IT ASSET MANAGEMENT (ITAM) SOFTWARE MARKET ANALYSIS

IT Asset Management (ITAM) software Market Size and Trends

The Global IT Asset Management (ITAM) software Market is estimated to be valued at US$ 2.17 Bn in 2024 and is expected to reach US$ 3.28 Bn by 2031, exhibiting a compound annual growth rate (CAGR) of 6.1% from 2024 to 2031.

To learn more about this report, request sample copy

ITAM software helps organizations track software licenses and manage IT infrastructure assets over their entire lifecycle. Increased focus on risk management and compliance is driving more companies to adopt ITAM solutions. Growing need to manage complex IT infrastructure and reduce operational costs is prompting more organizations to adopt ITAM software. Additionally, rise of cloud computing and proliferation of IoT devices are fueling the adoption of asset management platforms. However, budget constraints of small and medium enterprises may limit demand to some extent over the next few years.

Increasing demand for automated IT asset management processes

The escalating complexity of modern IT environments has made it exceedingly challenging for organizations to manually manage their diverse physical and virtual IT assets. Tracking thousands of devices, software licenses, contracts, and maintenance agreements spread across different departments and locations has become an overwhelming task. Manual processes are error-prone and fail to provide real-time visibility into asset utilization and compliance. This lack of visibility hinders organizations' ability to make optimal investment decisions, effectively manage contracts, and ensure software license compliance.

As a result, organizations are finding it increasingly difficult to maintain control and oversight over their IT infrastructure. The sheer scale and distributed nature of modern IT environments have rendered traditional manual approaches ineffective. Organizations must seek more sophisticated solutions and strategies to gain the necessary visibility and control required to efficiently manage their complex IT assets and make informed, data-driven decisions. To address these challenges, organizations are now looking at ITAM solutions that can automate and optimize key asset management processes. Automation helps gain visibility into the entire asset landscape via centralized asset databases. It enables automated software license optimization, contract management and hardware inventory tracking. Advanced capabilities like predictive analytics and AI are also helping optimize procurement through demand forecasting. Automation streamlines activities like software license reconciliation, hardware refresh planning and license true-ups. It minimizes human errors and ensures all assets are appropriately tagged, tracked, and maintained as per internal policies and external compliance mandates. This improves overall IT spending efficiency while mitigating compliance and security risks. More organizations recognize that investing in automated ITAM tools can deliver significant return on investment by way of cost optimization, risk avoidance, and process improvement over the long term.

For instance, in January 2022, MEGA International, a global software company renowned for its leadership in enterprise architecture for 13 consecutive years, forged a partnership with Eracent. Eracent is a prominent provider of automated Software Asset Management (SAM) and IT Asset Management (ITSM) solutions, designed to assist organizations in overcoming the challenges associated with managing software licenses and computing assets. Through this collaboration, MEGA International and Eracent aim to offer comprehensive solutions that enable organizations to effectively manage their software and IT assets.

Focus on IT asset optimization and cost control

In the current economic scenario, organizations across industries are looking at ways to further maximize returns from their existing IT investments. With almost all businesses now heavily relying on digital infrastructure, even a small percentage of waste in IT spending translates into substantial losses. At the same time, IT budgets are also under renewed pressure and scrutiny. There is growing emphasis on justifying every dollar spent on technology. This has motivated organizations to closely monitor their hardware, software and cloud assets to identify optimization opportunities. IT leaders want to ensure every existing and new asset is fully utilized, costs are controlled with prudence and waste is eliminated.

Comprehensive ITAM solutions can play a big role in achieving these optimization and cost control objectives. Advanced capabilities like predictive analysis of asset usage patterns, centralized software license management and granular budget tracking allow optimal deployment of existing hardware and licenses. ITAM solutions also help evaluate alternative procurement options by comparing total cost of ownership of assets. Their contract management modules help renegotiate unfavourable agreements.