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The enterprise application and integration market size is forecast to increase by USD 26.94 billion at a CAGR of 17.09% between 2023 and 2028. The Enterprise Application Integration (EAI) market is experiencing significant growth, driven by the need to enhance business efficiency and effectiveness. A key trend in this market is the increasing adoption of cloud-based integration solutions, which offer greater flexibility and scalability. The volume of data being generated by various business applications, including CRM, Business Intelligence, and E-commerce, necessitates seamless integration for optimal performance. TIBCO Software and other leading players in the market are addressing these challenges through innovative solutions and strategic mergers and acquisitions. Venture capital investments are also on the rise, indicating strong investor confidence in the potential of EAI solutions to drive business growth. However, growing concerns associated with data security and compliance are posing challenges to market growth, requiring companies to prioritize these issues in their offerings.
The market is experiencing significant growth due to the increasing adoption of ERP systems, Bi applications, and digital transformation. Middleware infrastructure, including enterprise service bus (ESB), adapters, and middleware, plays a crucial role in integrating these applications. Cloud computing, big data, IoT, and open-source software are driving the market's innovation. Digital transformation initiatives require seamless integration of various systems, leading to the demand for advanced integration solutions. EDI and B2B connectivity are essential for businesses to exchange data with their partners efficiently. Integration platforms like Turbo Connector, Anypoint Exchange, and Salsify enable business process optimization and data security concerns.
Remote work and banking systems require rich integration solutions. Backbase, for instance, offers a digital banking platform that integrates with various systems, including SCM, CRM, and BI. IT complexity is a challenge, necessitating the need for integration solutions that ensure seamless data flow between applications, processes, and business partners. Data security concerns remain a priority, making it essential for integration solutions to offer strong security features.
The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD Billion" for the period 2024-2028, as well as historical data from 2017-2022 for the following segments.
The on-premise segment is estimated to witness significant growth during the forecast period. The market is witnessing significant growth due to the increasing demand for Business process optimization and B2B connectivity. Electronic Data Interchange (EDI) plays a crucial role in this market, enabling seamless data exchange between organizations. Two notable solutions in this space are Turvo Connector and Anypoint Exchange. While cloud-based integration solutions are gaining popularity for their cost-effectiveness and ease of use, the on-premises model continues to exist, particularly among large organizations. These organizations prioritize data security concerns and deal with critical data, making the on-premises model an attractive option due to its end-to-end quality control and absence of third-party interference. However, the on-premises model segment is expected to grow at a slower pace during the forecast period due to the substantial investments required for product purchases, installation, maintenance, and upgrades.
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The on-premise segment accounted for USD 8.31 billion in 2018 and showed a gradual increase during the forecast period.
North America is estimated to contribute 35% to the growth of the global market during the forecast period. Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.
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The market in North America is experiencing significant growth due to the increasing adoption of application integration solutions for enhancing operational efficiency and staying competitive. The region's enterprises are embracing cloud computing, which facilitates the seamless integration of various application software and service platforms. Moreover, the prevalence of customer relationship management (CRM) systems in the cloud is common among North American organizations, leading to the adoption of hybrid models that combine on-premises and cloud solutions. Electronic Data Interchange (EDI) and Business-to-Business (B2B) connectivity are crucial aspects of enterprise application integration, ensuring smooth data exchange between businesses and their partners. However, data security concerns and the shift towards remote work are pressing issues that necessitate integration solutions. Platforms like Turvo Connector, Anypoint Exchange, Salsify, and others are addressing these challenges by providing secure, flexible, and scalable integration solutions.
Our researchers analyzed the data with 2023 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
Enhancing the efficiency of business processes is the key driver of the market. The market: Bridging the Gap Among ERP Systems, BI Applications, and More Enterprise application integration (EAI) plays a pivotal role in connecting various software applications and systems within an organization. With the increasing adoption of ERP systems, BI applications, and other business software, the need for seamless communication and data sharing among these applications has become essential. ERP systems, such as customer relationship management (CRM), supply chain management (SCM), and human resources management systems, are integral to business operations. They collect and analyze data to optimize business processes and improve overall performance. However, the use of multiple applications can lead to data silos, making it challenging to share information and make informed decisions.
Further, middleware infrastructure, including EAI tools and services, acts as a bridge between these applications, enabling data and business rule exchange. Cloud computing, big data, IoT, and opensource software are transforming the enterprise application landscape, making integration more critical than ever. In this context, digital transformation is a key driver for the growth of the market. The market is expected to witness significant growth in the coming years, as organizations seek to optimize their business processes and gain a competitive edge.
Increased adoption of cloud-based integration solutions is the upcoming trend in the market. Cloud computing has become a popular choice for organizations seeking to modernize their IT infrastructure by adopting cost-effective and flexible solutions. One area where cloud computing is making a significant impact is in enterprise application integration. ERP systems and Business Intelligence (BI) applications are increasingly being moved to the cloud, requiring seamless integration with middleware infrastructure. Cloud-based integration services, available in the form of integration platform-as-a-service (iPaaS) and data platform-as-a-service (dPaaS), enable organizations to exchange data within and outside their enterprises for various commercial applications. IPaaS solutions offer a set of cloud-based integration tools that allow enterprises to integrate back-office systems without requiring physical IT infrastructure.
Additionally, the popularity of cloud-based integration services is on the rise due to the availability of faster connectivity features and the ability to run multiple applications concurrently. Additionally, the adoption of emerging technologies like Big Data, IoT, and OpenSource software is driving the demand for cloud-based integration services as part of digital transformation initiatives.
Growing concerns associated with integration is a key challenge affecting the market growth. Enterprise Application Integration (EAI) market encompasses the integration of various enterprise applications such as ERP systems, Business Intelligence (BI) applications, and Middleware infrastructure. The integration process can be complicated due to the use of different versions of application software, operating systems, and hardware configurations. Legacy and outdated software systems, applications, programming languages, and backend storage systems in many organizations create interoperability issues when new back-office systems are integrated with enterprise or frontend systems.
Additionally, new application software often includes regulatory and compliance features due to increasing regulatory pressure in industries like BFSI, telecom, healthcare, and others. The integration of these new applications with traditional Information and Communication Technology (ICT) infrastructure poses challenges in ensuring seamless operation of all applications. Cloud computing, Big Data, IoT, and OpenSource software are emerging trends in the EAI market, playing a significant role in digital transformation initiatives.
The market forecasting report includes the adoption lifecycle of the market, covering from the innovator's stage to the laggard's stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth analysis strategies.
Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
Adeptia Inc. - The company offers enterprise application integration namely Adeptia Connect.
The market research and growth report includes detailed analyses of the competitive landscape of the market and information about key companies, including:
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The market is experiencing significant growth due to the increasing adoption of ERP systems, Bi applications, and digital transformation in large enterprises. Middleware infrastructure, including enterprise service bus, adapters, and integration platforms, plays a crucial role in connecting various applications and systems within IT environments. Cloud computing, big data, IoT, and opensource software are driving the market, enabling seamless integration of cloud-based technologies and remote work. Integration is essential for banking systems, SCM, CRM, business intelligence, e-commerce, and other business processes in various verticals. Data security concerns are a major challenge, as businesses integrate with their business partners and exchange data through electronic data interchange and B2B connectivity.
Furter, AI-driven integration and hybrid integration solutions are gaining popularity to optimize processes and manage IT complexity. Venture capital investments, mergers, and acquisitions continue to shape the market, with key players offering innovative solutions for various industries. The volume of data being generated and the need for real-time integration are driving the adoption of advanced integration technologies, such as Anypoint Exchange, Salsify, and TIBCO Software. Backbase, Grand Central, and other integration platforms are enabling businesses to streamline their IT infrastructure and improve customer experience on the web and wireless platforms.
Market Scope |
|
Report Coverage |
Details |
Page number |
186 |
Base year |
2023 |
Historic period |
2017-2022 |
Forecast period |
2024-2028 |
Growth momentum & CAGR |
Accelerate at a CAGR of 17.09% |
Market growth 2024-2028 |
USD 26.94 billion |
Market structure |
Fragmented |
YoY growth 2023-2024(%) |
14.2 |
Regional analysis |
North America, Europe, APAC, South America, and Middle East and Africa |
Performing market contribution |
North America at 35% |
Key countries |
US, Germany, Canada, China, and Japan |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
Adeptia Inc., Atlassian Corp. Plc, Axway Software SA, Boomi LP, Carmatec IT Solutions Pvt. Ltd., Fiorano Technologies Inc., Fujitsu Ltd., Hewlett Packard Enterprise Co., Informatica Inc., International Business Machines Corp., Microsoft Corp., Oracle Corp., Salesforce Inc., SAP SE, ScienceSoft USA Corp., SnapLogic Inc., Software AG, Talend Inc, TIBCO Software Inc., and Workato Inc. |
Market dynamics |
Parent market analysis, market growth inducers and obstacles, market forecast, fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, market condition analysis for the forecast period |
Customization purview |
If our market report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
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1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Deployment
7 Market Segmentation by End-user
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Opportunity/Restraints
11 Competitive Landscape
12 Competitive Analysis
13 Appendix
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