Version Control Systems Market

2021 Analysis and Review: Version Control Systems Market by Deployment – Cloud and On-Premise for 2021 – 2031

Version Control Systems Market Snapshot

The demand for version control systems is expected to top US$ 629.3 Mn in 2021. As per Future Market Insights (FMI) analysis, the market will register impressive growth at 10.7% CAGR between 2021 and 2031, as enterprises around the world exhibit high demand for automation and digitalization in the software development processes.

Newly released data on version control systems indicates a 9.3% y-o-y growth in 2021. Centralized version control systems have the largest market share. On the other hand, the distributed version control systems is forecast to grow at a 12.7% CAGR through the assessment period.

Key Points Covered in Version Control Systems Market Survey

  • Market Estimates and Forecast 2016-2031
  • Key Drivers and Restraints Impacting Market Growth
  • Segment-wise, Country-wise, and Region-wise Analysis
  • Competition Mapping and Benchmarking
  • Brand Share and Market Share Analysis
  • Key Product Innovations and Regulatory Climate
  • COVID-19 Impact on Version Control Systems and How to Navigate
  • Recommendation on Key Winning Strategies

2016-2020 Version Control Systems Demand Outlook Compared to 2021-2031 Forecast

The global version control market size is estimated to be valued at US$ 629.3 Mn in 2021. The demand for version control systems is expected to rise at a CAGR of 10.7% during the forecast period 2021-2031.

Version control systems functioning as standalone applications are now being integrated with various software offerings. This integration enables developers to use the enhanced features of a version control system and keep a track of every change, as the file is in consideration.

Technological advancements have led to a transition towards automation and digitalization to reduce associated human tasks and errors. Additionally, the ease of operation and user friendliness also reflects high demand for the same.

Consequently, the high demand for automated software management and tracking tools are expected to drive the growth of the market on a global scale. The global market is anticipated to witness growth in revenue from US$ 629.3 Mn in 2021 to US$ over 1,738.6 Mn by 2031.

How is Digital Transformation Affecting Version Control Systems Sales Outlook?

Software development has emerged as the underlying enabler of digital transformation. The mounting demand for automation and digitalization in the software development process, coupled with the increasing adoption of smartphones and tablets, is projected to drive the adoption of version control systems.

The increasing adoption of smart phones and tablets, and advancing technologies has resulted in increased spending on application development and deployment. Version control systems, being an integral component of the software development process will reflect a positive growth trajectory.

What are the Key Expansion Strategies Used by Version Control Systems Providers?

Companies operating in the market are delivering software solutions proactively, and are providing consultation services to help end-users maneuver through the ever-changing requirements.

With the deployment of version control systems, the companies operating in the market are helping software teams to collaborate and maintain the complete history of code changes. This allows developers to keep track of the modifications being made to the software modules.

Companies have been working with software development teams to cater to their customization demands aimed at meeting their frequently-changing industry specific requirements.

Country-wise Insights

Why is the Demand for Version Control Systems Surging in the U.S.?

According to the Future Market Insights analysis, the overall version control systems spending in the U.S. alone is likely to increase at a rate of 10.1% between 2021 and 2031, with a market value of US$ 210.6 Mn in 2021.

The U.S. will emerge as the largest market for the version control systems in North America, due to the strong presence of service providers like IBM, Microsoft, and Broadcom. This is attributed to the increase in demand for customized version control systems across different industry verticals.

Furthermore, the rising penetration of smartphones and internet in the country also drives market growth. Growing demand for mobile apps and the rising necessity to manage diverse versions of these apps are anticipated to offer major growth opportunities to emerging and established players in the market.

Is Germany a Lucrative Market for Version Control Systems?

The market in Germany is anticipated to be valued around US$ 162.3 Mn by 2031. In recent years, many SMEs in European countries including the U.K., France, and Germany have adopted version control software solutions and services owing to the popularity of cloud-based solutions.

The market in Europe for software development services is on the rise. The shortage of skilled software developers is pushing European companies towards outsourcing their processes.

A huge gap between the number of available software developers and the number of software development jobs has been plaguing the region. In 2014, the EU Commission had foreseen a shortage of 900,000 IT professionals for 2020.

However, in 2017, the EU Commission altered this estimate to a shortage of 500,000. Thereby, European countries happen to be a high potential market for version control systems.

Moreover, the abundant benefits offered by version control systems, including interoperability, portability, and auditing, are expected to boost market growth. Furthermore, growing development teams in the region and increasing demand for collaborations for projects to accelerate the product delivery processes are likely to support growth.

What is Driving Demand for Distributed Version Control Systems in China?

According to the FMI analysis, the market for version control systems in China is likely to grow at a CAGR of 10.3% from 2021 and 2031, with a market value of around US$ 44.4 Mn in 2021.

China, Japan and South Korea are creating potential growth opportunities for version control systems owing to the rising emphasis of software developers on minimizing the complexities involved in the process of software development.

In the wake of this pandemic, there has been an increase in demand for digitization to run businesses across the globe. Growing demand for automation is anticipated to fuel demand. Companies across China are focused on implementing digital technologies in order to resume business operations through 2021 and beyond.

How are Version Control Systems Sales Faring Across India?

The market in India is anticipated to witness a growth in revenue from around US$ 3.6 Mn in 2020 to US$ 61.2 Mn by 2031. The demand for centralized and distributed version control systems has increased rapidly across various industry verticals in major economies of the South Asia and Pacific region including India and Australia, which has created key potential growth opportunities for the market.

Moreover, in India, there has been a steady growth in the adoption of version control systems in the fields of IT & telecom and BFSI. Open source distributed version control systems are increasingly gaining popularity in the country, owing to its ease of application and free of cost features.

Open source distributed version control systems permit developers to alter and develop the source code as per their requirements with no cost, and is predominantly gaining popularity among individual software developers.

The demand for distributed version control systems is projected to show major growth as developers seek cost-efficient operations. Furthermore, rapid growth in the retail and healthcare sector is expected to drive the market.

Category-wise Insights

What’s the Market Share of Centralized Version Control Systems?

The market is segmented into local version control systems, centralized version control systems, and distributed version control systems. The centralized version control systems segment is dominating the market and it is estimated to account for 63.6% of the total market value share by the end of 2021.

The growth can be attributed to the rising demand for cost-effective tools for development along with increasing demand to minimize complexities in software development. There has been an increase in traction for distributed version control systems and the segment is expected to grow at the highest CAGR of 12.7% over the forecast period.

Why is Cloud Deployment Reflecting Higher Growth Prospects?

In terms of deployment, the market is segmented into cloud and on-premise variants. The cloud segment is expected to register the highest CAGR of 10.4% during the forecast period, while also creating an incremental opportunity of US$ 26.3 Mn between 2021 and 2031.

Software development companies are primarily focused on deployment of cloud-based version control systems as they allow companies to reduce overall operating costs. Additionally, cloud based deployment also offers additional services that are integrated with the source control system, helping developers to streamline their development process.

For example, cloud-based service providers provide issue tracking integrated with the source control systems, which allows developers to identify and track issues that primarily initiate during the development process.

Why are Large Enterprises Holding a Larger Market Share?

In terms of enterprise size, the market is segmented into small and medium enterprises (SMEs) and large enterprises. The large enterprises segment is expected to hold the largest share of the market accounting for a US$ 333.5 Mn in 2020, while growing at a considerable CAGR of 9.9% between 2021 and 2031.

The growth of the segment can be primarily attributed to the growing need for better quality solutions and an efficient development process in large enterprises. Furthermore, high investments in research and development activities also contribute to business productivity.

Why is the Demand for Version Control Systems Rising from the BFSI Sector?

In terms of end-use industries, the market is segmented as BFSI, healthcare, IT & telecom, retail, education, and others. With the growing popularity of digitization and automation across all industries, there has been rise in demand for version control software solutions.

The BFSI industry segment is dominating the global version control systems and it is estimated to account for 19% of the total market value share by the end of 2021.

The growing demand for machine learning and artificial intelligence is expected to bolster the deployment of numerous applications and software in the BFSI and retail industry verticals. Version control systems play a crucial role in BFSI organizations.

These organizations rely on mobile and software applications in order to execute financial activities and customer queries. The high dependency on software shall require banks to upgrade various software applications.

Competitive Landscape

According to the Future Market Insights analysis, IBM, Microsoft, Broadcom, Micro Focus, Apache Software Foundation, Canonical, Git, Perforce Software, Mercurial, and Dynamsoft, are identified as key players in the version control systems landscape.

Companies manufacturing version control systems are aiming for product innovation and strategic partnerships with other software vendors to enhance their portfolios while addressing the demand of an expanding customer pool. Introduction of new products and strategic partnerships are key with the top players in the version control systems landscape.

  • For instance, In May 2017, Microsoft Corporation collaborated with Git to make use of its version control system and GVFS for developing Windows. Due to the large size of the content, Microsoft manipulated Git and developed GVFS for exploiting the benefits of Git and reducing the time delays simultaneously.

Version control software providers are also focusing on entering into partnerships with technology and digital solution providers to target new innovations within the market. The strategy helps companies to broaden their geographic reach with additional service portfolios.

  • For instance, In October 2018, Microsoft Corporation completed the acquisition of GitHub. GitHub shall operate independently, retain its developer-first ethos, and continue to remain an open platform and eventually accelerating enterprise use of GitHub.
  • In June 2021, ABB announced the launch of its Ability System 800xA 6.1.1 distributed control system for greenfield projects and brownfield expansions.

Scope of Report

Attribute

Details

Forecast Period

2021-2031

Historical Data Available for

2016-2020

Market Analysis

USD Million for Value

Key Countries Covered

US, Canada, Germany, U.K., France, Italy, Spain, Russia, China, Japan, South Korea, India, Thailand, Malaysia, Indonesia, Australia, New Zealand, GCC Countries, Turkey, and South Africa

Key Segments Covered

Type, Deployment, Enterprise size, Industry, and Region

Key Companies Profiled

  • IBM Corporation
  • Microsoft Corporation
  • Broadcom, Inc.
  • Micro Focus
  • Apache Software Foundation
  • Canonical
  • Git
  • Perforce Software
  • Mercurial
  • BitMover Inc.
  • Codice Software
  • Dynamsoft

Report Coverage

Market Forecasts, Vendor Share Analysis, Competition Intelligence, DROT Analysis, Market Dynamics and Challenges, and Strategic Growth Initiatives

Customization & Pricing

Available upon Request

Key Questions Answered in the Report

  • What is the global market size for version control systems?

    The overall version control systems market is expected to surpass US$ 629 Mn in 2021.

  • At what rate did the demand for version control systems grow in the last five years?

    Demand for version control systems has increased at an 8.6% CAGR between 2016 and 2020.

  • What are the key market trends shaping the demand for version control systems?

    Market players are focused on introducing technological improvements and offering cost-effective version control systems to help enterprises improve their productivity and reduce complexities in software development.

  • Which countries are key producers of version control systems?

    According to the Future Market Insights analysis, the U.S., the U.K., and Canada are the key countries producing version control systems.

  • What is the global version control systems market growth outlook between 2020 and 2021?

    The global market growth is projected at 9.3% between 2020 and 2021.

  • What is the North America growth outlook for version control systems market?

    North America is dominating the global market for version control systems and will account for estimated 33.5% of the global market in 2021 with a 10.1% CAGR.

  • Who are the top version control systems providers and what is their market share?

    IBM Corporation, Microsoft Corporation, Micro Focus, Apache Software Foundation and Broadcom, Inc., are the top version control systems providers. They are likely to account for over 22% of the global market.

  • At what rate will the demand for version control systems rise in the Europe market?

    The Europe market for version control systems is expected to rise at a CAGR of 10.6% between 2021 and 2031.

  • Which are the top five countries driving version control systems demand?

    Leading countries driving demand for the version control systems are U.S., Germany, China, Japan, and India.

  • What are the key statistics for version control systems in Japan and South Korea?

    The demand for version control systems in Japan and South Korea is expected to rise at 13.4% CAGR and 11.6% CAGR, accounting for 37.1% and 18.6% value share respectively.

Market Segmentation by Category

Type

  • Local Version Control Systems
  • Centralized Version Control Systems
  • Distributed Version Control Systems

Deployment

  • Cloud
  • On-premise

Enterprise size

  • SMEs
  • Large Enterprises

Industry

  • BFSI
  • Healthcare
  • IT & Telecom
  • Retail
  • Education
  • Others

Region

  • North America
  • Latin America
  • Europe
  • East Asia
  • South Asia & Pacific
  • Middle East and Africa (MEA)

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