IDC Market Research Projections for #SaaS

In a webinar today produced by the market research company IDC, they released some projections on the adoption of Software as a Service (SaaS) business model for the next few years. Here are their results:

• SaaS Revenue is on a Tear (26% CAGR, 2010-1014)
• SaaS revenue to grow 5x faster than "all applications" spending; 6x faster than "all software"
• Influx of net new "products" delivered as SaaS (IDC estimate; 82% in 2012)
• <21% of brand new companies will go to market w/packaged (CD) product in 2010
• <35% of new products from established ISVs will be CDs in 2010
• Perpetual license revenue declines, for good (-$7 billion in 2009)
• ~37% of 2009 subscription revenue derives from MT SaaS: 43% in 2013
• On-premise, core ERP struggles (<5% CAGR overall, <3% CAGR for >5000 employee firms)
• Project-based work most vulnerable to cuts
• ERP upgrades are delayed, canceled
• SaaS market includes SW leaders (SAP, Oracle, IBM, HP), as well as SaaS pure-plays
• 56% of revenue is from pureplays; 18% from firms with >70% of revenue from SaaS; remainder from large firms with SaaS BUs

The source for these data come from an IDC report entitled: IDC #226328 Worldwide Software as a Service 2010-2014 Forecast: Software Will Never Be the Same

Podcast: How Will You Answer the GeoCloud Computing Call?

What if your IT manager walked into your office and let you know it was time to move your geospatial operation into the cloud? What would you do? Where would you start? Do you even know what questions to ask? Our editors assess the state of the geocloud and offer some advice on how to prepare for what may be that inevitable knock on the door.

Subscribe to Podcast RSS

Listen Now (to download, right click on the link at left and choose "save target as")

Read the show notes

Missed any podcasts? Want to subscribe via iTunes, Yahoo, etc? Here’s the index.