Low-Code Development Platform Market Flourishes at a CAGR of 26.1%

Introduction

Low code development platform provides simpler and seamless ways for professional business development to construct an efficient business application. These platforms are utilized mainly for developing applications for small-scale and large-scale organizations. Several industries are increasing their business through technological developments, which is projected to boost market growth.

Market Dynamics

Increased Demand for Low Code Artificial Intelligence Stimulates Market Demand

AI is gaining ground in industries worldwide. However, a shortage of qualified talent and greater implementation costs hinder its implementation. According to Cisco's report, Transforming Business with AI, firms have strategically prioritized AI, yet, a lack of talent pool hinders its complete adoption. Low code artificial intelligence is a game-changing notion in AI technology for application and software development. Numerous organizations invest in the platform for its extensive use and future benefits.

In September 2021, for instance, Akkio raised USD 3 million from Bain Capital Ventures to automate the business's decision-making using artificial intelligence and machines. Instead of relying on data science, the company provides a low code platform with innovative technology for gaining in-depth business insights. Enterprises can reap numerous benefits, including enhanced data analytics, user experience, cost reductions, rapid development, and more. Thus, the growing trend of low code AI is anticipated to fuel future market growth for low code development platforms.

Implementation of Low Code Application in the Healthcare Sector Create Umpteen Market Opportunities

The global healthcare industry thrives due to significant technical developments and government funding. In the healthcare industry, a low code development platform is implemented to speed the data integration process, improve workflow efficiency, and enhance the patient experience. Utilizing low code development cloud technology can significantly aid in integrating patient data across several systems, enabling healthcare practitioners to examine patient histories and give better care, boosting industry growth.

In addition, low code platforms are cost-effective; non-technical personnel can operate the servers without needing professional assistance, resulting in significant reductions in ownership costs. Low code application platforms also play a crucial role in developing apps to meet the dynamic nature of technology by facilitating the creation of mobile-friendly applications that can aid in virtual consultations, thereby reducing hospitalization costs and providing a secure network for encrypted communication. Consequently, the advantages of low code development technology in the healthcare industry are accelerating the market's expansion.

Regional Insights

North America accounted for the largest market share during the forecast period. Numerous important market participants offer low code development platforms and services to all regional end customers. The US and Canada have robust economies and are anticipated to contribute to the low-code development platform market expansion. The most influential variables in deploying low code development platforms and services are geographic presence, considerable Research and Development (R&D) efforts, collaborations, acquisitions, and mergers. The key suppliers, such as Salesforce, Microsoft, Appian, and Pegasystems, offer expanded low code development platforms and services to meet client’s requirements, which drives the expansion of the global market in North America.

Asia-Pacific is the fastest growing region during the forecast period. According to the 2020 Software Survey of Asia-Pacific, more than 50% of the region's top executives feel confident deploying the low code platform throughout their respective firms. The Chinese IT developers are strongly urged to utilize low code platforms for effective workflow. 9% of IT professionals, according to the Mendix Survey, accept the platform. Due to the ongoing Atmanirbhar Bharat plan, India is expected to experience substantial growth.

Key Highlights

• The global low-code development platform market size was valued at USD 30.8 billion in 2024 and is projected to reach from USD 38.8 billion in 2025 to USD 248.1 billion by 2033, growing at a CAGR of 26.1% during the forecast period (2025-2033). 

• By component, the global low code development platform market is bifurcated into Platforms and Services. The Platform segment accounted for the largest market share during the forecast period. 
• By deployment, the global low code development platform market is divided into On-premises and Cloud. The On-premise segment accounted for the largest market share during the forecast period.
• By application, the global low code development platform market is bifurcated into Web-based and Mobile-based. The Web-based segment accounted for the largest revenue share during the forecast period.
• By enterprise size, the global low code development platform market is segmented into SMEs and Large Enterprises. The Large Enterprise segment accounted for the largest market share during the forecast period. 
• By industry, the global low code development platform market is bifurcated into BFSI, IT & Telecommunication, Education, Government, Manufacturing, Healthcare, Retail, Media & Entertainment, and others. IT & Telecommunication is the dominant segment during the forecast period. 

• By region, the global low code development platform market is categorized into North America, Europe, Asia-Pacific, and LAMEA. North America holds the leading market position.

Competitive Players

1. Salesforce
2. Appian
3. Mendix
4. Microsoft
5. Pegasystems
6. Zoho
7. OutSystems
8. Oracle Corporation
9. ServiceNow
10. TrackVia
11. K2
12. Betty Blocks
13. Magic Software Enterprises
14. AgilePoint
15. Quick Base

Recent Developments

Recent Developments

• January 2024- MGM Technology Partners (MGM) and q.beyond collaborated for the implementation of software development projects in the future. This partnership aims to cover all types of enterprises, mgm will cover large enterprises, and q.beyond can cover medium and small clients through their A12 partner programs.
• June 2024- Nokod Security declared the general accessibility of the Nokod Security Platform. The platform is created to enable organizations to protect their data against security threats, vulnerabilities, compliance issues, and misconfigurations introduced by LCNC applications and robotic process automation (RPAs).

Analyst Opinion

As per our analyst, the demand for low-code development platforms is experiencing significant growth, primarily driven by the increasing need for digital transformation across various industries. Organizations are actively seeking faster and more cost-effective methods for application development, minimizing reliance on specialized coding skills. The integration of AI features within these platforms further enhances their appeal, enabling businesses to manage processes efficiently and derive valuable insights from data.

However, despite this positive trajectory, several factors are constraining market growth. These include limitations in software integration and customization capabilities, which may hinder user flexibility. Moreover, security concerns regarding data protection in low-code environments pose a challenge that organizations must address to fully leverage the potential of low-code development.

Segmentation

1. By Component
   1. Platform
   2. Services
2. By Deployment
   1. On-premises
   2. Cloud
      1. Private
      2. Public
      3. Hybrid
3. By Platform Type
   1. General-Purpose Platform
   2. Database App Platform
   3. Process App Platform
   4. Request Handling Platform
4. By Application Type
   1. Web & Cloud Based
   2. Mobile Based
   3. Desktop Based
5. By Organization Size
   1. Small and Medium-Sized Enterprises (SMEs)
   2. Large Enterprises
6. By Industry
   1. BFSI
   2. IT & Telecommunication
   3. Education
   4. Government
   5. Manufacturing
   6. Healthcare
   7. Retail & E-commerce
   8. Media & Entertainment
   9. Other