Global Application Modernization Services Market Size, Trends & Growth Opportunity and By Service (Application Portfolio Assessment, Cloud Application Migration, Application Re-platforming, Application Integration, UI Modernization, and Post Modernization), By Cloud Deployment Mode (Private Cloud, Public Cloud, and Hybrid Cloud), By End Users (SMEs and Large Enterprises), By Region and Forecast ti

Global Application Modernization Services Market

The Global Application Modernization Services Market is expected to grow from US$ 10.37 Billion in 2021 to US$ 26.08 Billion by 2027; it is estimated to grow at a CAGR of 12.4% from 2021 to 2027.

Application modernization services are created to integrate newer features and functionalities into the existing business while transforming legacy systems into new applications. Re-platforming, hosting, and re-engineering are all part of the application modernization process to ensure that the application architecture is appropriate for the organisation in the cloud case. The act of rewriting, refactoring, or converting the legacy software programming models is known as application modernization. Businesses can swap out outdated legacy code for more modern versions. Additionally, it enables cost savings when cloud computing, analytics, and security capabilities are implemented.

Drivers: The market for application modernization services is expanding as a result of new software functionalities that help with changing business rules and business processes. Global businesses must continually or sporadically improve their operational procedures. The demand is also rising as a result of evolving consumer demands, technological advancements, and escalating market competition. Application modernization services are in high demand due to the need for businesses to be as agile as possible in order to thrive and grow in highly competitive business environments. This agility is achieved by implementing the newest technologies and creating and delivering cutting-edge applications.

Restraints: The price of application modernization largely depends on the features and functionalities that organisations want to achieve. Organizations should modernise only a few applications at a time to avoid the benefits of modernised applications being outweighed by the difficulties of compatibility with other legacy applications.

Opportunities: Legacy systems are still in use by many organisations, which makes it difficult to adopt new technologies. Long-term costs may rise as a result of the resistance to updating legacy systems and the heavy reliance on current ones. Enterprises would adopt legacy modernization services quickly over the next five years given the pressing need to update the legacy environment.

Impact of Covid-19

The WHO has deemed it a public health emergency as the disease has spread to nearly 110 countries worldwide since the outbreak. Businesses have given their clients in various industries, as well as their own workforce, all the necessary infrastructure and security support to ensure business continuity during this period. Organizations are speeding up their migration to modern infrastructures and improving their legacy systems and applications as a result of these factors.

Segmentation By Service: Global Application Modernization Services Market is divided into Application Portfolio Assessment, Cloud Application Migration, Application Re-platforming, Application Integration, UI Modernization, and Post Modernization. Applications are ported from the current environment to cloud environments using cloud application migration services. Organizations frequently choose cloud application migration to move and modernise their legacy systems. Because of the flexibility that these services offer, more businesses are choosing cloud migration services; as a result, this industry is anticipated to grow at the fastest rate over the next five years.

Segmentation By Cloud Deployment Mode: Global Application Modernization Services Market is divided into Private Cloud, Public Cloud, and Hybrid Cloud.

Segmentation By End Users: Global Application Modernization Services Market is divided into SMEs and Large Enterprises on the basis of End Users. To increase agility and significantly lower TCO, SMEs are anticipated to adopt application modernization services. In the SMEs segment, this is anticipated to accelerate the development of application modernization. Small and medium-sized businesses (SMEs) are more constrained by resources than large corporations, so they need better ways to handle complexity and improve the cost-effectiveness of their business processes.

Segmentation By Region: Application Modernization Services Market is classified on the basis of Region into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. Since the APAC region accounts for more than 50% of the world's population and is experiencing rapid growth in the application modernization market, any significant technological advancements are likely to have a significant impact on the region's future.

Competitive Landscape: The key players of Application Modernization Services Market are Accenture (Ireland), IBM (US), Atos (France), HCL (India), Capgemini (France), Bell Integrator (US), Blu Age (France), Cognizant (US), Aspire Systems (India), Dell (US), DXC Technology (US), EPAM Systems (US), Fujitsu (Japan), Hexaware (India), Infosys (India), Innova Solutions (US), LTI (US), Microfocus (UK), MongoDB (US), NTT Data (Japan), Oracle (US), Softura (US), TCS (India), Virtusa (US), and Wipro (India).

Industrial Development

• In order to improve operational efficiencies, enable greater agility, and improve customer experience in its offices in New York, US, and surrounding areas, Cognizant partnered with CECONY in February 2020 to modernise its applications, technology infrastructure, and legacy technology platform.
• To develop core solution offerings for the digital transformation of businesses, Atos purchased Maven Wave in December 2019. Utilizing Maven Wave's expertise in cutting-edge technologies will help Atos expand its application modernization offering.

Market Taxonomy

By Service:

• Application Portfolio Assessment
• Cloud Application Migration
• Application Re-platforming
• Application Integration
• UI Modernization
• Post Modernization

By Cloud Deployment Mode

• Private Cloud
• Public Cloud
• Hybrid Cloud

By End Users

• SMEs
• Large Enterprises

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa

Key Questions Addressed by the Report

• What are the Key Opportunities in Application Modernization Services Market?
• What will be the growth rate from 2020 to 2027?
• Which segment/region will have highest growth?
• What are the factors that will impact/drive the Market?
• What is the competitive Landscape in the Industry?
• What is the role of key players in the value chain?