Extended Warranty Market Size

Global Extended Warranty Market size was valued at USD 134.2 billion in 2023 and is poised to grow from USD 149.36 billion in 2024 to USD 351.73 billion by 2032, growing at a CAGR of 11.3% during the forecast period (2025-2032). 

The growing adoption of the cloud technology in the automotive industry, owing to several benefits such as the scalability, reduced costs, and improved collaboration between globally located teams, designers, and manufacturing units to access and share data in real time, is driving innovation and faster product development cycles. Such advantages are further expected to drive the adoption of cloud-based warranty management solutions. The adoption of industry cloud in the automotive sector is on the rise, offering enterprises an opportunity to reconstruct their value chains.

Key trends in the extended warranty market include the rising emphasis on digital sales channels enhancing customer purchase convenience and accessibility. There is a notable shift towards personalized warranty offerings especially tailored to individual needs and their product usage patterns. The market is also witnessing a significant growth in sectors such as automobiles and household electronics, because of the rising consumer awareness.

The demand for protection of laptops, smartphones, tablets, and other brown goods has increased at a faster rate in the market. As a result, the availability of an extended warranty for these products has increased competition in the market. Extended warranty solutions for these goods are undergoing constant development and are anticipated to dominate the market over the forecast period. The continuous rise in the adoption and accumulation of laptops, smartphones, tablets, and other consumer electronics is driving the growth of service contracts in the market.

For instance, the entrance of PCs, cell phones, and tablets should be visible in the training area. Recently, there has been a critical expansion in the utilization of innovation in schools and colleges, with PCs, cell phones, and tablets becoming fundamental devices for understudies and educators.