Sector snapshot: tech, software, & digital
Clairfield’s latest sector report on the global software industry confirms continued structural growth and resilience. Global software revenues increased from US$422bn in 2016 to US$704bn in 2024, representing a CAGR of c.6.6%. Growth has been supported by recurring revenue models, enterprise digital transformation, and the increasing mission-critical nature of software solutions.
Revenues are projected to reach US$861bn by 2028f, implying a moderated CAGR of c.5.1% between 2025e and 2028f, reflecting market maturation and more disciplined enterprise spending. The ongoing shift toward cloud-delivered, subscription-based models continues to enhance revenue visibility while sharpening focus on net retention, contract optimisation, and pricing discipline. Demand is increasingly ROI-led, with cybersecurity, data and AI enablement, and automation remaining priority investment areas.
Infrastructure investment is accelerating in parallel. Global data centre spending is projected to reach US$582bn by 2026f (2012–2026f CAGR c.10%), driven by AI disruption and the continued SaaSification of business models. Electricity demand from data centres is expected to increase from 345 TWh in 2022 to approximately 670 TWh by 2026f. Hyperscaler capital expenditure plans reinforce this trend, with combined investments by Amazon, Google, Meta, Apple, and Oracle expected to rise significantly through 2030f.
This report was produced by Bertrand Hermez, Clairfield partner in France and tech, software, and digital sector head.
Read the full report here.
