The automation testing market is projected to grow at a CAGR of 18.50%, with estimated market size of USD 20.2 billion in 2021 to USD 55.9 billion by 2028. An increase in the use of this methodology, in addition to the agile development environment for quality assurance and testing, the digitalization of developing economies, the consumption of mobile-based applications, and the production of automobiles, among other significant factors, are all significantly boosting the market for automation testing. In addition, the future will provide new opportunities for the automation testing market due to the increased demand for mobile-based apps, technical advancements, modernization of production techniques, and increased R&D activities. But among other things, the market's growth is being constrained by high implementation costs and the prevalence of manual testing, which will make the automated testing market even more difficult to succeed in.

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Automation Testing Market Dynamics

Drivers: Growing adoption of cloud-based automation testing tools

One of the key factors driving the market for automation tools is the increasing acceptance of cloud-based automation technologies. Because cloud-based automation solutions are affordable, flexible, and scalable, SMEs and startups are adopting them in large numbers. In addition, the use of cloud-based automation testing tools is being greatly simplified by the integration of machine learning and artificial intelligence, which is also expected to support market growth throughout the forecast period.

Restraints: Lack of initial investment

The expansion of the automation testing market is expected to be significantly hindered by the lack of requisite skills in the development teams to manage the automation testing tools for defining the proper framework and scope of automation. In addition, the initial cost of the infrastructure, license fees, and operating expenses associated with maintaining the hardware are expected to limit market expansion. However, migrating to SaaS, IaaS, PaaS, and other cloud-based services is expected to mitigate the difficulty over the projection period.

Opportunities: Increasing adoption of mobile and web-based applications
 
The use of smartphones and the internet is now a necessary part of daily life. Software apps are one of the sectors in the mobile and web business that are growing the fastest. This market expansion is attributed to factors such as the low cost of smartphones, the abundance of web-based applications, the decline in data pricing, and the increased purchasing power of end users. End customers download programs based on treatment and rejection, two variables intimately related to the effectiveness of the application.

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The functional testing category is estimated to be the largest growth in the steam engine market during the forecast period

The functional testing category dominated the market due to the widespread use of these tools for evaluating software's functional requirements. It is a form of dynamic testing in which test cases are automatically run to see whether various software functionalities comply with operational requirements. Big businesses largely dominated the market for functional automation testing. However, due to the boom in information technology startups, the functional testing market's SME segment is expected to develop at the fastest rate.

Telecom & IT is estimated to be the largest growing market category during the forecast period

The Telecom & IT segment is projected to grow the fastest during the forecast period. The industry's growth is attributable to increased demand for secure software testing services among IT and telecom businesses. These heavily incorporate automated software solutions into their web-based platforms, operations & maintenance platforms, and billing update systems. These platforms need an interface that is both highly secure and scalable, which will raise the market's demand for automated software testing services. Telecom companies strongly emphasize digital transformation by launching 5G services in emerging markets like South Africa, Brazil, Argentina, and India.

The North American segment is estimated to be the largest growing market during the forecast period

North America is the largest automation testing market and is projected to grow at the fastest rate during the forecast period due to an increase in the use of agile development environments for quality assurance and testing; more mobile app use increased digitization of developing economies and increased automobile production in these areas. The market demand can also be attributed to the growing adoption of smart consumer goods in the U.S., including laptops, smart TVs, and other smart home appliances. Because software, web applications, and operating systems (OS) are tightly interwoven with smart consumer electronics, there is a need for comprehensive software test automation. The region's need for test automation services will rise as these smart consumer electronics become more widely used.

Key Market Players

The automation testing market is dominated by a few global players and comprises several regional players. Some key manufacturers operating in the market are IBM, CA Technologies, Micro Focus, Capgemini, Microsoft, Tricentis, Smartbear, Parasoft, Cigniti Technologies, Ranorex, Testplant, Sauce Labs, Applitools, Afour Technologies, Invensis Technologies, QA Mentor, Testim.Io, Codoid, Mobisoft Infotech, Infostretch, Thinksys, Astegic, Cygnet Infotech, Qualitykiosk and Qasource.

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