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Application Server Market Shares, Strategies, and Forecasts, Worldwide, 2014 to 2020

  • June 2014
  • 577 pages
  • WinterGreen Research
Report ID: 962806


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Worldwide Application Server markets are poised to achieve significant growth as Internet of
things and the mobile Internet further evolve, driving the market for apps into the trillions in the next few years.
WinterGreen Research predicts that the application server market will be $23 billion by 2020, new markets evolved
because of the value that apps provide to smart phones, mobile devices, tablets, and the Internet of things. These
apps will drive the application server market to $30 billion by create the need for tools to use in writing the apps.
According to Susan Eustis, lead author of the study, “Application servers are being used to create apps that run on
mobile devices and that tie together the Internet of things. Infrastructure for the Internet and for smart mobile
devices creates demand for more sophisticated web development and web applications. Everything is going mobile.
This evolution is driven by mobile smart phones and tablets that provide universal connectivity. Application servers
represent a significant aspect of Internet market evolution.”
IBM is moving toward domination of the application server market, going from 55% share in 2011 to 60% share in
2012, buttressed in part by its dominance in supporting development of mobile apps. This achievement of 60% share
of the application server market provides IBM with a defacto standard status in the market.
Mission critical application servers are needed in the enterprise to support scalability, reliability, and security. More
light weight open source application servers have a place in the market for web presence software, but for a solution
that involves transactions intensively and has the downside of losing significant revenue if the site is down the
mission critical servers are needed.
IBM WebSphere application server is a proven, high-performance transaction engine that can help build, run,
integrate, and manage dynamic web applications. The IBM WebSphere application server Liberty profile option and
development tool options extend the mission critical aspects of the system. Intelligent management capabilities
minimize end-user outages and maximize operations monitoring and control of the production environment.
IBM WebSphere application server features robust capabilities.
Key features relate to configuration. IBM ability to support development of mobile apps is unparalleled in the
industry. The app server is able to provide the flexibility needed to create tags and URLs that support search engines.
Search engine optimization is a key strength of the IBM WebSphere application server. Companies with a web
presence need to be seen across all devices that a user may have in use on any given day. WebSphere permits users
to choose the application server configuration that best fits a current business strategy.
IBM WebSphere application server is far and away the best product on the market for growing solutions as needs
evolve. As market conditions change, applications need to be changed and adjusted rapidly. The modular
construction and the solid front end and back end integration of the IBM WebSphere application server give IBM
significant advantage in the market.
The J2EE application server software market is defined by the ability to build mission critical web sites that support a
globally integrated enterprise. Strong growth is anticipated as tablets, smart phones, and mobile devices replace PCs.
Mobile devices proliferate with 6.9 billion smart phones anticipated to be installed in 2019.
There are now 6.9 billion cell phone registered, paying users. Portable, mobile systems will expand the Internet at a
pace not yet achieved. It is anticipated that the apps market will expand from $24 billion in 2013 to $35 trillion by
2019. This expansion of mobile computing at the device level is nothing compared to what is happening at the
machine to machine (m to m) communications, with sensors being located everywhere, and monitoring of those
sensors proliferating.
Application servers are poised to deal with the complexity that is being instantiated at every level of the environment
that humans touch. Communication, analytics, collaboration are all part of what will make application servers
relevant. The Internet of Everything (IoE) is expected to enable global private-sector businesses to generate at least
$613 billion in global profits in 2013. Quadrillions of interconnected sensors will drive market innovation. Apps will
proliferate based on the ability to quickly, accurately put together an app in one half hour or less and launch it. This is
a fundamental aspect of application servers.
Application server mobile extensions are integrated in the Web apps development environments of vendors.
Application server development can create Web applications using business server pages. They can use the mobile
extensions of the Web application server, which makes the special requirements and characteristics of mobile devices
Application servers leverage evolving software delivery models, new development methodologies, emerging mobile
application development, and open source software. Mobile application development projects targeting
smartphones and tablets are an essential aspect of any departmental application initiative. Native PC projects are
anticipated to give way to smartphone and tablet apps for the enterprise. Every enterprise has to have apps that give
customers, distributors, partners, and suppliers access to information.
Mobile changes how consumers behave. Users leverage mobility to communicate. They use it to improve their daily
lives. Mobile is growing through existing data services and new services. Users demand connectivity anywhere and
anytime. Enterprises are beginning to exploit the opportunities provided by mobility. Mobile communications permit
the enterprise improve efficiency by enabling remote services and sales people to work efficiently, by enabling better
access to enterprise records from remote sites, by streamlining processes, and by supporting new business models.
Worldwide application server market revenues are forecast to grow 17.5% year-over-year from $7.4 billion in 2013 to
$23.1 billion by 2020. This is in the context of a world communications infrastructure that is changing. Technology is
enabling interaction, innovation, and sharing of knowledge in new ways and application servers promise to bring
significant capability to enterprises seeking mission critical solutions to making the Internet available for productive,
efficient use.

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