, an American IT company, to offer the Checkmarx One platform globally. The partnership would deliver comprehensive protection across the SDLC, reduce risk, accelerate market delivery, and customize services for customers.
2024-Jun: Mend.io launched MendAI, an application security tool that identifies AI-generated code and expands software composition analysis to include AI model versioning. This helps manage licensing and compliance issues as AI-generated code becomes a cybersecurity target, emphasizing the need for integrated MLOps and MLSecOps workflows to address emerging threats.
2024-May: Sonatype, Inc. signed an integration partnership with ServiceNow, an American software company. This integration enhances collaboration, speeds up remediation, and offers a unified vulnerability management experience, helping organizations efficiently address and mitigate security risks in open-source software.
2024-Apr: Synopsys, Inc. released Black Duck Supply Chain Edition, a software composition analysis tool designed to mitigate software supply chain risks. It features open-source detection, automated SBOM analysis, malware detection, and license compliance management, enabling development and security teams to identify and resolve vulnerabilities in open source, third-party, and AI-generated code.
2024-Mar: Synopsys, Inc. teamed up with NTT DATA, an IT company, to enhance application security through advisory and managed services. The collaboration would improve vulnerability detection, compliance, and risk management in software supply chains, supporting clients against cybersecurity threats.
List of Key Companies Profiled
Synopsys, Inc.
Sonatype, Inc.
White Source Ltd. (Mend)
Veracode, Inc. (Thoma Bravo)
Flexera Software LLC
Contrast Security, Inc.
nexB Inc.
Snyk Limited
Checkmarx Ltd.
FOSSA, Inc.
Global Software Composition Analysis Market Report Segmentation
By Deployment
Cloud
On-Premise
By Component
Solution
Services
Professional Services
Managed Services
By Enterprise Size
Large Enterprise
Small & Medium Enterprise
By End-use
BFSI
Government & Defense
Healthcare
IT & Telecom
Automotive
Manufacturing
Retail & eCommerce
Others
By Geography
North America
US
Canada
Mexico
Rest of North America
Europe
Germany
UK
France
Russia
Spain
Italy
Rest of Europe
Asia Pacific
China
Japan
India
South Korea
Singapore
Malaysia
Rest of Asia Pacific
LAMEA
Brazil
Argentina
UAE
Saudi Arabia
South Africa
Nigeria
Rest of LAMEA
Table of Contents
Chapter 1. Market Scope & Methodology
1.1 Market Definition
1.2 Objectives
1.3 Market Scope
1.4 Segmentation
1.4.1 Global Software Composition Analysis Market, by Deployment
1.4.2 Global Software Composition Analysis Market, by Component
1.4.3 Global Software Composition Analysis Market, by Enterprise Size
1.4.4 Global Software Composition Analysis Market, by End-use
1.4.5 Global Software Composition Analysis Market, by Geography
1.5 Methodology for the research
Chapter 2. Market at a Glance
2.1 Key Highlights
Chapter 3. Market Overview
3.1 Introduction
3.1.1 Overview
3.1.1.1 Market Composition and Scenario
3.2 Key Factors Impacting the Market
3.2.1 Market Drivers
3.2.2 Market Restraints
3.2.3 Market Opportunities
3.2.4 Market Challenges
3.3 Porter Five Forces Analysis
Chapter 4. Recent Strategies Deployed in Software Composition Analysis Market
Chapter 5. Global Software Composition Analysis Market by Deployment
5.1 Global Cloud Market by Region
5.2 Global On-Premise Market by Region
Chapter 6. Global Software Composition Analysis Market by Component
6.1 Global Solution Market by Region
6.2 Global Services Market by Region
6.3 Global Software Composition Analysis Market by Services Type
6.3.1 Global Professional Services Market by Region
6.3.2 Global Managed Services Market by Region
Chapter 7. Global Software Composition Analysis Market by Enterprise Size
7.1 Global Large Enterprise Market by Region
7.2 Global Small & Medium Enterprise Market by Region
Chapter 8. Global Software Composition Analysis Market by End-use
8.1 Global BFSI Market by Region
8.2 Global Government & Defense Market by Region
8.3 Global Healthcare Market by Region
8.4 Global IT & Telecom Market by Region
8.5 Global Automotive Market by Region
8.6 Global Manufacturing Market by Region
8.7 Global Retail & eCommerce Market by Region
8.8 Global Others Market by Region
Chapter 9. Global Software Composition Analysis Market by Region
9.1 North America Software Composition Analysis Market
9.1.1 North America Software Composition Analysis Market by Deployment
9.1.1.1 North America Cloud Market by Region
9.1.1.2 North America On-Premise Market by Region
9.1.2 North America Software Composition Analysis Market by Component
9.1.2.1 North America Solution Market by Country
9.1.2.2 North America Services Market by Country
9.1.2.3 North America Software Composition Analysis Market by Services Type
9.1.2.3.1 North America Professional Services Market by Country
9.1.2.3.2 North America Managed Services Market by Country
9.1.3 North America Software Composition Analysis Market by Enterprise Size
9.1.3.1 North America Large Enterprise Market by Country
9.1.3.2 North America Small & Medium Enterprise Market by Country
9.1.4 North America Software Composition Analysis Market by End-use
9.1.4.1 North America BFSI Market by Country
9.1.4.2 North America Government & Defense Market by Country
9.1.4.3 North America Healthcare Market by Country
9.1.4.4 North America IT & Telecom Market by Country
9.1.4.5 North America Automotive Market by Country
9.1.4.6 North America Manufacturing Market by Country
9.1.4.7 North America Retail & eCommerce Market by Country
9.1.4.8 North America Others Market by Country
9.1.5 North America Software Composition Analysis Market by Country
9.1.5.1 US Software Composition Analysis Market
9.1.5.1.1 US Software Composition Analysis Market by Deployment
9.1.5.1.2 US Software Composition Analysis Market by Component
9.1.5.1.3 US Software Composition Analysis Market by Enterprise Size
9.1.5.1.4 US Software Composition Analysis Market by End-use