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Low-Code Software Tools Fuel Transformation

Many CEOs have shared their concern that the digital transformation apps backlog within their organization is causing delays in planned growth initiatives. Therefore, they're investing in new approaches to the challenge.

The worldwide market for low-code software development technologies is forecast to total $26.9 billion in 2023 -- that's an increase of 19.6 percent from 2022, according to the latest worldwide market study by Gartner.

"Business Technologist" roles and a growing number of hyper-automation initiatives will be the key drivers accelerating the adoption of low-code software technologies through 2026.

Low-Code Software Market Development

"Organizations are increasingly turning to low-code development technologies to fulfill growing demands for speed application delivery and highly customized automation workflows," said Varsha Mehta, senior research specialist at Gartner.

Equipping both professional IT developers and non-IT practitioners -- e.g. business technologists -- with diverse low-code tools enables organizations to reach the level of digital competency and speed of delivery required for the modern agile environment.

Low-code application platforms (LCAPs) are projected to be the largest component of the low-code software development technology market, growing 25 percent to reach nearly $10 billion in 2023.

While LCAP is the largest market segment, the citizen automation development platform (CADP) category is projected to grow at the fastest pace, with a 30.2 percent growth forecast for 2023.

Typical use cases of CADP include automating workflows, building web-based forms, bridging data and content across multiple Software-as-a-Service (SaaS) applications, and creating reports and data visualizations.

According to the Gartner assessment, the high cost of sourcing traditional IT talent, and a growing hybrid or distributed workforce, will contribute to low-code technology's ongoing adoption.

Empowered by the intuitive, flexible, and increasingly-powerful features of low-code software development tools, business technologist practitioners are creating solutions to meet the growing need for enterprise productivity, efficiency, and agility.

Gartner predicts that by 2026, software developers outside formal IT departments will account for at least 80 percent of the user base for low-code software development tools -- that's up from 60 percent in 2021.

Moreover, interest in hyper-automation tools continues to grow across the globe due to rising digital transformation demands, a widening digital business skills gap, and increasing economic pressures. 

Gartner forecasts that the spending on hyper-automation software technologies will reach $720 billion in 2023. A portion of this spending will be for low-code development -- including LCAP, iPaaS, RPA, CADP, and MXDP.

Outlook for Low-Code Applications Growth

Investments in low-code software development technologies that support innovation and integration will also grow as organizations embrace what Gartner calls the "composable enterprise" concept.

Composable enterprises require better reuse of existing packaged business capabilities for agile application development and to create new workflows and digital business processes.

Low-code software development technologies are supporting the composable enterprise by enabling the creation of more agile and resilient digital business solutions.

That said, I believe low-code tools can be used to develop modular components and adaptive software applications. Utilized together, they will enable accelerated digital business growth in 2023 and beyond.

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