License Management Software Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)

License Management Market Analysis

The License Management Market size is estimated at USD 1.29 billion in 2024, and is expected to reach USD 2.08 billion by 2029, growing at a CAGR of 10.06% during the forecast period (2024-2029).

• There has been a continuous shift toward managing IT services and their applications for short- and long-term strategic decisions. Depending on their features and capabilities, enterprises are investing heavily in their IT infrastructure to replace their legacy systems. The competitive upgrades and replacements could profoundly impact change on the broader market share in the future.
• With so many new technologies emerging almost daily, large and small organizations need to understand the software used. Managing software licenses has always been challenging and has become increasingly difficult in today's technologically advanced world. However, every organization's priority should be saving money by avoiding duplicate software licenses, over-licensing, and over- or under-spending.
• Digital technologies are being adopted across various manufacturing industries due to the rapidly evolving capabilities of the software used, further boosting the market's growth.
• As more companies increasingly move to cloud computing and embrace digitalization at every turn, optimization is an essential part of this growing trend.
• The profit margins across organizations are continuously declining, owing to increased competition and rapidly changing technologies. As such, various enterprises are increasingly getting focused on saving operational costs. License management software is one of the ways to reduce costs as organizations are on the lookout to optimize software usage and avoid any loss due to license non-compliance. License management lets companies control all agreements, contracts, license entitlements, and software inventory from a centralized location.
• The Business Software Alliance (BSA) is a global industry organization whose mission is to advocate for legal software usage and enforce compliance among businesses. To fulfill this duty, the BSA regularly performs court-ordered audits at organizations to ensure they comply with all software licenses, whether small mom-and-pop shops, massive enterprises, academic institutions, or government agencies.
• The COVID-19 pandemic has significantly disrupted the supply chain. Moreover, it has exerted significant pressure on large and small enterprises due to the global lockdown restrictions, which have forced a majority of employees to work from home. This has prompted organizations globally to adopt several digitalization technologies to collaborate remote working while optimizing productivity. However, large-scale remote working and the sudden wave of digitalization poses several challenges and threats to IT teams across these enterprises.

License Management Market Trends

This section covers the major market trends shaping the License Management Market according to our research experts:

Healthcare Segment to Drive Market Growth

License Management Industry Segmentation

License management is a powerful tool that an organization uses to document and manage its software licenses and ensure compliance with the developer's software license. It offers full visibility into company-wide software usage, can optimize all the licenses, reduce costs, and protect future software investment.

The license management market is segmented by component (software and services), deployment (on-premise and cloud), application (audit services, advisory services, compliance management, license entitlement and optimization, operations and analytics, and other applications), end-user vertical (BFSI, healthcare and life sciences, IT and telecommunication, media and entertainment), and geography.