2022: the software industry is still growing
In recent years, the number of software applications has multiplied and they have invaded our lives. Whether it’s to play a game application, check the weather, access your bank accounts or read your e-mails, software is omnipresent and assists us in our daily lives.
As a result, software publishers have also evolved.
Software publishers are companies of all sizes, ranging from startups developing mobile applications to large groups specializing in cyber security. Bocasay provides offshore IT projects solutions for your software development needs.
What is a software publisher?
A software publisher is a company that designs, develops and markets software.
In this sector we can distinguish 2 main categories:
- System software
- Application software
System software
System software is software designed to provide a platform for other software. That is to say, that it provides the basic functionality of a computer, a tablet or a smartphone for example.
System software, includes operating systems (OS) such as:
- macOS
- GNU/Linux
- Android
- Microsoft Windows
- computing software
- game engines
- search engines
- industrial automation and SaaS (software as a service) applications
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Application software
Application software is software that performs specific tasks for an end user.
In fact, if the user interacts directly with a software, it is an application software. For example, Microsoft Word or Excel are application software.
This also includes the category of mobile applications, including communication applications such as WhatsApp or games such as Clash of Clans. It can also be versions of common service applications, such as those that provide weather or transportation information, or applications that allow customers to interact with businesses.
Application software is distinguished from system software, which refers to the software that makes systems work, such as the operating system, computer software, game engines, industrial automation and SaaS applications.
However, system software or application software vendors share the same body of work: they design, develop and market software products.
The evolution of software vendors in the market
“By 2025, more than 70 percent of enterprises will increase their IT spending on open source software compared to their current IT spending. In addition, by 2025, software as a service (SaaS) will become the preferred consumption model for open source software due to its ability to provide greater operational simplicity, security and scalability.”
These are Gartner Group’s predictions in the coming years. Indeed, as our way of consuming and working becomes more and more digitalized, software publishers will grow in parallel and will be ever more innovative in this already very competitive market.
After a growth of 6.3% in 2021, a growth of 7.1% is expected, according to Numeum.
Numeum also indicates that 48% of CIOs (Chief Information Officer) say that their IT budget will increase in 2022.
The sector not only creates jobs, but also strengthens the competitiveness of all national companies and creates or secures jobs in other sectors. In recent years, the adoption of digital technology by companies in the healthcare, retail and some public services sectors has proven the potential of digital solutions.
Job creation yes, but for who?
Today, the digital sector is one of the driving forces of the economy, with companies experiencing significant growth and transforming society. It is the sector that will generate the most new jobs in the years to come. And yet, recruitment difficulties represent the main obstacle to development for a large proportion of software publishers. This is partly due to several reasons:
- The underrepresentation of women in the digital field:
According to the DESI 2020 report, “While 57% of all higher education graduates are women, only 25% have graduated in digital fields, and 13% of these graduates work in the digital sector.”
- Overly rapid development:
The lack of female presence is not the only obstacle to this development. We can suspect that such a rapid evolution in the digital field, creates gaps between the demand and supply of work. Job offers are flourishing, new professions are emerging, but qualified personnel are not yet trained in these latest technologies. According to the same DESI 2020 report: “42% of the EU population lacks basic digital skills. These include a variety of skills, such as sending or receiving email, copying or moving files, finding information on the internet…”
In the meantime, software publishers are ready to take initiatives to overcome these recruitment difficulties. In fact, to attract talent, software publishers are increasingly attentive to their social (telecommuting, working hours, etc.) and non-financial societal positioning, particularly through responsible digital initiatives.
Many of them have signed the Planet Tech’Care manifesto launched by Numeum, which consists of a commitment to reduce the environmental footprint of digital technology.
The digital sector has a bright future ahead of it. The constant evolution towards digitalization offers us new opportunities and new jobs, which we must train for quickly if we want to be pioneers in this digital transition. Contact us for more information about developing your offshore IT projects.
