The $319 billion application services market is forecast to grow at a five-year CAGR of 5.5% in U.S. dollars or 6.0% in constant currency through 2023, driven by opportunities for digital business requirements, application modernization and intelligent automation.
- Forecast Assumptions
- Market Impacts
- Notable Changes
Forecast Data Summary
Forecast Model Summary
Influencing Factors and Assumptions
- Digital Business Requirements
- Forecast Assumption: By 2023, application services spending driven by digital requirements will account for 65% of the overall application services market, up from 30% in 2018.
- Forecast Assumption: Through 2023, intelligent automation will reduce routine application services tasks by 60%.
- Forecast Assumption: By 2023, 40% of application modernization work will be contracted under a multiyear AMS deal.
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