Software industry revenue hit a record high of $18.1bn in the fourth quarter of 2016, with software revenues growing by 15.6% to $2.45bn, according to industry data released by the US Bureau of Economic Analysis.
The figures were announced on Thursday by the BEA, which is the government’s statistical arm.
The data shows that software revenues grew by 15% in the first quarter of the year, compared to the previous quarter, to $1.6bn.
Software revenues also increased by 2.4% in Q4 2017 compared to Q4 2016, while software revenues for the first time surpassed $1bn for the fourth time in the last five years.
The BEA report shows that the industry was one of the fastest growing segments in the US economy in 2016, increasing at a rate of 8.4%, or by over 20% a year.
“The year-on-year increase in software revenues exceeded the 10-year average increase of 5.6%, a remarkable achievement,” the BAE report said.
“The data provides evidence that software is driving innovation in US economy, providing economic dynamism and creating jobs.
The pace of change in software technology is accelerating and is on a path to surpass the 10 years growth of software revenues.”
According to the BSE, the software industry is now the seventh largest in the world.
In the first six months of 2017, software revenues in the United States totaled $12.7bn.
The BSE said that software revenue grew by 8.6%.
The US software revenue share was the highest in the western world at 29.1%, the highest proportion of software revenue in the entire world.