Software Publishing

Business for Sale Industry Economics




Projected CAGR

2002 - 2021


2021 - 2027






Quick Scroll


Operators in the Software Publishing industry design, develop and publish software.

Industry revenue expanded rapidly over the five years to 2021, as businesses and consumers increased their investment in software, computers, smartphones and video games.

Rising private investment in computers and software stimulated demand from businesses, while higher consumer spending encouraged consumers to spend on software as well.

Moreover, new internet-based solutions and the increasing popularity of mobile devices have triggered an explosion of mobile software applications.

Industry revenue is estimated to rise at an annualized rate of 7.8% to $396.7 billion over the five years to 2021.

In 2020, the industry encountered remarkable revenue growth of 12.6%, as the COVID-19 (coronavirus) pandemic incentivized businesses to increase spending on software for remote operations and consumers increased spending on social and entertainment software offerings.

Revenue is anticipated to rise 3.3% in 2021.


The Software Publishing industry is engaged primarily in the dissemination of software licenses to customers for the right to execute software on their own computers and other devices.

Software publishers typically develop and distribute their own software, as well as support materials and services.

Rapid advancement in complementary industries, such as the Semiconductor and Circuit Manufacturing industry and the Telecommunication Networking Equipment Manufacturing industry, has presented new avenues for software publishers over the five years to 2021.


The Software Publishing industry is expected to expand over the five years to 2026.

Private investment in computers and software and the percentage of households with at least one computer are each anticipated to rise during the period, which will stimulate industry demand.

Faster mobile internet connections and smartphone ownership rates will also support industry growth as new markets emerge and mature.

pexels photo 207580


Software publishers disseminate licenses to customers for the right to execute software on their own computers.

Operators in this industry market and distribute software products and may also design the software, produce support materials and provide support services.


There is a low degree of capital intensity in the security software publishing sector. The researchers anticipate that just $0.04 every dollar spent on salaries will be spent on capital, by 2020, by using salaries as a proxy for labor and depreciation as a proxy for capital.

Unlike a manufacturing firm or retail sector, the software is an intangible product, therefore manufacturers don’t need substantial investments to debut. However, industry businesses require investment in software goods, such as computers, servers, and other hardware.

Because the quality of the software is solely dependent on the programmers who build it, labor accounts for a significant amount of industry expenditures. Software development necessitates highly qualified workers, resulting in a high average industry pay of about $170,000 in 2020.

Employees must continually work to detect new dangers and install software to guard against them since computer risks are continuously developing.


During 5 years through 2020, there has been moderate to low sales volatility in the security software publishing business. Security Products are seen as nondiscretionary by many consumers and enterprises, assuring industry income stability.

In addition, as individuals increasingly utilize the internet (PCs and mobile devices) for financial purposes (such as online banking and mobile financial transactions) and as companies are speeding up their data usage in corporate decision-making every day, safety concerns have increased.

As a result of these worries, the sector has seen constant sales growth as consumers and organizations seek better security software. Year-over-year sales growth rates for the industry have varied from 13.2 percent in 2018 to 1.4 percent in 2020. The COVID-19 (coronavirus) pandemic in 2020 is expected to have a significant impact on income.

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