DUBLIN, September 28, 2023 /PRNewswire/ — The “Banking Software Market By Component, By Deployment Mode, By End User: Global Opportunity Analysis and Industry Forecast, 2023-2032” report has been added to ResearchAndMarkets.com’s to offer.
The global banking software market, valued at $11.7 billion in 2022 is on an upward trajectory and is expected to reach a staggering magnitude $69.9 billion by 2032, with a robust CAGR of 19.8% between 2023 and 2032.
Banking software plays a crucial role in delivering tailor-made solutions to meet the unique needs of customers, giving medium and large institutions around the world access to cutting-edge technology and cost-effective banking solutions.
Digital banking transformation
The rise of digital banking, fueled by the widespread use of smartphones and the internet, is a key driver of the growth of the banking software market. As digital banking continues to expand, there is an increasing demand for reliable, secure and advanced solutions that improve the customer experience. Customers can now manage their accounts and transact seamlessly via mobile devices.
Key drivers of market growth
- Digital banking solutions: The market is driven by the growing demand for digital banking solutions.
- Cloud-based solutions: The adoption of cloud-based solutions is increasing, contributing to the expansion of the market.
- Mobile banking: The increased use of mobile devices is driving the growth of mobile banking.
Advances in mobile banking
The growth of mobile banking is further facilitated by technical advancements, including providing real-time customer support through smart bots. The increased use of mobile devices that enable instant customer support is also driving market expansion.
The integration of technologies such as cloud, big data and artificial intelligence (AI) is reshaping the banking sector. These technologies improve visualization capabilities, solve customer questions and make complex data actionable. They also improve connectivity and strengthen security at banks and financial institutions. AI-powered banking software provides real-time insights and improves network security, delivering a superior customer experience.
The adoption of technologies such as AI is creating growth opportunities, and key players are actively engaged in partnerships and collaborations to offer cutting-edge solutions. For example, Temenos recently launched the next generation of its AI-driven corporate lending solution, simplifying complex loan processing and lifecycle management. Such developments in AI standards are expected to pave the way for market growth.
The banking software market is segmented as follows:
- Element: The market is divided into software and service. Software is the dominant component, with an estimated range of $42,884.53 million by 2032, with a CAGR of 18.7%. However, the services segment is poised to be the fastest growing, with a CAGR of 21.9% during the forecast period.
- Deployment mode: Deployment options include on-premise and cloud. The on-premise deployment mode is market leading and is expected to have a wide reach $38,306.49 million by 2032, with a CAGR of 18.4%. Meanwhile, the cloud segment is expected to be the fastest growing, with a CAGR of 21.7%.
- End User: The market focuses on banks and financial institutions.
- Region: Geographically, the market is analyzed broadly North America (The United States, Canada), Europe (the UK, Germany, France, Italy, Spainand the rest of Europe), Asiatic-Pacific (China, Japan, South Korea, India, Australiaand the rest of Asiatic-Pacific), and LAMEA (Latin America, Middle EastAnd Africa).
- Increase in demand for digital banking solutions
- Increase in adoption of cloud-based solutions
- Increase in the use of mobile banking
- Security issues and privacy concerns
- High implementation costs
- Increase in the adoption of artificial intelligence-based banking systems
- EdgeVerve Systems Limited
- Fidelity National Information Services Inc
- Finastra International Limited
- Fiserv Inc
- IBM Corporation
- Microsoft Corporation
- Oracle Corporation.
- Salesforce.com, Inc.
- SAP SE
- Tata Consultancy Services Limited
For more information about this report, visit https://www.researchandmarkets.com/r/x663zf
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SOURCE Research and Markets