Embedded software systems are advanced micro-systems that are designed to stand alone and run software programs independently. These systems are used to control electronic devices that are non-traditional computers and are different from operating systems and firmware. They are typically used to connect to microchips and for non-PC applications. A wide range of devices uses embedded software, including cars, biomedical devices, televisions, industrial robots, and 5G telecommunication equipment among others. In recent years, there has been a consistent increase in the manufacturing of smart devices, all of which need efficient embedded software to function properly. Moreover, the steadily rising disposable income of consumers is enabling them to purchase more advanced electronic devices, creating indirect demand for efficient embedded software. Given the growing demand for embedded software in the digital world, the global embedded software market is expected to thrive in the foreseeable future.  

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Strong Global Demand for Consumer Electronics Unlocks Promising Growth Outcomes for Embedded Software Market  

Consumer electronics cannot function without embedded computing systems. The use of embedded computing technology in consumer electronics has grown as people's standard of living and technological awareness have improved. With new advancements in the Internet of Things, embedded systems have become an urban necessity. The demand for embedded computing systems is anticipated to rise in the coming years as the worldwide sales of smartphones and sophisticated IoT-powered devices continue to expand. During the forecast period, the rising use of connected consumer products like smartphones, heart rate monitors, and smart home appliances are expected to drive the demand for embedded software systems. In this lucrative business landscape, major players in the embedded software market are predicted to engage in high revenue-generating opportunities, creating novel prospects for open innovation and M&A.  

Diverse Applications in Telecommunications Segment Promotes Product Differentiation in Embedded Software Market  

The telecommunications segment is projected to command a significant share in the global embedded software market. A diverse range of telecommunication base equipment such as servers, routers, modems, and communication modules require advanced embedded software. Embedded software is extensively used to manage and operate base station equipment, effectively controlling telecommunication operations. Over the study period, growing expansion in emerging economies’ 5G base stations is set to create tremendous demand for embedded software. It is worthwhile to note that the rampant deployment of cloud-enabled services in next-gen organisations is expected to promote innovation in cloud connectivity tools for embedded software systems. Moreover, the applications of embedded software in building telematics products and in-car entertainment as well as navigation systems are likely to give way to product differentiation among key players in the embedded software market. 

Being a Flourishing Technology Hub, North America Sustains Primacy in Embedded Software Market   

North America is expected to hold a considerable share in the embedded software market due to early technology adoption and a strong presence of major technology vendors. Additionally, there has been a rising demand for embedded computer systems in the region owing to the development of advanced robots, industrial automation systems, and IoT-enabled applications. In the years to come, new demand for embedded software in North America will emerge from leading healthcare providers as they move towards computationally intensive applications.  

Prominent Market Players  

Some of the leading players in the global embedded software market are IBM, Microsoft Corporation, National Instruments, HCL Technologies, and VIA Technologies, Inc.  

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