The 2024 Product Development Market Report analyzes current trends, challenges, and innovations shaping the sector. Companies are leveraging AI, machine learning, and automation to streamline product development processes. This report explores the role of these technologies in product lifecycle management—from concept and design to manufacturing and market launch. Further, it highlights industry players, emerging startups, and investment trends driving growth and competition.
This product development report serves as a reference for stakeholders within the industry, investors, policymakers, and economic analysts, providing a snapshot of the industry’s health to map its trajectory for innovation and growth in the coming years.
StartUs Insights Product Development Market Report 2024
- Executive Summary
- Introduction to the Product Development Report 2024
- What data is used in this Product Development Report?
- Snapshot of the Global Product Development Industry
- Funding Landscape in the Product Development Industry
- Who is Investing in Product Development?
- Emerging Trends in the Product Development Industry
- 5 Innovative Product Development Startups
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Executive Summary: Product Development Report 2024
This report is created using data obtained from the Big Data and AI-powered StartUs Insights Discovery Platform, covering more than 4.7 million global companies, as well as 20K+ technologies and emerging trends. We also analyzed a sample of 8000+ product development startups developing innovative solutions to present five examples from emerging product development industry trends.
- Industry Growth Overview: The product development industry experiences steady growth, with an annual rate of 3.51%. It encompasses over 8000 startups and more than 126000 companies.
- Manpower & Employment Growth: The global workforce in this industry totals 6.7 million, with employee growth exceeding 475000 last year.
- Patents & Grants: The industry holds 24000 patents, with over 14000 applicants. Further, it has received 10000 grants, reflecting substantial external support.
- Global Footprint: Key country hubs include the USA, India, UK, Germany, and China. Major city hubs involve London, New York City, Bangalore, Shenzhen, and San Francisco.
- Investment Landscape: The average investment value per round stands at USD 21.6 million, with over 7200 investors. More than 22000 funding rounds have supported 8300 companies.
- Top Investors: Insight Partners, Coatue Management, Tiger Global Management, and others collectively invest over USD 2 billion.
- Startup Ecosystem: Innovative startups include Merveilleux (Autonomous AI Agents), Zelos Cloud (Cloud Firmware Development and Testing), Gemell (Yarn Centered CAD Software), NEXT (Product Discovery Platform), and Hubql (API Collaboration Platform).
- Recommendations for Stakeholders: Companies should look to invest in technologies like AI and IoT to drive product innovation and differentiation. Also, engage with customers early and often to incorporate their feedback and ensure the final product meets their needs. Further, emphasis on sustainability by adopting eco-friendly practices and materials in product design and manufacturing will attract consumers globally. Governments should simplify and encourage policies and funding that incentivize new product development across or in specific target industries.
Explore the Data-driven Product Development Report for 2024
The Product Development Market Report 2024 uses data from the Discovery Platform and encapsulates the key metrics that underline the sector’s dynamic growth and innovation. Our database covers 8000+ startups and over 126000 companies and provides insight into the sector’s breadth. The annual growth rate is 3.51%, indicating consistent industry expansion. In addition, over 24000 patents and 10000 grants underscore the importance of innovation support within this sector.
The global workforce in this industry totals 6.7 million, demonstrating its extensive reach. The employee growth exceeded 475000 last year, further reflecting strong employment trends. The top country hubs—USA, India, UK, Germany, and China—represent critical geographical markets. Major cities, including London, New York City, Bangalore, Shenzhen, and San Francisco, are global hubs for innovation with the highest concentration of startup activity.
What data is used to create this product development report?
Based on the data provided by our Discovery Platform, we observe that the product development industry ranks among the top 5% in the following categories relative to all 20K topics in our database. These categories provide a comprehensive overview of the industry’s key metrics and inform the industry’s short-term future direction.
- News Coverage & Publications: The industry produced 46000 news publications last year.
- Funding Rounds: Our database lists over 22000 funding rounds. This highlights significant financial activity.
- Manpower: With a workforce of more than 6 million, the industry demonstrates impressive manpower. It added over 475000 new employees in the past year.
- Patents: The industry holds 24000 patents, emphasizing its innovation capabilities.
- Grants: It has received 10000 grants, which reflects substantial external support.
- Global Search Growth: The yearly global search growth for the industry stands at 7.28%. This is an indication of rising interest and engagement
A Snapshot of the Global Product Development Industry
The product development industry experiences consistent growth and innovation. It comprises over 8000 startups, with 4100 in early stages and 5500 in mergers and acquisitions.
Further, innovation is evident through the 24000 patents held by 14000 applicants. The annual patent growth rate is 7.90%, with China and the USA leading in patent issuance, 1200+ and 4500+ patents, respectively.
Explore the Funding Landscape of the Product Development Industry
The industry attracts substantial investment, with an average funding round of USD 21.6 million. Over 7200 investors have participated in more than 22000 funding rounds. This has supported product development across 8300 companies.
Who is Investing in Product Development?
In the product development industry, investors have made substantial financial commitments, totaling over USD 2 billion. This capital injection highlights confidence in the sector’s growth and innovation potential. Here’s the list of top investors:
- Insight Partners invested USD 815.5 million across 13 companies.
- Coatue Management committed USD 433 million to 8 companies.
- Tiger Global Management invested USD 430.8 million in 10 companies.
- European Investment Bank allocated USD 340.6 million to 10 companies.
- AMETEK invested USD 323 million across 5 companies.
- Fortescue committed USD 321.8 million to 2 companies.
- Accel invested USD 295.8 million in 11 companies.
Access Top Product Development Trends with the Discovery Platform
Explore the emerging trends within the product development landscape along with the firmographic data:
- Generative AI enhances creativity, automation, and efficiency in product development. Over 7K companies operate in this trend, employing more than 624K individuals. The annual growth rate is 66.8%, indicating rapid expansion.
- Rapid Prototyping facilitates faster product design and testing and reduces time-to-market. It involves over 4K companies, employing 160K individuals. The annual growth rate stands at 8.46%.
- IoT Product Development focuses on interconnected devices to improve automation, data collection, and user experience. This trend includes 250 companies, employing 12K individuals. It has added over 1K employees in the last year. The annual trend growth rate is 17.52%.
5 Top Examples from 8000+ Innovative Product Development Startups
The five innovative startups showcased below are picked based on data including the trend they operate within and their relevance, founding year, funding status, and more. Book a demo to find promising startups, emerging trends, or industry data specific to your company’s needs and objectives.
Merveilleux offers Autonomous AI Agents
UK-based startup Merveilleux develops autonomous AI agents that streamline product management and software development for tech companies. These agents integrate into product teams and handle tasks from ideation to deployment. Its Product Manager AI drives product vision, prioritizes requirements, and ensures value delivery, while the Developer AI refines code and optimizes data models. Further, the QA AI designs and executes acceptance tests to identify potential issues.
Zelos Cloud accelerates Firmware Development and Testing
US-based startup Zelos Cloud offers product development tools for emulation, tracing, and automated testing on microcontrollers hosted in the cloud. Its platform integrates real-time emulation of connected hardware through cloud-hosted microcontrollers embedded in a custom I/O fabric. The startup provides data capture and visualization tools for observing full-system behavior. Zelos Cloud also features a Python-based test framework that supports hardware and standards-compliant development.
Gemell develops Yarn Centered CAD Software
Irish startup Gemell provides CAD software for the textile industry to visualize yarn and fabric designs in photorealistic 3D format. This eliminates the need to make physical samples or use scanners. The software digitally creates yarns down to the filament level and allows manufacturers to see detailed designs and textures. The startup’s platform generates digital twins of fabrics directly from woven pattern files and creates complex designs. Gemell speeds up the product development process, reduces fabric waste, and saves manufacturers time and resources.
NEXT provides a Product Discovery Platform
Dutch startup NEXT builds an AI-powered product discovery platform that converts customer interactions into actionable product insights. The platform collects and analyzes customer calls, surveys, and tickets. It leverages AI and transcribes these interactions, identifies key moments, and creates shareable video clips and summaries. NEXT analyzes customer sessions, tags and highlights key insights, and integrates with tools like Slack, Jira, and Productboard.
Hubql builds an API Collaboration Platform
German startup Hubql develops an API collaboration platform that enhances software development projects by enabling team collaboration and data model visualization. The platform allows visualization of complex data models and API schemas to facilitate communication and decision-making. The startup’s platform offers features such as peer-to-peer feedback, and integration with tools like GitHub. Hubql supports local-first storage while also offering a cloud-hosted version for easy accessibility.
Gain Comprehensive Insights into Product Development Trends, Startups, or Technologies
The 2024 product development market report shows an industry experiencing growth driven by innovation and significant investments. Emerging trends, including Generative AI, rapid prototyping, and IoT product development are shaping the future, enhancing efficiency and creativity. Get in touch to explore all 8000+ startups and scaleups, as well as all industry trends impacting product development companies.
