US Automation Testing Market

According to a research report "US Automation Testing Market by Offering (Testing Types (Static Testing and Dynamic Testing) and Services), Endpoint Interface (Mobile, Web, Desktop, and Embedded Software), Vertical (BFSI, Automotive, IT & ITeS) and Region - Forecast to 2028" published by MarketsandMarkets, the US Automation Testing market is estimated at USD 8.41 billion in 2023 and is projected to reach USD 14.45 billion by 2028, at a CAGR of 11.4% from 2023 to 2028.

The Automation Testing market in the U.S. is driven by the increasing emphasis on API-first development places automation testing tools at the forefront of validating crucial aspects such as APIs' functionality, security, and performance. In this scenario, where APIs are the backbone for seamless integration and communication between software components, automation testing is critical. Everything functions according to requirement when an API server correctly verifies information exchange between two pieces of software, while security and performance tests check the reaction under different circumstances. Automating these essential checks regarding different aspects of API testing makes software components more reliable and interoperable and puts faster integration cycles in place so that even stronger applications can be delivered fast in an API-driven development environment. The role of automation testing tools in this context not only ensures the quality of individual APIs but also contributes significantly to the overall success of API-first development strategies.

The Dynamic Testing segment accounted for the largest share by Testing Types segment in the US Automation Testing market in 2023.

Dynamic testing dominates the Testing Types segment of the U.S. automation testing market because it actively identifies software defects during runtime by executing code with dynamic variables. By ensuring software consistency and optimal performance throughout development, it plays a crucial role in maintaining quality. Dynamic testing encompasses functional and non-functional testing, addressing both feature-specific requirements and system attributes like memory leaks and robustness. Its interconnected processes, such as planning tests, running them, and reporting, render it invaluable in ensuring software quality across sectors.

The Functional Testing segment accounted for the largest share by Dynamic Testing segment in the US Automation Testing market in 2023.

Functional testing leads the dynamic testing segment of the U.S. automation testing market because of its essential role in verifying that software meets specified functional requirements. This approach involves executing test cases, providing inputs, analysing outputs, and comparing them to expected results to ensure the system functions correctly. It employs two primary strategies: requirement-based testing, which focuses on technical specifications, and business scenario-based testing, which aligns software performance with real-world business operations. These methods help organizations bridge the gap between technical accuracy and practical usability while improving reliability by simulating real user interactions. Core features and workflows are validated through functional testing to ensure that software meets both developer expectations and end-user needs. Efficiency is enhanced, defects are minimized, and customer satisfaction is improved by its application across industries such as e-commerce, gaming, and finance. This flexibility reinforces its dominance in the market, making functional testing a critical component in maintaining software quality and reliability.

The Retail vertical is expected to have the highest growth rate during the forecast period.

The quick digital transformation of retail businesses in the US drives automation testing growth which creates smooth operations together with better customer experiences and stable system performance. Automation testing is increasingly relied upon by retailers to validate e-commerce websites, mobile apps, and omnichannel shopping platforms, ensuring smooth transactions, payment gateway integration, and personalized user experiences. Automation testing enhances POS systems through its ability to check transaction accuracy and perform barcode scanning while updating inventory in real time. Additionally, supply chain and inventory management solutions use automation testing to maintain seamless data flow across warehouses, ERP systems, and CRM platforms, helping retailers optimize stock levels and order fulfilment.

Security and compliance testing are necessary as retailers deal with sensitive payment information, and PCI-DSS and GDPR compliance must be ensured. Performance and load testing assist businesses in preparing against peak times of high traffic volumes to provide quick response times with system stability. AI-driven chatbots and virtual assistants are also tested for correct customer interaction, and business intelligence tools and predictive analytics are checked by automation testing to provide better decision-making. With continuing digital transformation in the retail industry, test automation software becomes a must-have to enable faster software deployment, lower operational risk, and superior customer experience, and thus it becomes a must-considered buy for retailers aiming to grow and innovate.

Prominent companies include IBM (US), Broadcom (US), Microsoft (US), Keysight Technologies (US), Tricentis (US), Apexon (US), Idera, Inc. (US), QA Source (US), Astegic (US), Worksoft (US), ACCELQ (US), Sauce Labs (US), SmartBear (US), Parasoft (US), Applitools (US), QA mentor (US), Mobisoft Infotech (US).

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