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Publication date: 23 May 2022

68% of Asia/Pacific Application Management Market Share Captured by Top 10 Service Providers, IDC Finds

Asia/Pacific Application Management market stood at US$5.06 billion in revenue for 2021, according to IDC.

SINGAPORE, May 24, 2022 – According to a new report by IDC titled Asia/Pacific (Excluding Japan) Application Management Services Market Share, 2021: IDC's Top 10 Vendors, the top Application Management (AM) Service Providers (SPs), in terms of market share, represented 67.9% of the Asia/Pacific excluding Japan (APEJ) market in 2021. The Asia/Pacific* AM services market stood     at US$5.06 billion in revenue for 2021 (USD constant currency) and registered a growth of 6.7% from 2020.

IDC's analysis of the AM services market found that Accenture led all AM SPs in 2021, followed by Tata Consultancy Services (TCS) and IBM, which ranked second and third, respectively. Infosys and DXC Technology completed the top 5 in IDC's 2H21 APEJ IT and Business Services Tracker.

The year 2021 witnessed a healthy growth for AM services vendors in APEJ as enterprises continued to gravitate towards the expertise of AM SPs to maximize the value of their current application landscape.

Next-generation AM SPs continue to bolster their expertise in the realms of cloud, security, customer experience, analytics, and automation, to drive value across the life cycle of application services for customers. As such, vendors are also doubling down on their efforts to elevate current AM service engagements as a stepping-stone for larger digital transformation (DX) or application modernization engagements. AM services contracts are also bundled as part of these engagements or post new implementations, giving vendors the flexibility to propose new engagement models for strategic customers.

"Large global application service providers dominated the AM services market in APeJ in 2021. As enterprise customers shift their IT sourcing strategy from cost efficiency to value, global IT players with expertise in AI, Automation, security, and application modernization continue to see steady demand in their deal pipeline," says Rijo Thomas, Research Manager, IDC Asia/Pacific Software and Services Research Group.

Although the growth of SaaS-based applications and application workloads migration to hyperscaler cloud environment has impacted the scope for traditional AM services, enterprise customers find the technical expertise, business, and industry alignment of AM SPs a critical value-add, making substitution harder. Additionally, with AM SPs now bolstering their ecosystem partnerships with cloud hyperscalers, enterprises remain positive about opening new avenues for innovation.

Rijo adds, "Traditional AM SPs continued to be challenged from different vectors, such as software-as-a-service (SaaS) substitution, cloud migration, and automation. Service providers invested in client success by pivoting their value propositions beyond cost arbitrage to support the transformation ambitions of clients will find success going forward."

Data in this IDC research is drawn from IDC's 2H21 APEJ Semiannual Business and IT Services Tracker. The tracker's historical and forecast data development is based on a detailed, bottom-up model, starting with reported and estimated vendor revenue. As exchange rate volatility can have a significant effect on growth rates across both time periods and geographies, all market sizing and forecast numbers as well as associated growth rates were measured using USD constant currency.

IDC's Asia/Pacific Services Opportunities in the Digital Economy: Transformation and Acceleration service offers timely and responsive market analysis and competitive coverage of the IT and business services markets in Asia/Pacific. Developed in the perspective of demands from both the supply and the demand side of the market, this research program provides customers with an in-depth analysis on buying behavior, market trends and forecasts, and competitive activities across the Asia/Pacific services markets. To learn more contact Pushkar Shanbhag at or click HERE.

For more information on this IDC Market Share document, please contact Rijo Thomas at For media inquiries, please contact Theresa Rago at or Alvin Afuang at

*Asia/Pacific excluding Japan


About IDC

International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. With more than 1,100 analysts worldwide, IDC offers global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries. IDC's analysis and insight helps IT professionals, business executives, and the investment community to make fact-based technology decisions and to achieve their key business objectives. Founded in 1964, IDC is a wholly-owned subsidiary of International Data Group (IDG), the world's leading tech media, data and marketing services company. To learn more about IDC, please visit Follow IDC on Twitter at @IDCAP and LinkedIn. Subscribe to the IDC Blog for industry news and insights.