Business Strategy for Software Executives
December 18, 2006
Lessons for Software’s Evolution
The growth and change of the pharmaceutical industry holds many lessons for how the software industry will continue to evolve.
By Yogesh Gupta, CA
Vendor consolidation. Plateauing growth. These are but two factors that point to the maturation of the software industry. Yet few experts would argue that software is “maturing” in the same way other industries have matured. The software business reinvents and revitalizes itself on a regular basis.
Whenever analysts discuss the evolution of the software industry, they often include a comparison to the automotive industry. While there are similarities between the two industries, a more appropriate comparison is one between pharmaceuticals and software.
Software executives who understand the evolution of the pharmaceutical industry can learn several key strategies for evolving their companies through the next decades of the software business.
Diamonds are a Buyer’s Best Friend
There are four options for application development - building, buying, renting and sourcing. Where “buying” had been the most common choice of late, Erik Keller of Wapiti LLC says things are changing. A combination of enterprise application failed promises, market crash and the availability of a new generation of web-based tools has led the market to an inflection point today where all choices are on the procurement table. Read Erik’s review of the options on the “Enteprise Application Market Diamond” in this week’s post to his SandHill.com Blog, The Software Critic.
Rethinking SaaS for India
The small and mid-sized business market in India is a massive opportunity but very unique. Sharad Sharma of TK says SaaS success in India’s SMB sector will require re-thinking products from the ground up. Read Sharad’s insightful take on SaaS opportunities in India in this week’s post to his SandHill.com Blog, India DNA Talk.
Publish Your Perspectives!
The SandHill.com Blog wants your opinions. Send your thoughts on the enterprise software industry to firstname.lastname@example.org and we’ll publish them in our blog.
Experts trot out their 2007 predictions for the technology industry. Plus, the HP CEO hits hot water, IBM accused of theft and a video game that fights back? tRead these stories and more software news of the week in the SandHill.com news summary.
Donít Miss: CIO Predictions for 2007
Leading-edge CIOs, Toby Redshaw of Motorola and Dave Watson of Kaiser, give us their take on the enterprise software market in 2006 and make some interesting predictions for 2007 in this candid conversation with Sand Hill Groupís MR Rangaswami. Click here to download to the latest podcast from SandHill.com.
Poll: Software Story of 2006?
Give us your two cents: what was the most important story in the software industry this year?
More at SandHill.com:
Gartner slashes enterprise IT spending forecasts.
Mercado Software receives $11.5 million.
Akamai buys Nine Systems.
Marge Breya named SVP and CMO of Business Objects.
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