Outsourced Software Testing Market To Reach USD 5.28 Billion by 2032, at a 4.02% CAGR – Market Research Future (MRFR)


The projected growth of the outsourced software testing market can be attributed to the surge in test automation services, the growing popularity of crowdsourced testing, the adoption of cloud computing, and the increasing demand in the Asia Pacific region.

New York, USA, May 27, 2023 (GLOBE NEWSWIRE) — According to Research Report by Market Research Future (MRFR), “Outsourced Software Testing Market Information by Deployment Type, and Region – Forecast till 2032″, the market was valued at USD 3.56 Billion in 2022. The Outsourced Software Testing Market industry is projected to grow from USD 3.73088 Billion in 2023 to USD 5.28 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 4.02% during the forecast period (2023-2032).

Market Scope:


The process of running a program or system in order to detect mistakes, such as faults or bugs, is known as software testing. It is a step in the overall software development and maintenance life cycle, which checks that the program is appropriate for use and looks for bugs before it is made available to the public. Software testing may be carried out by internal staff members who are employed by the firm to undertake the testing or by outsourcing it to a third-party organization that specializes in technology testing, which will carry out the testing on the company’s behalf. The market for outsourcing software testing is expanding as it gains popularity among software developers and entrepreneurs.

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Market Competitive Landscape:

The important companies active in the outsourced software testing industry:

  • Wipro Ltd
  • Cognizant
  • Accenture
  • Infosys Ltd
  • Hexaware Technologies Ltd.
  • Tata Consultancy Services
  • Polaris Consulting & Services Ltd.
  • Capgemini
  • Tech Mahindra Ltd.
  • HCL Technologies

These companies place a lot of attention on partnerships and collaborations with other suppliers and merchants in order to grow their business on a global basis. Additionally, these companies have been successful in expanding their customer bases and capturing market share by concentrating on launching new products and product lines with cutting-edge features.

Leading industry players are focusing on mergers and acquisitions to broaden their product lines and improve their competitiveness.

Scope of the Report – Outsourced Software Testing Market:

Report Metrics Details
Market Size by 2032 USD 5.28 Billion
CAGR during 2023-2032 4.02%
Base Year 2021
Forecast Period 2023-2032
Report Coverage Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
Segments Covered deployment type – cloud and on-premises, cloud deployment type

Market USP Covered:

Market Drivers:

The surge in test automation services is a significant factor in the industry. Businesses are very interested in test automation services. They reduce the turnaround time for testing and speed up software testing. With these services, the tester tests the software utilizing an automated testing methodology. The main objectives of test automation services are to reduce manual intervention and improve testing outcomes. The login and registration forms, user access counts, all GUI elements, database connections, and other test-related duties are all automated by the automation tool during the software testing process. Additionally, these services offer a variety of benefits that persuade companies to use them, like quicker testing times and cost savings.

Because of the emergence of new software development approaches like DevOps and Agile, the use of test automation services has expanded. As an illustration, Cigniti Technologies has created an Automation Centre of Excellence (ACoE) with the express purpose of offering test automation services. The Cigniti Test Automation Accelerator Kit provides pre-built test automation scripts, tools, process assets, and frameworks for the purpose of carrying out test automation services. In this fast-paced, fiercely competitive business environment, businesses have increased their use of test automation services to hasten the delivery and deployment of their software. Therefore, during the forecast period, these factors will accelerate the growth of the global market.

Market Opportunities:

One new trend in the market is the increasing popularity of crowdsourced testing. A distributed collection of temporary workers from all around the world perform testing services under the name “crowdsourced.” It provides an important testing technique for the validation of applications in the final phases of software development. Several mechanisms underlie the effectiveness of the crowdsourced testing strategy. It may be possible for testers to test the software using their environment, a crowdsourced testing platform, virtual machines (VMs), or device emulators in some situations. Sometimes, testers interact directly with clients and carry out tasks as necessary.

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Crowdsourced testing has many benefits, including scalability, speed, output-based pricing, device and geography coverage, and real-time software testing. Crowdsourced testing has grown incredibly popular due to its benefits. Leading companies have also worked with suppliers of crowdsourced platforms to enter the market for crowdsourced testing, like Accenture and Cigniti Technologies. During the forecast period, crowdsourced testing will gain more traction, and it is anticipated that other leading software testing service providers may break into this market via inorganic developments.

Market Restraints:

Startups and SMEs are the primary users of open-source testing tools due to their financial constraints. The biggest obstacles preventing these organizations from using proprietary software are installation and licensing costs. Open-source testing tools can be used to do both functional and non-functional software testing, among other types of testing. As a result, the rising popularity of open-source testing tools will limit market growth and make it more difficult for software testing firms to make money.

COVID 19 Analysis:

The COVID-19 outbreak had a positive effect on the market for external software testing. The demand for value-added services for software testing has increased, according to an NTT Ltd. report commissioned by International Data Group, Inc. (IDG). This is because the work-from-home model has become institutionalized amid regional and global quarantines. For a range of services and solutions to aid with the shift, businesses all over the world have turned to business software and service providers, and the trend is anticipated to continue in the near future. The extra feature would be helpful for several sectors, including healthcare and retail.

Market Segmentation:

  • By Deployment Type –The market can be divided into cloud and on-premises segments, in terms of deployment type. Because cloud computing is being rapidly embraced by businesses and organizations around the world, the segment of cloud deployment type is anticipated to grow at the highest rate during the forecast period. The market for outsourced software testing is anticipated to expand due to the rising popularity of cloud computing.

Regional Insights:

In 2020, the Asia Pacific region held the greatest market share for outsourced software testing due to the region’s growing digitization. India is the top market in the region since there is a large pool of qualified engineers and technicians that offer services at reasonable prices. The demand for outsourced software testing services has also greatly expanded due to the growing use of digital currencies, e-commerce, and mobile apps.

With an increase in the number of software development organizations outsourcing their software testing job here, India is poised to overtake the competition in the market for software testing. India clearly has an advantage in software testing because of the winning combination of cost, communication, exposure to different domains, testing philosophies, and test tools.

Given the rising demand for outsourced software testing services, the North American market will also perform excellently. Major factors anticipated to propel the expansion of the target market in North America include the region’s robust IT and telecommunications industries, the availability of highly qualified workers there, and the existence of reputable outsourcing firms.

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