Software Development Trends 2021
A challenging year of global lockdowns, self-isolation, and distancing has come to an end. 2020 Covid-19 pandemic has caused a global economic decrease in almost every sphere, including IT. Although businesses will have to deal with the pandemic consequences in 2021, there is still much hope that it’ll be better than its predecessor.
In this article, we look into the promising software development trends that have brought global changes to the business world in 2020 and will have their impact in 2021.
Business Digital Transformation
Covid-19 determined the way big and small companies ran their businesses in 2020. Social distancing, strict Covid-19 prevention transmission rules, urgent move to working from home had their influence on every industry.
Those businesses that transformed quickly and went online managed to maintain their customer flows, while others started prioritizing IT changes in their business development strategies.
In January 2021, it’s too early to talk about the post-pandemic world as specialists say that there should be 60-70% of the global population immune to the virus to stop its spreading. Therefore, businesses will continue their fast digitization and movement online.
Rapid Growth of the IT Sector
IT industry was affected by the global pandemic due to project delays and investment reduction, however, it managed to keep its strong position in comparison with other spheres.
In August 2020, Consultancy IDC projected IT industry global revenue at $4.8 trillion for the year, compared to pre-pandemic projections of $5.2 trillion. After this significant decline, the consultancy states that the revenue will level out to $5 trillion by 2021 with a 4.2% growth.
The IT industry’s rapid recovery is explained by global digitization trends. Gartner predicts that by 2021 the overall IT sector will grow to 4% in total. Though it’ll reach its pre-pandemic position only by 2024 with CAGR estimated at 5%.
Remote Work Adoption
Working remotely has become a new norm in 2020. Companies had to fully reorganize their working patterns, establishing new ways of communication, collaboration, and team management. Surprisingly for many, it has become an effective factor for making their work more productive.
According to Accelerated Strategies Group, Inc. research, software companies that shifted their staff to remote work managed to increase their productivity (59% of respondents) and easier complete their work tasks, meeting deadlines (42.6% of respondents). Moreover, after having a positive experience of working from home 64% of respondents agreed that they are planning to work remotely 3 days a week.
2021 will continue the remote work trend at least for the first part of the year. Therefore, many companies will still have to do their business by video conferences and in work chats.
New Era of Cloud Computing
Cloud systems started gaining momentum in 2020 and continue to do so in 2021. Most businesses choose to place their applications and systems in the Cloud due to their easier maintenance and storage.
It has also become a great facilitator for remote work. Companies managed to create working environments with the help of cloud services and tools and establish effective team collaboration. Statista says that in 2021, 74% of businesses worldwide will continue investing in cloud technologies.
SaaS, IaaS, and PaaS solutions are becoming more in demand as they are easier to adopt and roll out as well as they help cut down the expenses, which is especially necessary in post-crisis times.
The Rise of E-Commerce Software
While most of the businesses were facing difficult economic times in 2020, the e-Commerce market was at its height due to pandemic. Many companies shifted to online retail and delivery services as it was the only possibility of safe shopping during the lockdown.
Nevertheless, the e-Commerce sphere will continue developing after Covid-19 times. Statista states that businesses will keep with the trend and by 2023 the e-Commerce market is expected to grow up to 22%, in comparison with 14.1% in 2019.
E-Commerce applications have proved to be a great enhancement to customer experience and a significant push to the automation of business processes during the pandemic. Companies will move on with e-Commerce digital solutions adoption, making them even more attractive to customers.
Containers and Microservice Development
The pandemic condition has also influenced the process of software development. Now, many software development companies switch to application development with small and agile building blocks in the form of containers and microservices powered by Kubernetes. They help software developers quickly build viable and effective applications.
It’s evident that containers and microservices will soon become a bigger part of software development technologies as they allow software developers to quickly build secure digital solutions, easily scale the existing ones, and provide their availability to the end-users 24/7.
Low-code development is another rising trend in software engineering. As the demand for building applications in a fast and simpler way is growing, more and more low-code platforms appear. Basically, now anyone can try to build their own feature-rich applications while having minimum technical skills.
Low-code platforms are a source of creativity in application development as they encourage IT-enthusiasts to try their hand at building their own solutions. And the blend of amateur ideas and expert thought on these platforms can result in unique development outcomes.
Despite some pandemic economic turbulence, software development outsourcing companies are expected to quickly gain their stability back. Gartner states that the IT services market dropped by – 4.6% in 2020 but will rise to 4.1% in 2021. Business Wire also predicts the rise of the IT outsourcing market from $342.9 billion in 2020 to $410.2 billion by 2027.
Due to the difficulties to find talented IT specialists in the local market, businesses turn to custom software development companies for highly skilled specialists outside their area (either nearshore or offshore).
In their turn, IT outsourcing companies will have to constantly adapt and incorporate emerging technologies to meet the business demand for high-quality apps worldwide.
Software Development Trends Wrap-Up
2021 is expected to be the year of business and global economic recovery after the pandemic consequences of 2020. Yet, the first part of 2021 may still be challenging due to possible lockdowns and restriction measures, until Covid-19 vaccination becomes a large scale campaign.
Businesses will have to continue to adapt to unstable economic conditions. Therefore, knowing the latest software development trends and their successful implementation in businesses’ digital solutions can help companies survive and plan their long-term development strategies.