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Gartner Says Worldwide Business Intelligence Software Revenue to Grow 7 Per Cent in 2013Stamford, Conn., )
"BI and analytics have grown to become the fourth-largest application software segment as end users continue to prioritise BI and information-centric projects, and spending to improve decision making and analysis," said Dan Sommer, principal research analyst at Gartner. "As more and more information is generated, business models need reinvention, and it's increasingly clear that mastering analytics on big data will be a key driver for the next economic cycle."
CIO appetite for BI is complemented by more-tactical buying in business units for departmental and workgroup analysis, as well as for personal BI, enabled by the Nexus of Forces (cloud, mobile, social and information). These are fundamental drivers. However, in the near term, growth will be hampered by sluggish macro indicators, as well as by slowing sales cycles of multimillion-dollar end-to-end BI deals. Compared with 2011 growth of 16 per cent, 2013 and the coming years are expected to be slower, with growth in the high single digits.
"Although this is a mature market and has been a top CIO priority for years, there is still a lot of unmet demand. Every company has numerous subject areas - such as HR, marketing, social and so on - that have yet to even start with BI and analytics," said Kurt Schlegel, research vice president at Gartner. "The descriptive analytics have largely been completed for most large companies in traditional subject areas, like finance and sales, but there is still a lot of growth expected for diagnostic, predictive and prescriptive deployments. Since many midsize organisations have yet to even start their BI and analytic initiatives, we expect the market for BI and analytics platforms will remain one of the fastest-growing software markets."
The emerging data-as-a-service trend could significantly grow the market for BI and analytics platforms. Today, the business model is largely "build" driven in that organisations licence software capabilities to build analytic applications. However, organisations increasingly will subscribe to industry-specific data services that bundle a narrow set of data with BI and analytic capabilities embedded. In time, most companies, regardless of their business model, will need to provide a data-as-a-service offering. Therefore, this trend has the potential to grow the market significantly as a range of vendors look to embed a BI and analytic platform provider's software capabilities into their data-as-a-service offerings.
More detailed analysis is available in the reports "Forecast Analysis: Enterprise Application Software, Worldwide, 2011-2016, 4Q12 Update" and "Magic Quadrant for Business Intelligence and
Analytics Platforms". The reports are available on Gartner's web site at http://www.gartner.com/... and http://www.gartner.com/..., respectively.
Additional information on BI and analytics will be presented in the webinar "Strategies for Business Intelligence and Analytics in the Cloud" taking place on the 28th March at 3:00pm and 6:00pm UK time. To register for this complimentary webinar, please visit http://my.gartner.com/....
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