The engineering software market size is projected to reach US$ 73.03 billion by 2031 from US$ 39.47 billion in 2023. The market is expected to register a CAGR of 7.9% in 2023—2031. The surge in popularity of automation and cost-effective technology is likely to remain key engineering software market trends.
The growing use of CAD and CAE software across a range of industries, including the automotive, aerospace, construction, and healthcare sectors, is responsible for the market expansion. Software for engineering comprises, among other things, computer-aided design (CAD), computer-aided manufacturing (CAM), and computer-aided engineering (CAE). The engineering software market is anticipated to expand significantly throughout the forecast period for a variety of reasons, including mounting demand on businesses to shorten the time and expense of product development.
Engineers, designers, and manufacturers may write critical engineering documentation, analyze and simulate product performance and operations, and develop intricate models with the help of engineering software solutions. With cloud-based solutions, team members can collaborate remotely using whatever device they choose because they can be accessed through a web browser. As a result, businesses can modernize and reduce hardware expenditures without sacrificing computational power or usefulness.
The worldwide plant 0/0s and EPCs are under pressure to reduce production errors and operational expenses due to the intensifying market rivalry. Plant engineers can improve quality by following particular international standards during the design, production, and commissioning processes. Production and intensity issues can be resolved with design software, ongoing analysis, and standard upgrades. As a result, businesses all around the world are using engineering software more and more to reduce mistakes in building and production.
One of the main factors contributing to the socioeconomic development of any country is thought to be construction. The building industry is expanding rapidly in developing nations around the world, including Ethiopia, India, China, Brazil, Uzbekistan, Cambodia, Tanzania, and Myanmar. These economies' fundamental infrastructure is also developing at a rapid rate. For example, the developing economies of Asia Pacific and SAM are drawing a lot of foreign direct investment in their infrastructure development. These advancements will also spur the growth of their infrastructure, and as the building industry expands, so too will the need for engineering software. Therefore, it is anticipated that the expanding advancements in the infrastructure and construction business verticals will offer.
Key segments that contributed to the derivation of the engineering software market analysis are software type and application.
The geographic scope of the engineering software market report is mainly divided into five regions: North America, Asia Pacific, Europe, Middle East & Africa, and South America/South & Central America. North America has dominated the engineering software market. High technology adoption trends in various industries in the North American region have fuelled the growth of the engineering software market. Factors such as increased adoption of digital tools and high technological spending by government agencies are expected to drive the North American engineering software market growth. Moreover, a strong emphasis on research and development in the developed economies of the US and Canada is forcing the North American players to bring technologically advanced solutions into the market. In addition, the US has a large number of engineering software market players who have been increasingly focusing on developing innovative solutions. All these factors contribute to the region's growth of the Engineering Software market.
The regional trends and factors influencing the Engineering Software Market throughout the forecast period have been thoroughly explained by the analysts at Insight Partners. This section also discusses Engineering Software Market segments and geography across North America, Europe, Asia Pacific, Middle East and Africa, and South and Central America.
| Report Attribute | Details |
|---|---|
| Market size in 2023 | US$ 39.47 Billion |
| Market Size by 2031 | US$ 73.03 Billion |
| Global CAGR (2023 - 2031) | 7.9% |
| Historical Data | 2021-2022 |
| Forecast period | 2024-2031 |
| Segments Covered |
By Software Type
|
| Regions and Countries Covered | North America
|
| Market leaders and key company profiles |
The Engineering Software Market market is growing rapidly, driven by increasing end-user demand due to factors such as evolving consumer preferences, technological advancements, and greater awareness of the product's benefits. As demand rises, businesses are expanding their offerings, innovating to meet consumer needs, and capitalizing on emerging trends, which further fuels market growth.
Market players density refers to the distribution of firms or companies operating within a particular market or industry. It indicates how many competitors (market players) are present in a given market space relative to its size or total market value.
Major Companies operating in the Engineering Software Market are:
Disclaimer: The companies listed above are not ranked in any particular order.
The engineering software market is evaluated by gathering qualitative and quantitative data post primary and secondary research, which includes important corporate publications, association data, and databases. The following is a list of developments in the market:
(Source: Cognizant, Press Release, 2024)
(Source: Nullspace, Press Release, 2023)
The "Engineering Software Market Size and Forecast (2021–2031)" report provides a detailed analysis of the market covering below areas:
The global Engineering Software market is expected to reach US$ 73.03 billion by 2031.
The key players holding majority shares in the global Engineering Software market are PTC, Rockwell Automation, Inc., SAP SE, Siemens, Synopsys, Inc., Autodesk Inc., AVEVA, and Dassault Systèmes.
Increasing development across construction and infrastructure is impacting engineering software, which is anticipated to play a significant role in the global engineering software market in the coming years.
The surge in the popularity of automation and cost-effective technology is the major factors that propel the global engineering software market growth.
The global engineering software market was estimated to be US$ 39.47 billion in 2023 and is expected to grow at a CAGR of 7.9% during the forecast period 2024 - 2031.