New report highlights business opportunities in software testing for telecoms

According to a recent report, the global software testing market in the telecoms sector is expected to exceed US$3 billion by 2019, growing at a CAGR of over 8% during the forecast period.

Growth due to increased awareness and adoption of software testing services

The report produced by Technavio shows that the global software testing market in telecoms is predicted to grow at a steady growth rate due to various factors such as increased awareness and adoption of software testing services.

Testing services have become an inherent part of the lifecycle of product development to deployment of software. They have become an important factor in addressing risks early in the lifecycle, and thus assuring reliability and compliance.

According to Amit Sharma, lead analyst for IT professional services research at Technavio, “the software testing services are growing rapidly because of the increased pressure to reduce cost, improve customer services, enhance employee productivity, and optimise business processes.”

Americas: increased consumerisation of data services propel growth

The software testing market in the telecoms sector in the Americas is expected to exceed US$1.4 million by 2019, growing at a CAGR of over 7%.

Software testing in the mobile network has been making a significant contribution to the telecoms software testing market in the Americas. With the increase in Internet penetration, it has become more important to develop and maintain next-generation CRM systems that require highly managed test environment support.

Increased consumerisation of data services and location-based applications in the telecoms sector are key drivers for growth of software testing in the Americas. Growing demand for cloud services will lead to the entry of new vendors in the cloud-based testing services space to meet the expectation of telecoms providers that aim to implement the latest technologies and innovations.

EMEA: favourable regulatory framework to boost growth

In the EMEA market, software testing services in the telecoms sector is expected to exceed US$1 million by 2019, growing at a CAGR of over 8%.

The telecoms sector companies in EMEA are committed to increasing their expenditure on IT-related services such as extending IT support coverage, ensuring high availability of the testing environment, and contracting cloud-based testing services to provide seamless co-ordination among in-house software testers and developers.

Africa has witnessed increased spending in telecoms services because this region has seen the fastest mobile subscriber growth in the world. Factors such as low call prices, penetration of low-income segments, low cost of ownership for handsets, and better network coverage in rural areas will promote the growth of software testing services in Africa.

“The Middle East too, has experienced tremendous growth in offshore software testing services and software deployment activities in the telecoms sector as a result of favourable regulatory framework and policy support from governments,” says Sharma.

APAC: high adoption of technologies in the telecoms sector to boost growth

The software testing market in the telecoms sector in APAC is growing rapidly with a CAGR of almost 9%.

APAC has been witnessing high adoption of technologies in the telecoms sector over the past few years. There have been some positive trends in this market that have led to the growth of mobile data services and online digital entertainment.

The key drivers in this market are the penetration of international companies in the region and the growth in the analytics software market for improved CRM, which is accelerating application development, testing, and maintenance services.

Also, an increased shift in the nature of business over the telecoms network such as managing marketing campaigns and social media analytics has changed the focus of companies to develop and test the platform for related applications and software in APAC.


Edited from press release by Cecilia Rehn.