KKR and Goldman Sachs have announced a $360 million investment in OutSystems in a deal that yet again indicates the rapid expansion of the low code development market.
According to OutSystems CEO Paulo Rosado, the company is looking to take on the lack of speed and agility in the traditional software development process. This trend in investment is expected to continue apace, with the demand for low code development solutions expanding as software automation in the years to come.
Market size is expected to grow from $4.32 billion in 2017 to $27.23 billion by 2022 at a CAGR of 44.49% during the forecast period. The largest market share is estimated to be in North America. Other players in the space include Appian, Caspio, MatsSoft, Mendix and Salesforce.
Founded in 2001 in Lisbon, Portugal, OutSystems touts itself as the #1 low-code platform for digital transformation. The platform helps businesses build critical systems, mobile apps, web portals and more. OutSystems technology takes advantage of advances in AI, automation and deep technology integrations to help businesses develop projects under budget.
OutSystems is currently based in Atlanta and has thousands of paying customers. The company has grown to prominence in recent years with several high profile clients, including Toyota, Ricoh, GM Financial, Deloitte, Logitech and Schneider Electric. Companies use the platform for a host of different purposes, from enterprise-level systems to mobile and web apps for internal processes, to customer facing portals like online banking and account enrollment.
KKR (NYSE: KKR) is a global investment firm which manages a portfolio of investments, including private equity, growth equity, energy, infrastructure, real estate and credit. The firm invests its own capital alongside investor funds.
Goldman Sachs Private Capital Investing is the global investment banks’ investment platform dedicated to long term capital for growth and middle-market companies. The firm’s client base includes corporations, financial institutions, individuals and governments.