In a global market focused on cloud computing, we tend to forget the role software still has in the successful operation of business. Applications still power much of what we do and their performance is directly related to efficiency, effectiveness and measurable outcomes. As such, the global software market continues to grow and application deployment along with it.
According to IDC (News - Alert), the global software market produced a 5.5 percent increase to reach $369 billion in 2013, compared with 4.3 percent in 2012. Growth in this space is dominated primarily by software for data access, data management and collaboration information. Key drivers included above-average growth in the U.S. and recovery in Europe.
Application Development & Deployment
Also known as AD&D, Application Development & Deployment grew 5.6 percent in 2013. Comprised of nearly 23 percent of software revenues in 2013, this segment produced growth due to the performance of the Structured Data Management and the Data Access, Analysis, and Delivery secondary markets where 7.3 percent and 6.0 percent growth rates, respectively, were reported.
This segment of the market is dominated by Oracle at 21.5 percent. Following close behind are SAP, IBM, SAS (News - Alert) and Microsoft. The largest gain in market share was reported by Microsoft and SAP, both standout companies in the market. The Applications market on its own is led by Microsoft (News - Alert) with 14.1 percent. The highest growth rates were reported by IBM, Oracle, SAP and Intuit.
Growth of 5.5 percent was reported in the Applications primary market segment, which makes up 50 percent of total software revenue. More than 10 percent growth was recorded for Collaboration Applications and Content Applications. Enterprise Social Networks and Team Collaboration Applications adoption tends to drive the former, while Search and Content Analytics drives the latter. On its own, Content Analytics grew by 13.2 percent.
The key driver for growth in this space was the analytics adoption and the focus on Big Data.
Systems Infrastructure Software
The Systems Infrastructure Software market primary segment, which makes up 27 percent of the total revenue in the software market, grew 5.5 percent in 2013. More than 8 percent growth was recorded in the System Software secondary segment thanks to the launch of Windows 8 and the adoption of Virtual Machine and Cloud System Software.
In this space, Microsoft has shown improvement in leadership, claiming 29.3 percent of the market. Close on its heels are IBM, Symantec, VMware and EMC (News - Alert).
Overall, the market shows significant promise as developers are stepping up to the plate to meet application deployment demand.
Edited by Rory J. Thompson