Software Rental Service enables users to access software applications on demand without requiring to purchase expensive licenses. Software Rental Service provides cost-effective subscription-based access to productivity software applications for various business functions. The service allows users to access latest and regularly updated versions of software with smooth integration capabilities across devices. The global Software Rental Service Market is estimated to be valued at US$ 42.92 Bn in 2023 and is expected to exhibit a CAGR of 6.0% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Growing adoption of mobile and cloud computing technologies has propelled the software rental service market. Access to applications through the cloud enables users to utilize latest software versions from anywhere using mobile and internet connected devices. Rental services offer standardized software licenses tailored for individual user needs through simple subscription plans. This provides flexibility and removes upfront capital investment barriers for users. The pay-per-use model has made software more affordable and accessible for small businesses and individuals globally.
SWOT Analysis
Strength: Software rental services provide scalable and flexible use of software without large upfront costs. Companies can test different software solutions before full adoption.
Weakness: Subscriptions may prove more expensive over time compared to outright purchase. Software is only accessible during subscription period.
Opportunity: Growing popularity of cloud-based subscription models among organizations of all sizes increases demand for software rental services. Shift from perpetual licenses to subscriptions also boosts market.
Threats: Alternative purchasing models like pay-per-use threaten share of subscription-based software rental services. Frequent software updates require continuous investments to support latest features.
Key Takeaways
The global software rental service market is expected to witness high growth during the forecast period of 2023 to 2030. The market size for 2024 is projected to reach US$ 42.92 billion, indicating strong demand.
Regional analysis: North America currently dominates the market and is expected to continue its leadership through 2030 owing to early technology adoption. Europe follows in second place boosted by rapid digitalization initiatives especially among SMEs in countries like Germany and UK. Asia Pacific is poised to witness fastest growth supported by expansion of cloud-based infrastructure and service providers in countries like India and China.
Key players operating in the software rental service market are Adobe Inc., Microsoft Corporation, Salesforce.com Inc., Oracle Corporation, Intuit Inc., SAP SE, Autodesk Inc., IBM Corporation, Dropbox Inc., Slack Technologies Inc., Google LLC, Zoom Video Communications Inc., Atlassian Corporation Plc, ServiceNow Inc., and HubSpot Inc. Many top software developers offer flexible subscription-based licensing models to tap growth opportunities in the software rental services segment.
*Note:
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it
