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Enterprise Information Access with Search Technology Market to Grow 15% in 2007

Worldwide enterprise information access with search technology total software market revenue will increase 15% to $728 million in 2007, up from $633 million in 2006, according to Gartner. 

Worldwide Forecast for Information Access with Search: Total Software Revenue, 2007 – 2011 ($ million)

2007

2008

2009

2010

2011

728.2

815.5

913.4

1,004.8

1,105.2

Source: Gartner Dataquest (January 2007)

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IDC: $5.6B Application Server Software Market Forecasts 2005-2010

The worldwide application server software revenue is expected to grow under 5% CAGR between  to reach $5.6 billion in 2010 from $4.5 billion in 2005, according to a latest IDC study. However IDC estimates that the number of servers handling workload associated with application server software will increase at a compound annual growth rate of nearly 11% over the 2005-2010 forecast period. 

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IDC Projections on Microsoft Windows Vista Penetration at Home and Enterprise

In calendar year 2007, deployments of Windows Vista are projected to hit 90 million units, according to IDC. Through 2010, IDC forecasts Windows client operating environments to experience a 2005-2010 CAGR of 8.2%. 

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$250 billion Opportunity with Microsoft Vista

Microsoft, launching Windows Vista for businesses, predicts over 200 million users for new Windows, Office or PC server software by the end of 2007. “Industry analysts expect these products to represent more than $250 billion in partner revenue opportunity in the next 12 months,” Steve Ballmer said. 

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War for Talent Boosts HCM Software to Top $6 billion

As the war for talent has grown acute in this age of globalization, human resources tasks such as managing payroll and benefits have evolved into much more strategic, and more companies are deploying software for human capital management for a competitive edge (reports IBD). The HCM software market is forecast to top $6 billion in sales this year, according to AMR. 

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Software 500: $380.8 billion in Revenues at Top Software and Services Companies

The top 500 software and services companies worldwide generated $380.8 billion in sales in 2005, a decline of just under 1% from the 2004 revenues of $383.3 billion, according to Software Magazine's 2006 Software 500 revenue rankings. The top 500 companies employed 2.54 million at the end of 2005, a decline of just under 5 % from 2.66 million at the end of 2004. 

Employee growth was the strongest at information security sector (40%), human resource management systems (39 %), healthcare (23 %), content management (22 %) and customer relationship management CRM (17 %). 

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Global Software Market and the Software 500

Revenue at the Software Magazine's "2006 Software 500" declined 1% to $380.8 billion worldwide for 2005 from the previous year's total revenue of $383.3 billion. Total employees at the 2006 Software 500 companies declined just under 5% to 2,539,872 at the end of 2005.

Forrester Research estimates the global commercial software market at $207 billion in 2005, with the top four vendors accounting for about 34% of the revenue. 

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US medium businesses push for CRM solutions - $1 billion this year

US medium businesses (100-999 employees) will spend over $1 billion this year on customer relationship management (CRM) solutions, as they increasingly recognize the need to improve and extend their CRM capabilities, according to a new report, “Mid-Market CRM: Vendor Strategies for a New Frontier” from AMI Partners. The US medium business market is still under-penetrated in terms of CRM adoption, with just 35% of these businesses currently using CRM solutions. However, their spending on CRM is set to grow at a 9% CAGR over the next five years.

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ERP Software Will Grow to $29 Billion in 2006

Enterprise resource planning (ERP) applications market grew to $25.4B in 2005, and will reach $29B in 2006, according to AMR Research. Over the next five years, the market will grow at an average of CAGR of 10%. The top two vendors, SAP and Oracle, now represent 65% of new license sales. 

TOP 5 ERP Vendors 2006 Estimated 
Market Share
Growth Rate 
Forecast 2005-06
SAP 43% 17%
Oracle 23% 29%
Sage Group 6% 10%
Microsoft 4% 18%
SSA Global 3% 3%
Source: AMR Research (October 2006)

25% of New Business Software Will Be Delivered As Software As A Service by 2011

Software as a service (SaaS) represented approximately 5% of business software revenue in 2005 and, by 2011, 25% of new business software will be delivered as SaaS, according to Gartner.

According to a recent IDC study, the size of the SaaS market will grow from $2.3 billion in 2003 to $8.0 billion by 2007. Other studies cite similar numbers and refer to an annual growth rate of 25%. SaaS offerings currently take one of three different forms: managed services, hosted applications, and software-on-demand.

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