The API testing market is growing faster than most people realize. Here is a quick breakdown.

According to a recent report by Roots Analysis, the global API testing market is currently valued at $2.27 billion in 2026 and is expected to reach $13.65 billion by 2040, growing at a CAGR of 13.67%.

A few things from the data that stood out to me:

1. Security testing is the fastest-growing segment at a 16.8% CAGR. Functional testing still dominates with 62% share, but the shift toward DevSecOps is real and accelerating.

2. Cloud deployments hold 64.5% of the market and are growing faster than on-prem. If your team is still self-hosting testing infra, it might be worth revisiting.

3. Asia-Pacific is the fastest-growing region at 15.2% CAGR, mostly driven by fintech regulation and government digital initiatives.

4. Healthcare is the fastest-growing vertical at 16.5% CAGR, largely due to FHIR API compliance requirements.

5. SMEs are catching up to large enterprises faster than expected as SaaS tools lower the barrier to proper API testing.

The open-source vs paid tool tension is also worth noting. Free tools have raised the baseline expectation so high that commercial tools really need to compete on analytics, integrations, and support to justify pricing.

Full report from Roots Analysis here: rootsanalysis.com/api-testing-market

What are you all using for API security testing right now? Is it integrated into your CI/CD pipeline or still a separate step?