Data Integration Market: Overview
The market size for data integration was USD 11.4 billion in 2021, and it is projected to grow at a CAGR of 10.5 percent during the forecast period. Data integration is increasingly being acknowledged as a useful tool in industries, corporations, and organizations. Data integration is providing new insights and accelerating the creation of useful business intelligence, which is changing the nature of commerce. High-regulated industries including banking, finance, and insurance, as well as communications and healthcare, are among the market's primary end-users. As business executives place a higher priority on customer satisfaction, efficient operations, and observable results, data integration is becoming more and more crucial. The adoption rate is rising as a result of the rise in new enterprises, the growth of long-standing companies, and the transformation of the business world. New start-ups are increasingly using cloud-based services as a sophisticated deployment mechanism.
Businesses have concluded that integrating data is the only feasible strategy for exploiting its potential. When businesses have all the information they need in one place, they can find and use the most relevant and accurate insights within it. They have an advantage over rivals because of their capacity to strategically incorporate these insights into their corporate operations. For example, International Business Machines Corporation, a provider of data integration solutions, reported in August 2021 that 71% of banking and financial organizations that use data integration had benefited from it and gained a competitive edge in the market. Data integration in banks would thereby enhance their operational procedures and make it simpler to identify, get rid of, and prevent fraud.
These enormous datasets cover everything from business intelligence and consumer data analytics to real-time information distribution, data enlargement, and integration support questions. A crucial use case for data integration products and services is managing business and consumer data. Data integration, which brings integrated data into data warehouses, supports business intelligence, enterprise reporting, and advanced enterprise analytics. For instance, Oracle, a provider of data integration, automation, and business connectivity platforms, announced a number of updates to its cloud-based oracle autonomous data warehouse in March 2021. With the most recent updates, businesses now have access to a single data platform that allows them to ingest, store, process, and control all data in order to carry out different analytical tasks from any source. In addition, the platform has built-in tools for instantly transforming and uploading data from a user's device to the cloud, support for property graphs, and easy access to data lakes. Oracle machine learning technology is also intended to boost productivity.
Data Integration Market: COVID-19 Impact
Globally, COVID-19 has altered how company operations operate. Although the COVID-19 outbreak has highlighted flaws in business models across industries, it has also presented a number of opportunities for companies to digitalize and expand their operations across geographies as a result of the rise in the use of technologies like cloud, AI, analytics, IoT, and blockchain during the lockdown period. During the first and second quarters of 2020, business performance in the industrial and retail sectors significantly declined. The availability of vaccines and the significant progress made in controlling the pandemic, however, point to further investment in these areas over the course of the projected period as data integration solutions gain popularity across many corporate activities.
Data Integration Market: Drivers
Increase in Demand for Application-Based Integration to Drive Market Growth
Data integration solutions now include a significant amount of application-based integration. Industries like banking, healthcare, IT & telecom, manufacturing, retail & consumer goods, media & entertainment, and others choose application-based integration techniques to monitor any shady client transactions and financial crimes. Software used for application integration combines and improves data flow between two different software applications. Businesses frequently employ application integration software to provide a bridge between new cloud-hosted applications and legacy on-premises applications, allowing a variety of separately designed applications to cooperate.
Big Data Technologies' Ascendance Driving Market Growth
Organizations are dealing with several difficulties as a result of the expanding client base and the opening of new markets and locations. Since the development of big data technology, businesses have started to see the advantages of utilizing big data to its full potential and are spending money on big data technologies, such as data integration. Internal data sources like Enterprise Resource Planning (ERP), Customer Relationship Management (CRM), financial transactions from various departments, and external data sources like web and cloud data sources are among the expanding data sources that are resulting in a number of information silos. Traditional technologies are increasingly insufficient to gather and integrate data and merge various information silos, thus organizations need enhanced data integration tools. These tools can help organizations acquire useful business insights. Modern data integration tools, including advanced transformation tools provided by various vendors, are outfitted with cutting-edge features, such as data capture, data profiling, data quality, data governance, and metadata management, to process data post-integration, resulting in efficient and dependable data extraction.
Data Integration Market: Restraints
Lack of Expertise to Hamper Market Growth
In order to collect and integrate vast amounts of data from multiple internal and external data sources and to combine the information silos to obtain useful business insights, organisations should now use advanced data integration technologies in data management and business management. However, they are unable to embrace data integration techniques due to knowledge gaps and a lack of worker capabilities. Organizations typically operate in silos; therefore, data integration becomes more crucial in order to acquire a comprehensive understanding of many applications and verticals. Numerous reports and studies claim that surveys consistently demonstrate the inadequate knowledge and abilities of the workers in firms. Organizations should prioritize and make significant investments in training and certifications to address this problem by ensuring that the workforce has the necessary knowledge of big data integration techniques and strategies and can put those techniques into practice for effective data management.
Data Integration Market: Segment Overview
Cloud-Based Integration Software to Dominate Market
The market is divided into cloud and on-premises deployment types. The epidemic has made it more difficult for IT teams to manage scalable infrastructure for their product and service offerings and accommodate remote workforces. Cloud-based software is therefore anticipated to gain popularity after the pandemic's emergence. This pattern is likely to continue as the shift to virtual work highlights the need for off-premises technology services that are dependable, secure, scalable, and flexible.
Tools Category Dominated Market Due to its Processing and Storing Techniques
With a share of the global sales of more than 70% in 2021, the tools segment dominated the data integration market. Software tools can be blamed for the large share because they help implement solutions across different industries to collect, transform, and load data quickly. Tools offer a central location for processing and storing several data sets from various sources in one database. These technologies support the mapping, designing, purging, manipulating, and storing of data both on-premises and in the cloud. The organizational framework is provided by the software tools, which also support the operational facets of work in all fields. For instance, automated data integration tool vendor Fivetran Inc. enhanced its market-available data integration products in January 2022. In order to extract, transform, and load data from diverse sources into data warehouses, they incorporated a Software as a Service (SaaS) data integration tool. The business further automates its integration process by integrating data from sources like Salesforce, Inc. with cloud-based data warehouses like Amazon, Google Cloud, and Microsoft Azure.
Data Integration Market: Regional Landscape
North America to Dominate Market due to its Growing Adoption of Digital Techniques
With a 39%+ share of global revenue in 2021, North America led the market. The market's expansion is driven by industrialized nations like the U.S. and Canada. The region is evolving toward more advanced and cutting-edge technology as a result of the rising adoption of digital techniques. Growing technological developments in the region are important drivers of the North American market. The expanding market will benefit from the increase in global data integration companies. For instance, in August 2022, Software AG, a supplier of enterprise integration software solutions, purchased StreamSets, a business with headquarters in the United States that provides a platform for data integration that can be used to create, install, manage, and use smart data pipelines. With the acquisition, Software AG may now participate in the cloud data integration market, expanding its range of available products. Additionally, it would aid in corporate expansion, customer data integration services, and a stronger North American presence.
The Asia Pacific market is anticipated to experience stable revenue growth throughout the forecast period. To achieve both simple and reliable functionality, the top players are concentrating on expanding their product ranges, increasing investments, and forming strategic alliances. Along with this, a number of efforts were put into place, and it is projected that the industry would grow as regional e-commerce trade keeps growing. For instance, the data integration platform provider Boomi, LP. expanded its cloud data integration capabilities in Japan in July 2022. To satisfy the rising need for business automation and data integration solutions that would scale the company's business for clients throughout the region, the company made an investment in the Japanese market.
Global Data Integration Market: Competitive Landscape
The TIBCO Analytics Forum (TAF) platform was reintroduced in June 2022 for the company's customer base by TIBCO Software Inc. The platform will assist businesses in connecting, uniting, and making reliable business predictions. The platform will support the expansion of its product range and data integration. This will bring in more new clients for the business. Moreover, To improve the data life cycle of businesses, Informatica Inc. announced the Intelligent Data Management Cloud (IDMC) platform for Financial Services in May 2022. The organization introduced the solution to improve customer data experience. The business will be able to increase the number of solutions it offers to potential clients.
Few of the players in the Data Integration Market include IBM(US), Microsoft(US), SAP(Germany), Oracle(US), SAS Institute(US), Talend(US), Informatica(US), Precisely(US), Software AG(Germany), Salesforce(US), Qlik(US), Tibco(US), Hevo(US), Denodo Technologies(US), Actian(US), HVR(US), Hitachi Vantara(US), Adeptia(US), Boomi(US), Jitterbit(US), Opentext(US), Snaplogic(US), Workato(US), Youredi(Finland) and Zigiwave(Bulgaria).
Global Data Integration Market is Segmented as Below:
By Deployment Mode
By Organization Size
By Business Application
Key Elements Included In The Study: Global Data Integration Market
Post Sale Support, Research Updates & Offerings
We value the trust shown by our customers in Fairfield Market Research. We support our clients through our post sale support, research updates and offerings.
Under uncertainty, traditional approaches to strategic planning can be downright dangerous. True ambiguity is no basis to forecast the future – degree of risk, the magnitude of circumstances, conditions and consequences are not known or unpredictable. To avoid dangerous binary views of uncertainty; strategic posture, moves and actions through market research is the best bet.Read more