The worldwide enterprise software market is growing rapidly and consistently, according to a recent study published by research firm Gartner.
The study, entitled Market Share Analysis: Enterprise Software Worldwide 2010, found that the enterprise software market grew considerably in 2010, reaching a global market value of approximately $245 billion. This represents an increase of 8.5 percent over the market value in 2009, which was estimated at $226 billion.
The enterprise software market has undergone significant changes in recent years. Many companies that previously used traditional software have now migrated to cloud-based enterprise software. Others plan to do so in the near future, comfortable that cloud computing security can be equal to – or better than – on-premise alternatives.
Joanne Correia, managing vice president at Gartner, said 2010 saw many software vendors expand their product portfolios and, in some cases, acquire other companies in order to incorporate their security solutions. Furthermore, Correia said, major software providers extended their reach into emerging markets.
According to Correia, 2010 "represented a return to solid footing as the market recovered and expanded in terms of revenue and geographies." Some regions, however, did not perform as well as others. "Japan and Western Europe saw relatively modest dollar-denominated growth, while Latin America and Asia/Pacific saw growth in the mid-to-high teens, nearly double the market average," Correia said.
According to Gartner, three of the top five vendors in the world experienced revenue gains in 2010 that exceeded the industry average – Microsoft, Oracle and SAP. All three of these companies have recently expanded their efforts to offer cloud computing solutions.
When adopting cloud-based enterprise software solutions, cloud computing security is an important factor to take into account. According to a recent IT Business Edge report, the cloud offers new ways to rectify some old IT security mistakes.