System Integration Market Size, Share, & Trends Analysis Report By Services (Application Integration, Consulting), By End-use (BFSI, Oil & Gas, Retail), By Region, And Segment Forecasts, 2023 - 2030
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The global system integration market was valued at USD 353.92 billion in 2022 and is expected to expand at a compound annual growth rate (CAGR) of 13.8% from 2023 to 2030. Rising public and private investments in system integration solutions for the enhancement of Information Technology (IT) infrastructure are driving the system integration market growth. The increasing need for eradicating the diversity, and heterogeneity, of vital applications used in infrastructure, is expected to drive the system integration market over the forecast period. The outbreak of COVID-19 had an adverse impact on the system integration industry across the globe. However, from early 2021 onwards, rapid digitization and a rise in public & private investments in infrastructure development boosted the demand for project management and system integration solution.
System integration brings disparate processes together and enables smarter organizational operations. Organizations are realizing the importance of system integration as enterprise complexity affects their profitability and competitive ability. System integration technologies provide enterprises with cost-effective, centralized, and integrated solutions for their IT infrastructure. Increasing users of information technology is one of the key factors driving the growth of the system integration market. According to the U.S. Bureau of Labor Statistics, employment in computer-related occupations is expected to increase by 15% by 2031. Therefore, system integration is gaining popularity across various industries and sectors, such as defense, marine systems, telecommunication and IT, aviation, oil & gas, banking, and healthcare.
Various international government-authorized organizations are taking supportive initiatives to increase cross-border investments and strengthen global business operations. Global organizations such as World Trade Organization (WTO), United Nations Organization (UNO), and World Economic Forum (WEF) are launching their digital infrastructure solutions to attract foreign investment. For instance, in May 2022, World Economic Forum (WEF) collaborated with Digital Cooperation Organization (DCO) to commence the digital FDI program to attract public & private investments in developing countries and emerging markets. The company is planning to establish its first Digital FDI system in Nigeria. These initiatives by international organizations are expected to propel the demand for system integration solutions to improve the payment system and implement a flexible system framework, allowing investors to expand their business in the respective regions.
The companies operating in the system integration market are partnering with technology providers to improve their product portfolio. For instance, in October 2022, Infosys Limited announced the collaboration with CIRCOR International, a leading provider of control products and services for the industrial and aerospace & defense industries, to transform its IT infrastructure, user support applications, and service desk. With strong system integration and automation capabilities, Infosys would transform CIRCOR’s IT services by deploying Service Level Agreements (SLA)-managed IT services, and bring agility into business operations to modernize the cloud landscapes and local data centers.
The challenges faced in the system integration market include difficulty integrating legacy systems with emerging technologies and a lack of technologically skilled personnel to operate sophisticated equipment. Further, system integration requires a standard network infrastructure for efficient operation. The lack of network infrastructure has resulted in the deferred demand for system integration. Moreover, significant growth in the app economy has resulted in a rapid increase of disparate applications deployed across various environments such as cloud and on-premise. These factors are expected to restrict the industry growth over the forecast period.
Services Insights
The infrastructure integration segment accounted for a market share of over 36% in 2022. Infrastructure integration is estimated to witness healthy growth over the next few years, ascribing to the rising need to provide a unified IT infrastructure that is resilient, agile, and secure while keeping a close eye on costs. In addition, the complex business environment has prompted enterprises to continually evolve and adapt to new IT infrastructure. This is expected to drive demand for infrastructure integration over the coming years. Various market players are collaborating with engineering services providers for the development of effective infrastructure integration solutions in smart city projects. These players are outsourcing their infrastructure integration testing services to improve the overall system performance.
The consulting segment is expected to expand at a significant CAGR of 14.6%. This can be attributed to the rising need for enterprises to assist users in designing their Business Continuity & Disaster Recovery Planning (BCP & DRP) as well as conducting rehearsals for effective and efficient workflow. The system integration solution provider offers consulting services to assist clients in the effective digital integration of their services and modernize their IT systems. In December 2021, ICT integration specialist firm, Praruh introduced a system integration portfolio across various spectrums such as data center, application, networking, security, and storage. The company will also offer consulting services for efficient usage of the newly launched system integration solutions as well as post-integration troubleshooting and support.
Report OverviewThe global system integration market was valued at USD 353.92 billion in 2022 and is expected to expand at a compound annual growth rate (CAGR) of 13.8% from 2023 to 2030. Rising public and private investments in system integration solutions for the enhancement of Information Technology (IT) infrastructure are driving the system integration market growth. The increasing need for eradicating the diversity, and heterogeneity, of vital applications used in infrastructure, is expected to drive the system integration market over the forecast period. The outbreak of COVID-19 had an adverse impact on the system integration industry across the globe. However, from early 2021 onwards, rapid digitization and a rise in public & private investments in infrastructure development boosted the demand for project management and system integration solution.
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System integration brings disparate processes together and enables smarter organizational operations. Organizations are realizing the importance of system integration as enterprise complexity affects their profitability and competitive ability. System integration technologies provide enterprises with cost-effective, centralized, and integrated solutions for their IT infrastructure. Increasing users of information technology is one of the key factors driving the growth of the system integration market. According to the U.S. Bureau of Labor Statistics, employment in computer-related occupations is expected to increase by 15% by 2031. Therefore, system integration is gaining popularity across various industries and sectors, such as defense, marine systems, telecommunication and IT, aviation, oil & gas, banking, and healthcare.
Various international government-authorized organizations are taking supportive initiatives to increase cross-border investments and strengthen global business operations. Global organizations such as World Trade Organization (WTO), United Nations Organization (UNO), and World Economic Forum (WEF) are launching their digital infrastructure solutions to attract foreign investment. For instance, in May 2022, World Economic Forum (WEF) collaborated with Digital Cooperation Organization (DCO) to commence the digital FDI program to attract public & private investments in developing countries and emerging markets. The company is planning to establish its first Digital FDI system in Nigeria. These initiatives by international organizations are expected to propel the demand for system integration solutions to improve the payment system and implement a flexible system framework, allowing investors to expand their business in the respective regions.
The companies operating in the system integration market are partnering with technology providers to improve their product portfolio. For instance, in October 2022, Infosys Limited announced the collaboration with CIRCOR International, a leading provider of control products and services for the industrial and aerospace & defense industries, to transform its IT infrastructure, user support applications, and service desk. With strong system integration and automation capabilities, Infosys would transform CIRCOR’s IT services by deploying Service Level Agreements (SLA)-managed IT services, and bring agility into business operations to modernize the cloud landscapes and local data centers.
The challenges faced in the system integration market include difficulty integrating legacy systems with emerging technologies and a lack of technologically skilled personnel to operate sophisticated equipment. Further, system integration requires a standard network infrastructure for efficient operation. The lack of network infrastructure has resulted in the deferred demand for system integration. Moreover, significant growth in the app economy has resulted in a rapid increase of disparate applications deployed across various environments such as cloud and on-premise. These factors are expected to restrict the industry growth over the forecast period.
Services InsightsThe infrastructure integration segment accounted for a market share of over 36% in 2022. Infrastructure integration is estimated to witness healthy growth over the next few years, ascribing to the rising need to provide a unified IT infrastructure that is resilient, agile, and secure while keeping a close eye on costs. In addition, the complex business environment has prompted enterprises to continually evolve and adapt to new IT infrastructure. This is expected to drive demand for infrastructure integration over the coming years. Various market players are collaborating with engineering services providers for the development of effective infrastructure integration solutions in smart city projects. These players are outsourcing their infrastructure integration testing services to improve the overall system performance.
The consulting segment is expected to expand at a significant CAGR of 14.6%. This can be attributed to the rising need for enterprises to assist users in designing their Business Continuity & Disaster Recovery Planning (BCP & DRP) as well as conducting rehearsals for effective and efficient workflow. The system integration solution provider offers consulting services to assist clients in the effective digital integration of their services and modernize their IT systems. In December 2021, ICT integration specialist firm, Praruh introduced a system integration portfolio across various spectrums such as data center, application, networking, security, and storage. The company will also offer consulting services for efficient usage of the newly launched system integration solutions as well as post-integration troubleshooting and support.
Report Coverage & DeliverablesPDF report & online dashboard will help you understand:
- Competitive benchmarking
- Historical data & forecasts
- Company revenue shares
- Regional opportunities
- Latest trends & dynamics
Source: Grand View Research