eDiscovery Software Market Size, Share, Growth Analysis, By Components(Software, Services (Managed Services, Professional Services)), By Deployment Type(Cloud based, On-premise), By Enterprise Size(Small & Medium Enterprises, Large Enterprises), By End-user(Government, Public Sector, Legal, BFSI), By Region - Industry Forecast 2024-2031

eDiscovery Software Market size was valued at USD 10.73 billion in 2022 and is poised to grow from USD 11.74 billion in 2023 to USD 23.45 billion by 2031, growing at a CAGR of 9.6% in the forecast period (2024-2031).

The market for eDiscovery software is highly fragmented. To draw in more users, the major players are concentrating on creating affordable and portable eDiscovery. In order to expand their product portfolios and market reach, firms involved in the eDiscovery industry are also concentrating on inorganic growth tactics like strategic alliances and merger & acquisition activities with tech partners. 'IBM', 'Microsoft', 'Symantec Corporation', 'Opentext ', 'Hewlett-Packard Enterprise (HPE)', 'Dell Technologies', 'Commvault', 'Veritas Technologies LLC', 'Kroll Ontrack', 'Exterro Inc.', 'FTI Consulting, Inc.', 'Relativity', 'Zapproved', 'AccessData', 'Logikcull', 'Nuix', 'Catalyst Repository Systems, Inc.', 'Recommind Inc.', 'Epiq Systems', 'iPro Tech'

Increasing amount of digital data: Various sources, including enterprise software, social networks, web-based searches, and cloud-based apps, are used by businesses to generate data. Large enterprises find it nearly impossible to regularly examine massive amounts of data without the aid of cutting-edge technologies. Organizations are attempting to make the greatest use of the available raw data they have available and transform it into knowledge that will aid in their decision-making processes. As part of data analytics, they concentrate on implementing data management and concentrating on implementing data management and discovery solutions, such as eDiscovery solutions. Big data analytics and administration are made simple and affordable by cloud-based solutions. Due to their low cost and ability to upload, evaluate, and produce documents online instantly, cloud-based applications are also becoming increasingly popular. Therefore, as this type of application is used more frequently, a significant amount of electronic data is being produced, which increases the need for eDiscovery solutions. Low-cost subscription fees are charged by eDiscovery suppliers for the software and services necessary for the operation of large databases.

Increase in AI-based analysis and predictive coding: The legal industry is being transformed by artificial intelligence (AI), and improvements in AI-based analytics are expected to raise the standard of eDiscovery procedures. Analytics is a method for spotting and deciphering important data patterns. eDiscovery is required because it allows lawyers to learn for themselves through the study of test materials. eDiscovery systems then apply the same method to a larger document group, simplifying and streamlining the document review process. eDiscovery reviews are more successful because of predictive coding, which reduces costs and efficiently slows the exponential increase of digital data. Among other things, AI helps with translation, voice search, signature recognition, and text and image classification. As a result, the eDiscovery market will benefit from the combination of AI and analytics with eDiscovery.

Based on the region, the North American region currently dominates the global eDiscovery software market. In terms of value, North America dominated the eDiscovery software market in 2021. During the projection period, North America is projected to account for 44% of market growth. The two largest markets in North America for eDiscovery software are the US and Canada. The United States is expected to dominate the area as a result of the widespread use of cloud-based services by various businesses. The market expansion in North America is being driven by the increasing usage of eDiscovery solutions across a range of sectors, including BFSI, legal, government and public sector, healthcare & life sciences, and IT & telecommunications.