Application Modernization Services Market is predicted to reach USD 38.7 billion at a CAGR of 16.80% during the forecast period

Market Research Future (MRFR) has published a cooked research report on the “Application Modernization Services Market” that contains information from 2018 to 2032. The Application Modernization Services Market is estimated to register a CAGR of 16.5% during the forecast period of 2024 to 2032.

MRFR recognizes the following companies as the key players in the global Application Modernization Services Market — Wipro, Virtusa, IBM, Capgemini, Software, Aspire Systems, Oracle, DXC Technology, NTT Data, and Accenture

Application Modernization Services Market Highlights

The global Application Modernization Services Market is accounted to register a CAGR of 16.5% during the forecast period and is estimated to reach USD 38.7 billion by 2032.

the application modernization services market refers to the industry that focuses on updating and transforming existing software applications to make them more efficient, scalable, user-friendly, and compatible with modern technologies. This is often done to extend the life of legacy applications, improve their performance, and align them with current business needs.

Segment Analysis

The global Application Modernization Services Market has been segmented based on Vertical, Deployment Type, and Application.

The application modernization services market segmentation has been segmented by vertical into Healthcare, IT, Telecommunications, Energy and utilities, Manufacturing and Consumer goods and retail. The telecommunication segment dominated the market growth in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030. To support their companies, major telecom providers are requesting various cloud infrastructures, including containerization and micro-services. In order to evaluate the migration of apps to hybrid cloud, this is promoting the expansion of hybrid cloud infrastructure.

The application modernization services market segmentation has been segmented by deployment mode into Hybrid cloud, Private cloud and Public cloud. The hybrid cloud segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period, 2024-2032. To reduce the efficiency of legacy systems, hybrid clouds are useful. In many economies, the use of these application services is expanding. High demand is being driven by enhanced software features and a wide range of demand from diverse economies.

The application modernization services market data has been segmented by application into Post modernization, Application portfolio assignment, UI modernization, Cloud application mitigation, Application integration and Application re-platforming. The application re-platforming segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030 due to the segment's better networking speeds, flexibility, scalability, and faster application delivery. In order to interact with their legacy systems and fix issues, numerous small, medium, and large-scale businesses from all industry verticals are requesting application modernization services.

Regional Analysis

The global Application Modernization Services Market, based on region, has been divided into North America, Europe, Asia-Pacific, and the Rest of the World. North America application modernization services market accounted for USD 3.1 billion in 2021 and is expected to exhibit a 43.20% CAGR during the study period, The market for application modernization services in North America is being driven by rapidly evolving IT infrastructure, growing small and medium-sized businesses (SMEs), and emerging cybersecurity solutions. In order to cut costs for the business, new American IT supply manufacturers and distributors are replacing physical servers with virtualized environments. Further, the major countries studied in the market report are: The U.S., Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Asia Pacific application modernization services market accounts for the fastest growing market share. The Asia-Pacific application modernization market is driven by rising population, significant technical advancements, and intensive technologies to meet the rising demand for software services in nations like Australia, China, Japan, and India. It is anticipated that several Asian countries would offer excellent chances to implement application modernization solutions. Further, the China application modernization services market held the largest market share, and the India application modernization services market was the fastest-growing market in the region.

Europe application modernization services market is expected to grow at a substantial CAGR from 2024 to 2032. Rapid advancements in associated technology and greater knowledge of the advantages of modernization services have a beneficial effect on regional market expansion. The market is also fueled by the several prominent businesses operating in this area. Moreover, UK application modernization services market held the largest market share, and the Germany application modernization services market was the fastest-growing market in this region

Key Findings of the Study

• The global Application Modernization Services Market is expected to reach USD 38.7 billion by 2030, at a CAGR of 16.5% during the forecast period.


• Europe application modernization services market is expected to grow at a substantial CAGR from 2024 to 2032. Rapid advancements in associated technology and greater knowledge of the advantages of modernization services have a beneficial effect on regional market expansion. The market is also fueled by the several prominent businesses operating in this area.


• The application modernization services market segmentation has been segmented by vertical into Healthcare, IT, Telecommunications, Energy and utilities, Manufacturing and Consumer goods and retail. The telecommunication segment dominated the market growth in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030.


• Wipro, Virtusa, IBM, Capgemini, Software, Aspire Systems, Oracle, DXC Technology, NTT Data, and Accenture