The worldwide enterprise application market is slated to reach $468.2 billion by 2027, according to a new report by Research and Markets.

A compound annual growth rate (CAGR) of 9.0% is anticipated for the forecast period, driven by the increasing demand for regulatory compliance, audit management, and the need for improved transparency in supply chain data and procedures to combat data leaks and breaches.

Among the various enterprise application solutions are business process management (BPM) and software configuration management (SCM), which help organizations manage and control inventory and track production. These applications largely aid in boosting productivity and efficiency across the organization.

Commenting on the pandemic’s impact on the market’s burgeoning growth, Research and Markets notes that the closure of retail stores and malls has resulted in significant growth in enterprise application software adoption for managing web-based data.

For instance, among the deployment types of enterprise applications — on-premise, cloud, and hybrid — the cloud segment accounted for the largest revenue share in 2020. However, data security and privacy concerns are market restraining factors. 

“Data collection and transmission from one channel to another are part of enterprise content management. Many firms believe that enterprise content management solutions are expected to result in data theft in their highly abstracted data sets caused by a lack of sufficient information about security standards and their implementation,” according to Research and Markets’ report. 

The report also states that Microsoft holds the majority of the enterprise application market share. Oracle, IBM, and SAP are among other leading vendors in the market. 

Based on region, Asia Pacific registered a promising revenue share, owing to rapid advancements in economic growth, globalization, foreign direct investment, smartphone penetration, and increased internet usage among the workforce.