Simulation Software Market - Forecast(2024 - 2030)
Simulation Software Market Overview
Simulation Software Market Size is forecast to reach $20.3 billion by 2026, at a CAGR of 17.0% during 2021-2026. Adoption of simulation software in aerospace, defense and automobile industries with the development of modern aircraft, autonomous and electric vehicles boost the Simulation Software Market growth. In addition to these, process simulation software is also used in designing or creating Internet of Things (IoT) devices and apps.
High adoption of simulation software
for modeling and simulation in the development of industrial products is set to
drive industry 4.0. Similarly, growing developments by various companies is analyzed
to drive the market growth. In 2020, Desktop Metal had launched Live Sinter
simulation software for powder metallurgy-based manufacturing processes.
Further, entry of new players in developed and developing economies will
further enhance the overall market demand for Simulation Software during the
forecast period 2021-2026.
Report Coverage
Key Takeaways
- Simulation Software Market in North America region held significant market share of 34% in the forecast period. Early adoption of advanced technologies in aerospace, defense and others has been increasing the demand for simulation software.
- Cloud deployment is growing at a highest CAGR of 20.3% in the forecast period owing to its operational flexibility and real-time deployment ease to companies compared to on-premises deployment.
- Automotive sector is expected to witness a highest CAGR of 21.2% the forecast period. Increasing focus on R&D activities and rapid technological changes owing to the changing government norms for vehicle safety are projected to drive the market.
- Simulation Software top 10 companies include Altair Engineering, Ansys, Autodesk, Bentley Systems, CPFD Software, Cybernet, Dassault Systems, Design Simulation Technologies, Mathworks, PTC, Siemens PLM Software among others.
Simulation Software Market, By Deployment Model, 2020 (%)
Simulation Software Market Segment Analysis - By Deployment
Cloud deployment is growing at a highest CAGR of 20.3% in the forecast period owing to its operational flexibility and real-time deployment ease to companies compared to on-premises deployment. It also offers numerous benefits, including reduced operational costs, simple deployment process, and higher scalability in terms of connected resources. Additionally, the cost-effective cloud-based solutions ease installation when compared to the on-premises solutions. The highest level of data security and reliability offered by the cloud deployment are increasing the share of this deployment in the forecast period.
Several companies are
providing solutions related to this deployment. For instance SimScale is a full-cloud CAE simulation software that helps to perform
CFD, FEA, and thermal simulations for CAD models in the cloud. Similarly, AnyLogi?
Cloud is a cloud-based simulation tool that allows users to run simulation
models such as Finite Element Analysis and Computational Fluid
Dynamics online using just a web browser and share them. Hence these benefits
are analysed to drive the market growth in the forecast period 2021-2026.
Simulation Software Market Segment Analysis - By Vertical
Automotive sector is expected to witness a highest CAGR of 21.2% the forecast period. Increasing focus on R&D activities and rapid technological changes owing to the changing government norms for vehicle safety are projected to drive the market. With increasing connectivity and digitalization, OEMs are focusing on improving cybersecurity over connected vehicles & devices, which is expected to drive the automotive simulation market for software such as Finite Element Analysis and Computational Fluid Dynamics. Along with cybersecurity, rapid infrastructure development and advancements in 5G technology companies such as Nvidia, IPG automotive and so on are collaborating with several global companies for advancements in these simulation software.
In 2019, Nvidia had partnered with Toyota for autonomous vehicle
simulation platform drive constellation, the cloud-based platform. This
platform would enable the self-driving car developers to run tests on virtual,
rather than real roads. In 2018, IPG Automotive signed a partnership agreement
with Transpolis SAS to develop innovative solutions in the field of large-scale
simulation. Hence these factors are anticipated to fuel the growth of the Simulation Software Market in the forecast period 2021-2026.
Simulation
Software Market Segment Analysis - By Geography
Simulation Software market in North America region held significant market share of 34% in the forecast period. Early adoption of advanced technologies in aerospace, defense and other has been increasing the demand for simulation software. In addition, the governments in the North American region are constantly focusing on innovation and investment for a greener work environment. The regulations associated with the eco-friendly work environment are becoming stringent in the region and as a result, companies are adopting simulators to test product viability before manufacturing.
In U.S. strict
guidelines imposed by the Federal Aviation Administration (FAA) and Federal
Aviation Regulations (FARs) regarding use of simulators for training purpose. According
to new FAR regulations, Air carriers must compulsorily develop training
programs using simulators that meet the upgraded requirements. Stringent
regulations as such will drive the usage of simulators thereby driving
simulation software in this region. According to U.S. Department of Defense, by
2022, U.S Military had committed to invest more than $11 billion for
virtual, augmented and mixed reality training systems and simulator. Hence
these factors drive the market growth in the forecast period 2021-2026.
Simulation Software Market Drivers
Growing advancements in simulation software
Simulation software companies are strengthening their position through mergers & acquisitions and continuously investing in research and development (R&D) activities to come up with solutions to cater to the changing requirements of customers. In addition companies such as Siemens, Rockwell, Ansys, and so on are planning to invest in advanced technologies such as artificial intelligence with a target to provide cost competitive Finite Element Analysis and Computational Fluid Dynamics products in the market in the forecast period.
In 2020 Ansys Inc. entered into a definitive agreement to acquire Lumerical Inc., which is a leading developer of photonic design and simulation tools. The acquisition will add a wide range of photonics products to the Ansys Multiphysics portfolio, providing customers with a full set of solutions to solve its next-generation product challenges.
In 2019, Altair Engineering Inc. launched a new manufacturing simulation solution for additive manufacturing, Inspire Print3D. The solution is aimed explicitly at selective laser melting (SLM).
In 2020, Kumux has launched the 2.0 version of its spectral simulation software, which allows the creation of differential lighting, beneficial to people’s health and plant growth.
In 2018, Simufact Engineering, an MSC
Software company and expert in manufacturing process simulation, had launched Simufact
Additive software solution for the simulation of metal additive manufacturing
processes. Hence these advancements are analyzed to drive the market growth in
the forecast period 2021-2026.
Growing adoption of simulation software among aerospace & defense
The aerospace & defense industry has been one of the major end users of simulation as they use modelling and simulation for numerous purposes including, training of individual soldiers, conducting joint training operations, formulating operational plans, developing doctrine and tactics, and analyzing alternative force structures, Finite Element Analysis and Computational Fluid Dynamics.
The technology fulfills critical defense needs of
command, control, and communications; manpower, personnel, and training;
computing and software; electronics; and manufacturing technology. These
defense models and simulations vary in a broad range from components of large
weapons systems through system-level to simulations of missions and battles,
and so forth. Such significant applications are the major factors driving the
growth of the global market in these industries.
Simulation
Software Market Challenges
Data security is the major challenge for simulation software
One of the
major challenges in Simulation Software is data security. Investment in data
security to avoid simulation attacks is one of the major challenges faced by
the simulation software companies. Simulated attacks might send fake phishing
attacks to employees or attempt cyber-attack on a company’s web application
firewall. High investment into data security is the major challenge companies
which is hampering the growth of the market. However, the introduction of many
cybersecurity tools at affordable prices is set to invest in simulation
software, thereby driving the market growth.
Simulation Software Market Landscape
Software
launches, acquisitions, Partnerships and R&D activities are key strategies
adopted by players in the Simulation Software Market.
In 2020, the market of Simulation Software industry outlook has been fragmented
by several companies. Simulation Software top 10 companies include Altair Engineering, Ansys, Autodesk, Bentley Systems, CPFD
Software, Cybernet, Dassault Systems, Design Simulation Technologies, Mathworks,
PTC, Siemens PLM Software among others.
Acquisitions/Software Launches
- In 2020, PTC, Inc. launched a 3D computer-aided design software named as Creo 7.0. This software has the new abilities to put the power of artificial intelligence at the fingertips of the designers, hence making the simulation a unified part of the daily work.
Related Reports
LIST OF TABLES
1.Global Simulation Software Market By Component Market 2023-2030 ($M)1.1 Software Market 2023-2030 ($M) - Global Industry Research
1.1.1 Finite Element Analysis Market 2023-2030 ($M)
1.1.2 Computational Fluid Dynamics Market 2023-2030 ($M)
1.1.3 Electromagnetic Waves Market 2023-2030 ($M)
1.2 Services Market 2023-2030 ($M) - Global Industry Research
1.2.1 Design & Consulting Market 2023-2030 ($M)
1.2.2 Support & Maintenance Market 2023-2030 ($M)
1.2.3 E-Learning & Training Market 2023-2030 ($M)
1.2.4 Research & Development Market 2023-2030 ($M)
1.2.5 Cloud Market 2023-2030 ($M)
1.2.6 On-Premises Market 2023-2030 ($M)
2.Global Simulation Software Market By Deployment Mode Market 2023-2030 ($M)
3.Global Simulation Software Market By Vertical Market 2023-2030 ($M)
3.1 Automobile Market 2023-2030 ($M) - Global Industry Research
3.2 Aerospace & Defense Market 2023-2030 ($M) - Global Industry Research
3.3 Electrical & Electronics Market 2023-2030 ($M) - Global Industry Research
3.4 Industrial Manufacturing Market 2023-2030 ($M) - Global Industry Research
3.5 Healthcare Market 2023-2030 ($M) - Global Industry Research
3.6 Education & Research Market 2023-2030 ($M) - Global Industry Research
4.Global Simulation Software Market By Component Market 2023-2030 (Volume/Units)
4.1 Software Market 2023-2030 (Volume/Units) - Global Industry Research
4.1.1 Finite Element Analysis Market 2023-2030 (Volume/Units)
4.1.2 Computational Fluid Dynamics Market 2023-2030 (Volume/Units)
4.1.3 Electromagnetic Waves Market 2023-2030 (Volume/Units)
4.2 Services Market 2023-2030 (Volume/Units) - Global Industry Research
4.2.1 Design & Consulting Market 2023-2030 (Volume/Units)
4.2.2 Support & Maintenance Market 2023-2030 (Volume/Units)
4.2.3 E-Learning & Training Market 2023-2030 (Volume/Units)
4.2.4 Research & Development Market 2023-2030 (Volume/Units)
4.2.5 Cloud Market 2023-2030 (Volume/Units)
4.2.6 On-Premises Market 2023-2030 (Volume/Units)
5.Global Simulation Software Market By Deployment Mode Market 2023-2030 (Volume/Units)
6.Global Simulation Software Market By Vertical Market 2023-2030 (Volume/Units)
6.1 Automobile Market 2023-2030 (Volume/Units) - Global Industry Research
6.2 Aerospace & Defense Market 2023-2030 (Volume/Units) - Global Industry Research
6.3 Electrical & Electronics Market 2023-2030 (Volume/Units) - Global Industry Research
6.4 Industrial Manufacturing Market 2023-2030 (Volume/Units) - Global Industry Research
6.5 Healthcare Market 2023-2030 (Volume/Units) - Global Industry Research
6.6 Education & Research Market 2023-2030 (Volume/Units) - Global Industry Research
7.North America Simulation Software Market By Component Market 2023-2030 ($M)
7.1 Software Market 2023-2030 ($M) - Regional Industry Research
7.1.1 Finite Element Analysis Market 2023-2030 ($M)
7.1.2 Computational Fluid Dynamics Market 2023-2030 ($M)
7.1.3 Electromagnetic Waves Market 2023-2030 ($M)
7.2 Services Market 2023-2030 ($M) - Regional Industry Research
7.2.1 Design & Consulting Market 2023-2030 ($M)
7.2.2 Support & Maintenance Market 2023-2030 ($M)
7.2.3 E-Learning & Training Market 2023-2030 ($M)
7.2.4 Research & Development Market 2023-2030 ($M)
7.2.5 Cloud Market 2023-2030 ($M)
7.2.6 On-Premises Market 2023-2030 ($M)
8.North America Simulation Software Market By Deployment Mode Market 2023-2030 ($M)
9.North America Simulation Software Market By Vertical Market 2023-2030 ($M)
9.1 Automobile Market 2023-2030 ($M) - Regional Industry Research
9.2 Aerospace & Defense Market 2023-2030 ($M) - Regional Industry Research
9.3 Electrical & Electronics Market 2023-2030 ($M) - Regional Industry Research
9.4 Industrial Manufacturing Market 2023-2030 ($M) - Regional Industry Research
9.5 Healthcare Market 2023-2030 ($M) - Regional Industry Research
9.6 Education & Research Market 2023-2030 ($M) - Regional Industry Research
10.South America Simulation Software Market By Component Market 2023-2030 ($M)
10.1 Software Market 2023-2030 ($M) - Regional Industry Research
10.1.1 Finite Element Analysis Market 2023-2030 ($M)
10.1.2 Computational Fluid Dynamics Market 2023-2030 ($M)
10.1.3 Electromagnetic Waves Market 2023-2030 ($M)
10.2 Services Market 2023-2030 ($M) - Regional Industry Research
10.2.1 Design & Consulting Market 2023-2030 ($M)
10.2.2 Support & Maintenance Market 2023-2030 ($M)
10.2.3 E-Learning & Training Market 2023-2030 ($M)
10.2.4 Research & Development Market 2023-2030 ($M)
10.2.5 Cloud Market 2023-2030 ($M)
10.2.6 On-Premises Market 2023-2030 ($M)
11.South America Simulation Software Market By Deployment Mode Market 2023-2030 ($M)
12.South America Simulation Software Market By Vertical Market 2023-2030 ($M)
12.1 Automobile Market 2023-2030 ($M) - Regional Industry Research
12.2 Aerospace & Defense Market 2023-2030 ($M) - Regional Industry Research
12.3 Electrical & Electronics Market 2023-2030 ($M) - Regional Industry Research
12.4 Industrial Manufacturing Market 2023-2030 ($M) - Regional Industry Research
12.5 Healthcare Market 2023-2030 ($M) - Regional Industry Research
12.6 Education & Research Market 2023-2030 ($M) - Regional Industry Research
13.Europe Simulation Software Market By Component Market 2023-2030 ($M)
13.1 Software Market 2023-2030 ($M) - Regional Industry Research
13.1.1 Finite Element Analysis Market 2023-2030 ($M)
13.1.2 Computational Fluid Dynamics Market 2023-2030 ($M)
13.1.3 Electromagnetic Waves Market 2023-2030 ($M)
13.2 Services Market 2023-2030 ($M) - Regional Industry Research
13.2.1 Design & Consulting Market 2023-2030 ($M)
13.2.2 Support & Maintenance Market 2023-2030 ($M)
13.2.3 E-Learning & Training Market 2023-2030 ($M)
13.2.4 Research & Development Market 2023-2030 ($M)
13.2.5 Cloud Market 2023-2030 ($M)
13.2.6 On-Premises Market 2023-2030 ($M)
14.Europe Simulation Software Market By Deployment Mode Market 2023-2030 ($M)
15.Europe Simulation Software Market By Vertical Market 2023-2030 ($M)
15.1 Automobile Market 2023-2030 ($M) - Regional Industry Research
15.2 Aerospace & Defense Market 2023-2030 ($M) - Regional Industry Research
15.3 Electrical & Electronics Market 2023-2030 ($M) - Regional Industry Research
15.4 Industrial Manufacturing Market 2023-2030 ($M) - Regional Industry Research
15.5 Healthcare Market 2023-2030 ($M) - Regional Industry Research
15.6 Education & Research Market 2023-2030 ($M) - Regional Industry Research
16.APAC Simulation Software Market By Component Market 2023-2030 ($M)
16.1 Software Market 2023-2030 ($M) - Regional Industry Research
16.1.1 Finite Element Analysis Market 2023-2030 ($M)
16.1.2 Computational Fluid Dynamics Market 2023-2030 ($M)
16.1.3 Electromagnetic Waves Market 2023-2030 ($M)
16.2 Services Market 2023-2030 ($M) - Regional Industry Research
16.2.1 Design & Consulting Market 2023-2030 ($M)
16.2.2 Support & Maintenance Market 2023-2030 ($M)
16.2.3 E-Learning & Training Market 2023-2030 ($M)
16.2.4 Research & Development Market 2023-2030 ($M)
16.2.5 Cloud Market 2023-2030 ($M)
16.2.6 On-Premises Market 2023-2030 ($M)
17.APAC Simulation Software Market By Deployment Mode Market 2023-2030 ($M)
18.APAC Simulation Software Market By Vertical Market 2023-2030 ($M)
18.1 Automobile Market 2023-2030 ($M) - Regional Industry Research
18.2 Aerospace & Defense Market 2023-2030 ($M) - Regional Industry Research
18.3 Electrical & Electronics Market 2023-2030 ($M) - Regional Industry Research
18.4 Industrial Manufacturing Market 2023-2030 ($M) - Regional Industry Research
18.5 Healthcare Market 2023-2030 ($M) - Regional Industry Research
18.6 Education & Research Market 2023-2030 ($M) - Regional Industry Research
19.MENA Simulation Software Market By Component Market 2023-2030 ($M)
19.1 Software Market 2023-2030 ($M) - Regional Industry Research
19.1.1 Finite Element Analysis Market 2023-2030 ($M)
19.1.2 Computational Fluid Dynamics Market 2023-2030 ($M)
19.1.3 Electromagnetic Waves Market 2023-2030 ($M)
19.2 Services Market 2023-2030 ($M) - Regional Industry Research
19.2.1 Design & Consulting Market 2023-2030 ($M)
19.2.2 Support & Maintenance Market 2023-2030 ($M)
19.2.3 E-Learning & Training Market 2023-2030 ($M)
19.2.4 Research & Development Market 2023-2030 ($M)
19.2.5 Cloud Market 2023-2030 ($M)
19.2.6 On-Premises Market 2023-2030 ($M)
20.MENA Simulation Software Market By Deployment Mode Market 2023-2030 ($M)
21.MENA Simulation Software Market By Vertical Market 2023-2030 ($M)
21.1 Automobile Market 2023-2030 ($M) - Regional Industry Research
21.2 Aerospace & Defense Market 2023-2030 ($M) - Regional Industry Research
21.3 Electrical & Electronics Market 2023-2030 ($M) - Regional Industry Research
21.4 Industrial Manufacturing Market 2023-2030 ($M) - Regional Industry Research
21.5 Healthcare Market 2023-2030 ($M) - Regional Industry Research
21.6 Education & Research Market 2023-2030 ($M) - Regional Industry Research
LIST OF FIGURES
1.US Simulation Software Market Revenue, 2023-2030 ($M)2.Canada Simulation Software Market Revenue, 2023-2030 ($M)
3.Mexico Simulation Software Market Revenue, 2023-2030 ($M)
4.Brazil Simulation Software Market Revenue, 2023-2030 ($M)
5.Argentina Simulation Software Market Revenue, 2023-2030 ($M)
6.Peru Simulation Software Market Revenue, 2023-2030 ($M)
7.Colombia Simulation Software Market Revenue, 2023-2030 ($M)
8.Chile Simulation Software Market Revenue, 2023-2030 ($M)
9.Rest of South America Simulation Software Market Revenue, 2023-2030 ($M)
10.UK Simulation Software Market Revenue, 2023-2030 ($M)
11.Germany Simulation Software Market Revenue, 2023-2030 ($M)
12.France Simulation Software Market Revenue, 2023-2030 ($M)
13.Italy Simulation Software Market Revenue, 2023-2030 ($M)
14.Spain Simulation Software Market Revenue, 2023-2030 ($M)
15.Rest of Europe Simulation Software Market Revenue, 2023-2030 ($M)
16.China Simulation Software Market Revenue, 2023-2030 ($M)
17.India Simulation Software Market Revenue, 2023-2030 ($M)
18.Japan Simulation Software Market Revenue, 2023-2030 ($M)
19.South Korea Simulation Software Market Revenue, 2023-2030 ($M)
20.South Africa Simulation Software Market Revenue, 2023-2030 ($M)
21.North America Simulation Software By Application
22.South America Simulation Software By Application
23.Europe Simulation Software By Application
24.APAC Simulation Software By Application
25.MENA Simulation Software By Application
26.Altair Engineering, Sales /Revenue, 2015-2018 ($Mn/$Bn)
27.Bentley Systems, Sales /Revenue, 2015-2018 ($Mn/$Bn)
28.Ansys, Sales /Revenue, 2015-2018 ($Mn/$Bn)
29.PTC, Sales /Revenue, 2015-2018 ($Mn/$Bn)
30.Siemens PLM Software, Sales /Revenue, 2015-2018 ($Mn/$Bn)
31.Autodesk, Sales /Revenue, 2015-2018 ($Mn/$Bn)
32.CPFD Software, Sales /Revenue, 2015-2018 ($Mn/$Bn)
33.Cybernet, Sales /Revenue, 2015-2018 ($Mn/$Bn)
34.Dassault Systemes, Sales /Revenue, 2015-2018 ($Mn/$Bn)
35.Design Simulation Technologies, Sales /Revenue, 2015-2018 ($Mn/$Bn)
36.Synopsys, Sales /Revenue, 2015-2018 ($Mn/$Bn)
37.Mathworks, Sales /Revenue, 2015-2018 ($Mn/$Bn)