Automation Testing Market Trends

  • Report ID: 4740
  • Published Date: May 08, 2025
  • Report Format: PDF, PPT

Automation Testing Sector: Growth Drivers and Challenges

Growth Drivers

  • Higher Implementation of IoT – In the IoT, automated testing is necessary for a variety of devices, services, and IoT layer components. Therefore, a rise in the number of IoT-connected devices is expected to increase the demand for automated testing. In 2020, globally there were nearly 10 billion IoT-connected devices, and this number is expected to increase by nearly three times to reach around 29 billion devices by 2030.
  • Increasing Use of Smartphones– Automated testing fixes all the bugs of the application and ensures its securing and delivers smooth running of the application in smartphones. Almost six billion people now subscribe to smartphones around the world, and it is expected that figure will increase by several hundred million over the next several years. The top three countries for smartphone usage are China, India, and the United States.
  • Growing Adoption of AI-enabled Technology – Automated testing for these applications helps increase the overall quality and safety of the machinery while saving valuable diagnostic time. According to the new World Robotics 2020 Industrial Robots study released by the International Federation of Robotics, there are now a record-breaking 2.7 million industrial robots working in industries all over the world, a 12% increase. With 373,000 units shipped globally in 2019.
  • Rising Use of Online Applications- Automated testing helps developers understand the performance of the application in the users’ device. Consumers downloaded around 255 billion mobile apps to their connected devices as of January 2023, an increase of more than 80% from nearly 141 billion app downloads in 2016.
  • Growing Popularity of In-Vehicle Infotainment Systems – Automated testing enables the cost-effective development of software that is made exclusively for in-car infotainment. The emergence of cloud computing and the proliferation of smartphones have fueled the worldwide in-car infotainment business. In comparison to around 53% in 2014, almost nearly 82% of vehicles sold in 2019 have a dashboard touchscreen.

Challenges

  • Higher investment in deploying automation – Initial infrastructure of automation includes human capital, infrastructure, equipment, and others, which required a huge amount of investment. Moreover, in the cases of the construction industry, test automation of buildings becomes even more expensive, and in some cases, operating fees, licensing fees, and facilitating expenses are also added. Therefore, for small businesses, deploying automation becomes expensive.
  • Switching from manual to automated testing is challenging
  • Lack of qualified automation testers

Base Year

2024

Forecast Year

2025-2037

CAGR

15.4%

Base Year Market Size (2024)

USD 33.13 billion

Forecast Year Market Size (2037)

USD 213.25 billion

Regional Scope

  • North America (U.S. and Canada)
  • Asia Pacific (Japan, China, India, Indonesia, Malaysia, Australia, South Korea, Rest of Asia Pacific)
  • Europe (UK, Germany, France, Italy, Spain, Russia, NORDIC, Rest of Europe)
  • Latin America (Mexico, Argentina, Brazil, Rest of Latin America)
  • Middle East and Africa (Israel, GCC, North Africa, South Africa, Rest of the Middle East and Africa)

Browse key industry insights with market data tables & charts from the report:

Frequently Asked Questions (FAQ)

Automation Testing Market in 2025 is assessed at USD 37.21 billion.

The global market size was worth around USD 33.13 billion in 2024 and is set to register a CAGR of more than 15.4%, exceeding USD 213.25 billion revenue by 2037.

North America is anticipated to approach USD 74.64 billion by 2037, fueled by rising investment in advanced technologies.

The major players in the market include Sauce Labs Inc., IBM Corporation, Micro Focus International Plc, Capgemini SE, SmartBear Software, Tricentis, Parasoft, Cigniti Technologies Limited, Keysight Technologies Inc., Invensis Technologies Pvt. Ltd.
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