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South & Central America Mainframe Modernization Services Market Size and Forecast (2021 - 2031), Regional Share, Trend, and Growth Opportunity Analysis Report Coverage: By Services (Application Modernization, Cloud Migration, and Data Modernization), Ente

Published Oct 17, 2025
Length 210 Pages
SKU # TIP20887661

Description

The South and Central America mainframe modernization services market is projected to grow significantly, reaching approximately USD 2,038.36 million by 2031, up from USD 1,064.69 million in 2023. This growth represents a compound annual growth rate (CAGR) of 8.5% from 2023 to 2031.

Executive Summary and Market Analysis

Digital transformation is a critical focus for companies in South America, particularly in countries like Brazil, Argentina, Chile, Colombia, and Peru. These nations are increasingly adopting solutions aimed at reducing operational costs, minimizing downtime, and enhancing overall productivity. The shift towards digital solutions is essential for businesses to achieve sustainability in their operations. Government initiatives, such as Brazil's Digital Project and Chile's Digital 2035 strategy, are promoting the adoption of digital technologies across various sectors, thereby driving the demand for mainframe modernization services.

A recent study by QWLLabs highlights that South America has 81% more fully remote companies compared to the global average. As remote work models become more prevalent, organizations are encountering new challenges in managing IT infrastructure, ensuring cybersecurity, and providing efficient data processing support. This trend is expected to further stimulate the mainframe modernization services market.

Strategic Insights

Market Segmentation AnalysisThe South and Central America mainframe modernization services market can be segmented based on services, enterprise size, and end-use industry.

1. Services: The market is divided into application modernization, cloud migration, and data modernization. In 2023, the application modernization segment held the largest market share, reflecting the high demand for updating and optimizing legacy applications.
2. Enterprise Size: The market is categorized into large enterprises and small to medium-sized enterprises (SMEs). Large enterprises dominated the market in 2023, driven by their extensive IT infrastructure and greater resources for modernization initiatives.
3. End-Use Industry: The market is segmented into various industries, including IT and telecom, banking, financial services, and insurance (BFSI), healthcare, manufacturing, retail, education, and others. The IT and telecom sector accounted for the largest share in 2023, as these industries are at the forefront of adopting modernization services to enhance their operational capabilities.

Market Outlook

A notable trend in the mainframe modernization services market is the integration of artificial intelligence (AI) and machine learning (ML). These technologies are transforming how organizations approach the modernization of legacy systems. Mainframe users are increasingly looking for ways to leverage AI and ML to improve system availability and performance, proactively identify issues, and expedite application releases and DevOps processes.

AI and ML can analyze vast amounts of legacy code and data, streamlining the modernization process. These technologies can automatically identify dependencies, evaluate code quality, and suggest optimization strategies, which not only accelerates the modernization timeline but also minimizes the risk of errors associated with manual code analysis. Furthermore, AI-driven tools can enhance decision-making in modernization projects by predicting potential challenges, estimating resource needs, and recommending the most effective modernization strategies tailored to an organization’s specific requirements.

For instance, in May 2024, Kyndryl, a leading IT infrastructure services provider, launched new AI and generative AI-based consulting and managed delivery services aimed at helping organizations maximize their mainframe application and data assets as part of their hybrid cloud transformation. This initiative underscores the growing importance of AI capabilities in mainframe modernization.

Country Insights

The South and Central America mainframe modernization services market is primarily composed of Brazil, Argentina, and other regions in South and Central America, with Brazil holding the largest market share in 2023.

Brazil has emerged as a significant player in the global IT landscape, benefiting from steady growth and technological advancements. As businesses increasingly rely on IT infrastructure and services, the demand for mainframe modernization services has surged. The banking and healthcare sectors in Brazil are experiencing rapid growth, prompting the government to implement key initiatives aimed at digitizing the financial sector. According to the World Economic Forum, 85% of Brazilians have access to financial services, and the International Trade Administration reports that Brazil is the largest healthcare market in South America, spending 9.47% of its GDP on healthcare, amounting to USD 161 billion. In 2023, the Brazilian Ministry of Health announced a USD 200 million investment in health IT to digitize the public health system, further driving the demand for modernization services.

Company Profiles

Key players in the South and Central America mainframe modernization services market include Accenture Plc, Capgemini SE, Infosys Ltd, Fujitsu Ltd, Cognizant Technology Solutions Corp, Microsoft Corp, Mphasis Ltd, Innova Solutions, DXC Technology Co, Amazon Web Services Inc, International Business Machines Corp, HCL Technologies Ltd, Atos SE, Tata Consultancy Services Ltd, Oracle Corp, EPAM Systems Inc, Ensono, LLC, Hexaware Technologies Ltd, Software AG, and Kyndryl Holdings Inc. These companies are employing various strategies, including expansion, product innovation, and mergers and acquisitions, to enhance their offerings and increase market share.

Table of Contents

210 Pages
1. Introduction
1.1 Report Guidance
1.2 Market Segmentation
2. Executive Summary
2.1 Key Insights
2.2 Market Attractiveness
3. Research Methodology
3.1 Secondary Research
3.2 Primary Research
3.2.1 Hypothesis formulation:
3.2.2 Macroeconomic factor analysis:
3.2.3 Developing base number:
3.2.4 Data Triangulation:
3.2.5 Country-level data:
3.3 Assumptions and Limitations
4. South and Central America Mainframe Modernization Services Market Landscape
4.1 Overview
4.2 Ecosystem Analysis
4.2.1 Software Providers:
4.2.2 Services Providers:
4.2.3 System Integrators:
4.2.4 End-Users:
4.2.5 List of Vendors in the Value Chain
5. South and Central America Mainframe Modernization Services Market - Key Market Dynamics
5.1 South and Central America Mainframe Modernization Services Market - Key Market Dynamics
5.2 Market Drivers
5.2.1 The Rise in Adoption of Mainframe Modernization Services In Various Sectors
5.2.2 Digital Transformation Across the Globe
5.2.3 Growing Adoption of Cloud Computing
5.3 Market Restraints
5.3.1 Challenges in Mainframe Modernization
5.4 Market Opportunities
5.4.1 Growing Adoption of Data Analytics
5.5 Future Trends
5.5.1 Increase in Investment Towards the Transformation of IT Infrastructure
5.5.2 Integration with AI and ML
5.6 Impact of Drivers and Restraints:
6. South and Central America Mainframe Modernization Services Market - Analysis
6.1 South and Central America Mainframe Modernization Services Market Revenue (US$ Million), 2021-2031
6.2 South and Central America Mainframe Modernization Services Market Forecast Analysis
7. South and Central America Mainframe Modernization Services Market Analysis - by Services
7.1 Application Modernization
7.1.1 Overview
7.1.2 Application Modernization: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
7.2 Cloud Migration
7.2.1 Overview
7.2.2 Cloud Migration: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
7.3 Data Modernization
7.3.1 Overview
7.3.2 Data Modernization: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
8. South and Central America Mainframe Modernization Services Market Analysis - by Enterprise Size
8.1 Large Enterprises
8.1.1 Overview
8.1.2 Large Enterprises: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
8.2 SMEs
8.2.1 Overview
8.2.2 SMEs: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
9. South and Central America Mainframe Modernization Services Market Analysis - by End Use Industry
9.1 IT and Telecom
9.1.1 Overview
9.1.2 IT and Telecom: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
9.2 BFSI
9.2.1 Overview
9.2.2 BFSI: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
9.3 Healthcare
9.3.1 Overview
9.3.2 Healthcare: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
9.4 Manufacturing
9.4.1 Overview
9.4.2 Manufacturing: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
9.5 Retail
9.5.1 Overview
9.5.2 Retail: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
9.6 Education
9.6.1 Overview
9.6.2 Education: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
9.7 Others
9.7.1 Overview
9.7.2 Others: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
10. South and Central America Mainframe Modernization Services Market - Country Analysis
10.1 South and Central America
10.1.1 South and Central America Mainframe Modernization Services Market - Revenue and Forecast Analysis - by Country
10.1.1.1 South and Central America Mainframe Modernization Services Market - Revenue and Forecast Analysis - by Country
10.1.1.2 Brazil: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
10.1.1.2.1 Brazil: South and Central America Mainframe Modernization Services Market Share - by Services
10.1.1.2.2 Brazil: South and Central America Mainframe Modernization Services Market Share - by Enterprise Size
10.1.1.2.3 Brazil: South and Central America Mainframe Modernization Services Market Share - by End Use Industry
10.1.1.3 Argentina: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
10.1.1.3.1 Argentina: South and Central America Mainframe Modernization Services Market Share - by Services
10.1.1.3.2 Argentina: South and Central America Mainframe Modernization Services Market Share - by Enterprise Size
10.1.1.3.3 Argentina: South and Central America Mainframe Modernization Services Market Share - by End Use Industry
10.1.1.4 Rest of South and Central America: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
10.1.1.4.1 Rest of South and Central America: South and Central America Mainframe Modernization Services Market Share - by Services
10.1.1.4.2 Rest of South and Central America: South and Central America Mainframe Modernization Services Market Share - by Enterprise Size
10.1.1.4.3 Rest of South and Central America: South and Central America Mainframe Modernization Services Market Share - by End Use Industry
11. Competitive Landscape
11.1 Heat Map Analysis by Key Players
11.2 Company Positioning & Concentration
12. Industry Landscape
12.1 Overview
12.2 Market Initiative
12.3 Product Development
12.4 Mergers & Acquisitions
13. Company Profiles
13.1 Accenture Plc
13.1.1 Key Facts
13.1.2 Business Description
13.1.3 Products and Services
13.1.4 Financial Overview
13.1.5 SWOT Analysis
13.1.6 Key Developments
13.2 Capgemini SE
13.2.1 Key Facts
13.2.2 Business Description
13.2.3 Products and Services
13.2.4 Financial Overview
13.2.5 SWOT Analysis
13.2.6 Key Developments
13.3 Infosys Ltd
13.3.1 Key Facts
13.3.2 Business Description
13.3.3 Products and Services
13.3.4 Financial Overview
13.3.5 SWOT Analysis
13.3.6 Key Developments
13.4 Fujitsu Ltd
13.4.1 Key Facts
13.4.2 Business Description
13.4.3 Products and Services
13.4.4 Financial Overview
13.4.5 SWOT Analysis
13.4.6 Key Developments
13.5 Cognizant Technology Solutions Corp
13.5.1 Key Facts
13.5.2 Business Description
13.5.3 Products and Services
13.5.4 Financial Overview
13.5.5 SWOT Analysis
13.5.6 Key Developments
13.6 Microsoft Corp
13.6.1 Key Facts
13.6.2 Business Description
13.6.3 Products and Services
13.6.4 Financial Overview
13.6.5 SWOT Analysis
13.6.6 Key Developments
13.7 Mphasis Ltd
13.7.1 Key Facts
13.7.2 Business Description
13.7.3 Products and Services
13.7.4 Financial Overview
13.7.5 SWOT Analysis
13.7.6 Key Developments
13.8 Innova Solutions
13.8.1 Key Facts
13.8.2 Business Description
13.8.3 Products and Services
13.8.4 Financial Overview
13.8.5 SWOT Analysis
13.8.6 Key Developments
13.9 DXC Technology Co
13.9.1 Key Facts
13.9.2 Business Description
13.9.3 Products and Services
13.9.4 Financial Overview
13.9.5 SWOT Analysis
13.9.6 Key Developments
13.10 Amazon Web Services Inc
13.10.1 Key Facts
13.10.2 Business Description
13.10.3 Products and Services
13.10.4 Financial Overview
13.10.5 SWOT Analysis
13.10.6 Key Developments
13.11 International Business Machines Corp
13.11.1 Key Facts
13.11.2 Business Description
13.11.3 Products and Services
13.11.4 Financial Overview
13.11.5 SWOT Analysis
13.11.6 Key Developments
13.12 HCL Technologies Ltd
13.12.1 Key Facts
13.12.2 Business Description
13.12.3 Products and Services
13.12.4 Financial Overview
13.12.5 SWOT Analysis
13.12.6 Key Developments
13.13 Atos SE
13.13.1 Key Facts
13.13.2 Business Description
13.13.3 Products and Services
13.13.4 Financial Overview
13.13.5 SWOT Analysis
13.13.6 Key Developments
13.14 Tata Consultancy Services Ltd
13.14.1 Key Facts
13.14.2 Business Description
13.14.3 Products and Services
13.14.4 Financial Overview
13.14.5 SWOT Analysis
13.14.6 Key Developments
13.15 Oracle Corp
13.15.1 Key Facts
13.15.2 Business Description
13.15.3 Products and Services
13.15.4 Financial Overview
13.15.5 SWOT Analysis
13.15.6 Key Developments
13.16 EPAM Systems Inc
13.16.1 Key Facts
13.16.2 Business Description
13.16.3 Products and Services
13.16.4 Financial Overview
13.16.5 SWOT Analysis
13.16.6 Key Developments
13.17 Ensono, LLC
13.17.1 Key Facts
13.17.2 Business Description
13.17.3 Products and Services
13.17.4 Financial Overview
13.17.5 SWOT Analysis
13.17.6 Key Developments
13.18 Hexaware Technologies Ltd
13.18.1 Key Facts
13.18.2 Business Description
13.18.3 Products and Services
13.18.4 Financial Overview
13.18.5 SWOT Analysis
13.18.6 Key Developments
13.19 Software AG
13.19.1 Key Facts
13.19.2 Business Description
13.19.3 Products and Services
13.19.4 Financial Overview
13.19.5 SWOT Analysis
13.19.6 Key Developments
13.20 Kyndryl Holdings Inc
13.20.1 Key Facts
13.20.2 Business Description
13.20.3 Products and Services
13.20.4 Financial Overview
13.20.5 SWOT Analysis
13.20.6 Key Developments
14. Appendix
14.1 Word Index
14.2 About The Insight Partners
LIST OF TABLES
Table 1. South and Central America Mainframe Modernization Services Market Segmentation
Table 2. List of Vendors
Table 3. South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
Table 4. South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million) - by Services
Table 5. South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million) - by Enterprise Size
Table 6. South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million) - by End Use Industry
Table 7. South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million) - by Country
Table 8. Brazil: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021 - 2031 (US$ Million) - by Services
Table 9. Brazil: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021 - 2031 (US$ Million) - by Enterprise Size
Table 10. Brazil: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021 - 2031 (US$ Million) - by End Use Industry
Table 11. Argentina: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021 - 2031 (US$ Million) - by Services
Table 12. Argentina: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021 - 2031 (US$ Million) - by Enterprise Size
Table 13. Argentina: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021 - 2031 (US$ Million) - by End Use Industry
Table 14. Rest of South and Central America: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021 - 2031 (US$ Million) - by Services
Table 15. Rest of South and Central America: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021 - 2031 (US$ Million) - by Enterprise Size
Table 16. Rest of South and Central America: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021 - 2031 (US$ Million) - by End Use Industry
Table 17. Company Positioning & Concentration
Table 18. List of Abbreviation
LIST OF FIGURES
Figure 1. South and Central America Mainframe Modernization Services Market Segmentation - Country
Figure 2. Impact Analysis of Drivers and Restraints
Figure 3. South and Central America Mainframe Modernization Services Market Revenue (US$ Million), 2021-2031
Figure 4. South and Central America Mainframe Modernization Services Market Share (%) - by Services (2023 and 2031)
Figure 5. Application Modernization: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
Figure 6. Cloud Migration: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
Figure 7. Data Modernization: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
Figure 8. South and Central America Mainframe Modernization Services Market Share (%) - by Enterprise Size (2023 and 2031)
Figure 9. Large Enterprises: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
Figure 10. SMEs: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
Figure 11. South and Central America Mainframe Modernization Services Market Share (%) - by End Use Industry (2023 and 2031)
Figure 12. IT and Telecom: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
Figure 13. BFSI: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
Figure 14. Healthcare: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
Figure 15. Manufacturing: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
Figure 16. Retail: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
Figure 17. Education: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
Figure 18. Others: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021-2031 (US$ Million)
Figure 19. South and Central America Mainframe Modernization Services Market Breakdown, by Key Countries, 2023 and 2031 (%)
Figure 20. Brazil: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021- 2031 (US$ Million)
Figure 21. Argentina: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021- 2031 (US$ Million)
Figure 22. Rest of South and Central America: South and Central America Mainframe Modernization Services Market - Revenue and Forecast, 2021- 2031 (US$ Million)
Figure 23. Heat Map Analysis by Key Players
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