Business Intelligence (BI) Market Analysis by Mordor Intelligence
The business intelligence market stands at USD 38.15 billion in 2025 and will reach USD 56.28 billion by 2030 on an 8.17% CAGR. Cloud-native architectures, AI-enhanced analytics, and growing data-driven cultures keep demand high across enterprises of all sizes. Real-time ingestion of semi-structured data, GPU-accelerated query execution, and rising adoption of embedded analytics move the conversation beyond historical dashboards toward predictive and prescriptive models. Subscription pricing and managed services lower entry barriers, while multi-cloud strategies mitigate vendor lock-in and support compliance in regulated sectors. Intensifying competition comes from hyperscalers that bundle analytics with infrastructure and from AI-native start-ups focused on no-code automation. Skills shortages, cross-border data-sovereignty rules, and cloud egress fees remain the main speed bumps for the business intelligence market. [1]Microsoft Investor Relations, “FY25 Q2 Press Release,” microsoft.com
Key Report Takeaways
- By component, software platforms accounted for 67% revenue share in 2024; services are expanding at a 10.3% CAGR to 2030.
- By deployment, cloud captured 66% of business intelligence market share in 2024 and is advancing at 9.5% CAGR through 2030.
- By business model, subscription and SaaS held 60% share of the business intelligence market size in 2024; managed service and BI-as-a-service options are growing at 14.21% CAGR.
- By end-user industry, BFSI led with 24.1% revenue share in 2024, while healthcare shows the fastest projected CAGR of 12.92% to 2030.
- By geography, North America generated 38.3% revenue in 2024; Asia-Pacific is set to expand at 12.7% CAGR to 2030.
Global Business Intelligence (BI) Market Trends and Insights
Drivers Impact Analysis
Driver | % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
---|---|---|---|
Cloud-first analytics adoption | 2.1% | Global, with acceleration in APAC and Europe | Medium term (2-4 years) |
Explosion of semi-structured IoT data | 1.8% | Global, concentrated in manufacturing hubs | Long term (≥ 4 years) |
Embedded BI in SaaS business apps | 1.5% | North America and Europe, expanding to APAC | Short term (≤ 2 years) |
Data clean-room partnerships in privacy-first advertising | 0.9% | North America and EU, driven by regulatory compliance | Medium term (2-4 years) |
GPU-accelerated query engines lowering TCO | 1.2% | Global, with early adoption in tech-forward regions | Medium term (2-4 years) |
Rise of Analytics-as-Code and GitOps practices | 0.8% | North America and Europe, spreading to APAC | Long term (≥ 4 years) |
Source: Mordor Intelligence
Cloud-first analytics adoption
Enterprises move BI workloads to cloud platforms that deliver elastic compute and native AI services, replacing on-premises stacks that struggle with real-time model execution. Oracle’s cloud revenue reached USD 6.2 billion in Q3 2025 with a 25% gain, and management linked the surge to AI projects that demand scalable GPU instances. Multicloud architectures become popular for best-of-breed analytics but raise issues around data movement costs and governance consistency. Regulated industries now treat cloud compliance automation as a competitive advantage rather than a risk, accelerating migration projects across healthcare and financial services. Vendors respond with regionally partitioned data controls, enabling compliant analytics while preserving performance. [2]Safra Catz, “Oracle Q3 2025 Earnings Call,” crn.com
Explosion of semi-structured IoT data
Factories, logistics hubs, and smart-city programs deploy billions of sensors that generate nested JSON and time-series streams. Classical relational warehouses cannot parse the scale or format, prompting uptake of streaming platforms that analyse data in motion. Edge appliances handle first-pass analytics to cut latency, then push summarized data to cloud AI models for fleet-wide insights. Nutanix found 85% of firms have a generative-AI deployment plan, and more than half are funding infrastructure upgrades to support high-volume analytics. This driver sustains double-digit growth for GPU-accelerated engines and in-memory column stores across the business intelligence market.
Embedded BI in SaaS business apps
SaaS vendors fold dashboards, natural-language queries, and no-code predictive tools into core workflows, turning BI from a stand-alone product into an integrated feature. Salesforce embedded Tableau Einstein to bring predictive CRM insights inside its user interface. Small firms without dedicated data teams now access enterprise-grade analytics through subscription tiers, widening the adoption base for the business intelligence market while commoditizing basic reporting. Providers differentiate by performance at scale and by vertical-specific models that interpret domain language. [3]Nutanix Inc., “2025 Enterprise Cloud Index,” nutanix.com
Restraint % Impact on CAGR Forecast Geographic Relevance Impact Timeline
Parallel processing across thousands of GPU cores slashes query latency from minutes to seconds, enabling interactive exploration of data sets once considered archival. Oracle and NVIDIA launched a joint cloud service offering more than 160 AI tools, expanding access to accelerated compute. Financial firms deploy GPU engines for real-time risk scoring, and e-commerce players use them for millisecond-level recommendation updates. Lower hardware costs per workload democratize complex analytics, pushing overall business intelligence market penetration deeper into mid-market segments.
Restraints Impact Analysis
Restraint | % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
---|---|---|---|
Shortage of data-literate workforce | -1.9% | Global, acute in emerging markets | Long term (≥ 4 years) |
Up-front integration cost for legacy core systems | -1.4% | North America and Europe, legacy-heavy industries | Medium term (2-4 years) |
Escalating egress fees in multi-cloud BI architectures | -0.8% | Global, concentrated in cloud-heavy deployments | Short term (≤ 2 years) |
Data-sovereignty clamp-downs in emerging digital-trade rules | -1.1% | Global, with regional variations in enforcement | Medium term (2-4 years) |
Source: Mordor Intelligence
Shortage of data-literate workforce
Delivering AI outputs is only half the job; turning them into operational decisions requires staff fluent in statistics and domain context. Healthcare systems report 41% skill gaps for AI projects, and public agencies cite similar shortages. Talent scarcity inflates salaries, extends project timelines, and forces vendors to invest in automated insight generation and natural-language interfaces to bridge capability gaps. The constraint slows rollouts in emerging economies and rural regions, tempering the trajectory of the business intelligence market.
Up-front integration cost for legacy core systems
Banks, insurers, and utilities run decades-old transaction engines lacking APIs or real-time data delivery. Connecting modern BI layers requires custom middleware, data-replication pipelines, and exhaustive lineage documentation. Projects regularly overrun budgets and delay value realization, dampening executive enthusiasm for large-scale upgrades. Vendors now ship pre-built connectors and template models, but the integration hurdle still elongates sales cycles and inhibits adoption in resource-constrained organizations, especially outside Tier-1 markets.
Segment Analysis
By Component: Software Platforms Drive Innovation
Growing enterprise demand for AI-fuelled insights keeps software platforms at the forefront, representing 67% revenue in 2024. This dominance ensures the business intelligence market size for platforms will climb alongside an 8% CAGR for services that customize and optimize deployments. Microsoft’s Productivity and Business Processes division logged USD 29.4 billion in Q2 2025, with Dynamics 365 up 19% year-on-year, underscoring appetite for integrated business apps with built-in BI.
Platform vendors embed automated data modelling, natural-language search, and proactive notifications to distinguish themselves from visualization-only rivals. Salesforce’s Tableau Next introduced AI agents that surface anomalies inside workflows, shrinking time from data to action. Services teams profit from the added complexity, guiding regulated industries through model validation, audit-ready lineage, and domain-specific tuning. As a result, consulting revenues tied to the business intelligence market rise faster than legacy maintenance streams. [4]Salesforce, “Tableau Einstein Announcement,” salesforcedevops.net
By Deployment: Cloud Dominance Accelerates
Cloud held 66% of revenue in 2024 and is on pace for a 9.5% CAGR through 2030, reflecting its role as the default setting for new analytics. Hybrid adoption endures in defence and public sectors, but even these groups push non-sensitive workloads to regional cloud zones. SAP recorded EUR 4.9 billion (USD 5.3 billion) in cloud sales during Q1 2025, up 27%, showing legacy ERP clients migrating analytics modules first.
Elastic compute, global presence, and packaged AI services make cloud indispensable for real-time dashboards and model training. Edge nodes process local telemetry in manufacturing and retail, then sync summaries to cloud repositories, forming a distributed architecture that enlarges the business intelligence market footprint. On-premises solutions survive mainly where data-residency rules forbid external hosting, though containerized deployments now emulate cloud patterns inside private data centers.
By Business Model: Subscription Models Transform Revenue
Subscription and SaaS contracts formed 60% of turnover in 2024, and managed BI-as-a-service will grow 14.21% a year to 2030 as firms seek predictable OPEX. MicroStrategy’s subscription sales jumped 61.6% in Q1 2025 while perpetual licenses fell, demonstrating the pivot toward recurring models. Consumption-based pricing appeals to start-ups and seasonal retailers whose analytical demands fluctuate.
Managed services resonate with mid-market firms lacking specialist headcount. Providers bundle platform, data engineering, and data governance, lowering adoption risk and enlarging the addressable pool for the business intelligence market. Vendors must now supply constant value—new connectors, auto-ML models, or compliance updates—to keep churn low, incentivizing a steady cadence of incremental releases.
By End-User Industry: Healthcare Drives Growth
BFSI remained the biggest buyer at 24.1% revenue in 2024, applying BI to fraud detection, credit scoring, and regulatory reporting. Healthcare, however, posts a 12.92% CAGR to 2030, the fastest across verticals, pushed by value-based reimbursement and precision-medicine analytics. A survey of 168 hospital executives found 70% optimistic on AI’s predictive capabilities. This surge ensures the business intelligence market sees deeper penetration of HIPAA-compliant cloud solutions.
Manufacturing and retail adopt BI to optimize supply chains and personalize buying journeys. Telecom operators focus on churn reduction and network capacity analytics. Cross-industry demand for IoT telemetry and real-time operational intelligence widens the scope of the business intelligence industry, stimulating vendor innovation around unified semantic layers and composable metrics.

Note: Segment Share of all individual segments available upon report purchase
Geography Analysis
North America retained 38.3% revenue in 2024, anchored by a dense ecosystem of hyperscalers and ISVs that iterate quickly and cross-sell analytics into existing software estates. Investments now center on augmenting established deployments with generative AI and conversational BI to deepen usage. Stringent privacy and AI-ethics guidelines influence global product roadmaps, further elevating North America’s sway over the business intelligence market.
Asia-Pacific delivers the highest growth at 12.7% CAGR to 2030, a function of leapfrogging legacy constraints and state-backed digital programs. Forty-three percent of APAC firms plan to raise AI spend by more than 20% in the upcoming year. China accelerates around banking modernization and hospital analytics, while India and Southeast Asia benefit from rapidly expanding data-center capacity that reached 12.2 GW operational in 2024.
Europe grows steadily as GDPR and the forthcoming EU AI Act shape procurement. Vendors emphasize privacy-by-design, federated learning, and localized hosting to satisfy 144 national data-privacy laws that mirror GDPR principles. Latin America and Africa emerge as nascent hotspots, propelled by government cloud mandates and improving connectivity, yet limited by talent shortages and patchwork regulations that temper near-term contributions to the business intelligence market.

Competitive Landscape
Competition is moderate yet heating. Microsoft amplifies Power BI by bundling with Office 365 and Azure, ensuring ubiquitous exposure and unified identity management. Oracle, SAP, and IBM leverage broad portfolios to cross-sell analytics into ERP, HCM, and database franchises. Hyperscalers add pressure by offering serverless query engines and pay-per-use dashboards, squeezing margin for mid-tier vendors.
AI-native challengers focus on automated insight generation and code-first workflows, targeting developers frustrated with rigid semantic layers. Embedded-analytics specialists license white-label modules to SaaS providers, eroding demand for stand-alone tools in line-of-business use cases. Qlik’s USD 10 billion valuation following a USD 1 billion investment signals continued appetite for platforms that blend data integration and visualization.
M&A activity will intensify as incumbents buy niche AI or data-governance assets to fill gaps. Snowflake’s USD 250 million purchase of Crunchy Data extends Postgres compatibility, allowing transactional workloads to coexist with analytics in one platform. Patent filings in natural-language processing, vector search, and low-code modelling point to a future where usability and automated stewardship define leadership in the business intelligence market.
Business Intelligence (BI) Industry Leaders
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Rackspace US Inc.
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SAP SE
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Oracle Corporation
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Microsoft Corporation
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Cisco Systems Inc.
- *Disclaimer: Major Players sorted in no particular order

Recent Industry Developments
- June 2025: Snowflake announced the acquisition of Crunchy Data for an estimated USD 250 million to enhance PostgreSQL database services within its AI Data Cloud platform, targeting a USD 350 billion market opportunity in transactional data management.
- April 2025: Salesforce unveiled Tableau Next with AI agents and agentic analytics capabilities, built on the Salesforce Platform to enhance integration and streamline analytical workflows for both Salesforce and non-Salesforce customers.
- March 2025: Oracle and NVIDIA announced a massive collaboration integrating NVIDIA’s accelerated computing with Oracle’s AI infrastructure, providing over 160 AI tools and 100+ NVIDIA microservices through Oracle Cloud Infrastructure.
- February 2025: Informatica announced a USD 1 billion investment in cloud research and development, launching its Intelligent Data Management Cloud platform with AI-powered capabilities serving over 5,100 customers including 80% of the Fortune 100.
Global Business Intelligence (BI) Market Report Scope
Business intelligence (BI) is a technical process that analyzes data and presents actionable insights to help executives, managers, and other corporate end-users make informed business decisions. BI uses various methodologies, tools, and applications to enable organizations to collect data from internal systems and external sources, analyze, and create reports, dashboards, and data visualizations. Corporate decision-makers and operational workers use these analytical results to make well-informed decisions. BI-as-a-service helps organizations assess risk, reduce costs, and make better business decisions.
The BI market is segmented by component (software and platform and services), deployment (on-premise and on-cloud), end-user industry (BFSI, IT and telecommunication, retail, healthcare, and other end-user industries), and geography (North America, Europe, Asia-Pacific, Latin America, and Middle East and Africa).
The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
By Component | Software and Platform | ||
Services | |||
By Deployment | On-Premise | ||
Cloud | |||
By End-User Industry | BFSI | ||
IT and Telecommunication | |||
Retail and e-Commerce | |||
Healthcare | |||
Manufacturing | |||
Government and Public Sector | |||
By Business Model | Subscription / SaaS License | ||
Perpetual License | |||
Freemium / Usage-based | |||
Managed Service / BI-as-a-Service | |||
By Geography | North America | United States | |
Canada | |||
South America | Brazil | ||
Argentina | |||
Rest of South America | |||
Europe | Germany | ||
United Kingdom | |||
France | |||
Italy | |||
Spain | |||
Rest of Europe | |||
Asia-Pacific | China | ||
Japan | |||
South Korea | |||
India | |||
Australia | |||
New Zealand | |||
Rest of Asia-Pacific | |||
Middle East and Africa | United Arab Emirates | ||
Saudi Arabia | |||
South Africa | |||
Rest of Middle East and Africa |
Software and Platform |
Services |
On-Premise |
Cloud |
BFSI |
IT and Telecommunication |
Retail and e-Commerce |
Healthcare |
Manufacturing |
Government and Public Sector |
Subscription / SaaS License |
Perpetual License |
Freemium / Usage-based |
Managed Service / BI-as-a-Service |
North America | United States |
Canada | |
South America | Brazil |
Argentina | |
Rest of South America | |
Europe | Germany |
United Kingdom | |
France | |
Italy | |
Spain | |
Rest of Europe | |
Asia-Pacific | China |
Japan | |
South Korea | |
India | |
Australia | |
New Zealand | |
Rest of Asia-Pacific | |
Middle East and Africa | United Arab Emirates |
Saudi Arabia | |
South Africa | |
Rest of Middle East and Africa |
Key Questions Answered in the Report
What is the current size of the business intelligence market?
The market is valued at USD 38.15 billion in 2025 and is forecast to reach USD 56.28 billion by 2030 on an 8.17% CAGR.
Which deployment model dominates the business intelligence market?
Cloud deployment leads with 66% share in 2024 and will continue growing at 9.5% CAGR through 2030.
Which industry vertical is expanding the fastest in BI adoption?
Healthcare is set to grow at a 12.92% CAGR to 2030 due to value-based care and AI-powered diagnostics.
What are the primary restraints on BI market growth?
A shortage of data-literate professionals, high integration costs for legacy systems, rising cloud egress fees, and tightening data-sovereignty rules.
How competitive is the BI vendor landscape?
The top five vendors control about 55% of global revenue, indicating moderate concentration and active competition from hyperscalers and AI-native specialists.
Why are GPU-accelerated query engines important for BI?
They dramatically cut query times and infrastructure costs, enabling real-time analytics on large datasets and broadening BI adoption among mid-market firms.