U.S.: Software Market 2025

Software Market Size in the U.S.

The U.S. software market soared to $X in 2021, growing by 21% against the previous year. In general, consumption showed a relatively flat trend pattern. Software consumption peaked at $X in 2015; however, from 2016 to 2021, consumption stood at a somewhat lower figure.

Software Production in the U.S.

In value terms, software production shrank to $X in 2021. In general, production recorded a deep contraction. The pace of growth was the most pronounced in 2019 with an increase of 14% against the previous year. Software production peaked at $X in 2013; however, from 2014 to 2021, production failed to regain momentum.

Software Exports

Exports from the U.S.

In 2021, shipments abroad of software and other prerecorded compact disc, tape, and record reproducing increased by 12% to X units for the first time since 2018, thus ending a two-year declining trend. In general, exports, however, saw a deep setback. The exports peaked at X units in 2013; however, from 2014 to 2021, the exports remained at a lower figure.

In value terms, software exports rose significantly to $X in 2021. Overall, exports, however, continue to indicate a drastic downturn. Over the period under review, the exports attained the peak figure at $X in 2013; however, from 2014 to 2021, the exports remained at a lower figure.

Exports by Country

Canada (X units) was the main destination for software exports from the United States, with a 50% share of total exports. Moreover, software exports to Canada exceeded the volume sent to the second major destination, Mexico (X units), fourfold. The third position in this ranking was held by Australia (X units), with a 5.1% share.

From 2013 to 2021, the average annual growth rate of volume to Canada amounted to -7.3%. Exports to the other major destinations recorded the following average annual rates of exports growth: Mexico (-6.9% per year) and Australia (+9.8% per year).

In value terms, Canada ($X) remains the key foreign market for software and other prerecorded compact disc, tape, and record reproducing exports from the United States, comprising 32% of total exports. The second position in the ranking was held by China ($X), with a 13% share of total exports. It was followed by Mexico, with a 7.9% share.

From 2013 to 2021, the average annual growth rate of value to Canada amounted to -11.1%. Exports to the other major destinations recorded the following average annual rates of exports growth: China (-1.0% per year) and Mexico (-11.9% per year).

Export Prices by Country

The average software export price stood at $X per unit in 2021, reducing by -2.6% against the previous year. In general, the export price recorded a pronounced slump. The most prominent rate of growth was recorded in 2019 an increase of 13%. The export price peaked at $X per unit in 2013; however, from 2014 to 2021, the export prices failed to regain momentum.

Prices varied noticeably by country of destination: amid the top suppliers, the country with the highest price was China ($X per unit), while the average price for exports to Australia ($X per unit) was amongst the lowest.

From 2013 to 2021, the most notable rate of growth in terms of prices was recorded for supplies to China (+5.4%), while the prices for the other major destinations experienced mixed trend patterns.

Software Imports

Imports into the U.S.

In 2021, the amount of software and other prerecorded compact disc, tape, and record reproducing imported into the United States expanded markedly to X units, with an increase of 12% on the year before. Over the period under review, imports, however, saw a deep setback. Over the period under review, imports reached the peak figure at X units in 2013; however, from 2014 to 2021, imports failed to regain momentum.

In value terms, software imports surged to $X in 2021. The total import value increased at an average annual rate of +2.5% over the period from 2013 to 2021; however, the trend pattern remained consistent, with somewhat noticeable fluctuations being recorded throughout the analyzed period. As a result, imports reached the peak and are likely to continue growth in the immediate term.

Imports by Country

In 2021, Mexico (X units) constituted the largest supplier of software to the United States, with a 73% share of total imports. Moreover, software imports from Mexico exceeded the figures recorded by the second-largest supplier, the UK (X units), more than tenfold. The third position in this ranking was held by Germany (X units), with a 4.7% share.

From 2013 to 2021, the average annual growth rate of volume from Mexico totaled -4.4%. The remaining supplying countries recorded the following average annual rates of imports growth: the UK (-12.6% per year) and Germany (+2.9% per year).

In value terms, Mexico ($X) constituted the largest supplier of software and other prerecorded compact disc, tape, and record reproducing to the United States, comprising 28% of total imports. The second position in the ranking was taken by Japan ($X), with a 13% share of total imports. It was followed by Germany, with an 8.6% share.

From 2013 to 2021, the average annual growth rate of value from Mexico was relatively modest. The remaining supplying countries recorded the following average annual rates of imports growth: Japan (+8.9% per year) and Germany (+0.6% per year).

Import Prices by Country

In 2021, the average software import price amounted to $X per unit, growing by 14% against the previous year. Over the period under review, import price indicated a resilient increase from 2013 to 2021: its price increased at an average annual rate of +8.7% over the last eight-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, software import price increased by +46.6% against 2017 indices. The pace of growth appeared the most rapid in 2015 when the average import price increased by 36%. The import price peaked in 2021 and is expected to retain growth in years to come.

There were significant differences in the average prices amongst the major supplying countries. In 2021, amid the top importers, the country with the highest price was Taiwan (Chinese) ($X per unit), while the price for Mexico ($X per unit) was amongst the lowest.

From 2013 to 2021, the most notable rate of growth in terms of prices was attained by Taiwan (Chinese) (+39.1%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform

Frequently Asked Questions (FAQ) :