Software Pulse

Business Strategy for Software Executives

December 26, 2006

M.R. Rangaswami

The Biggest Trends of 2006

Hereís a look at the most important evolutionary strides taken by the software industry in 2006.

By M.R. Rangaswami, Sand Hill Group

Congratulations! Youíve made it through another year in the software business, one of the most exciting and rapidly evolving industries on the planet.

2006 was a year of continued transition ñ transition to new technologies, new business models and new vendor ecosystems.Ý

The software industry is moving into a new phase of confidence. Following several years of slides, shifts and upheaval, many software vendors are watching their next-generation strategies crystallize.

After wrangling with the ramifications of consolidation, spending caps, open source, offshoring, SaaS, SOA, on-demand, Web 2.0 and other trends, executives are now better aware of their opportunities and increasingly ready to guide their companies into the next era.

At, weíve enjoyed documenting these changes for software business leaders. Here is a look back at the opinion pieces, blog posts and news stories which shaped the evolution of the industry in 2006.


Software 2007 Earlybird Rate Expires Dec. 31!

Donít miss your chance to qualify for the best deal on the best conference in the software business: Software 2007, the industryís largest vendor-neutral gathering will take place on May 8 and 9, 2007 at the Santa Clara Convention Center. Join 2,000 software CEOs, VPs, investors and experts for two action-packed days of vision, best practices and unparalleled networking opportunities.

Register now to qualify for the special ìearlybirdî rate of $1,495 which allows you to bring three additional colleagues at no extra charge. This offer expires on Dec. 31 so visit now to find out more and register.

Time Validates Enterprise 2.0

Vinnie MirchandaniMan of the Year for 2006 is you ñ I mean me, I mean usÖ. The newsmagazine pays tribute to the power of Web 2.0 technologies and Internet connectivity. In this weekís post to the Blog on Enteprrise 2.0, well-read blogger, Vinnie Mirchandani pays tribute to the technologies and people who made this honor possible.

The Next Enterprise App?

As with the cobblerís kids going shoe-less, IT is often one of the least sophisticated technology operations in the enterprise. Tony Baer of onStrategies takes a look at the new software which manages and delivers of IT services.Ý Read why these products may result in the next enterprise off-the-shelf application in this weekís post to the Blog on emerging technology.

Publish Your Perspectives!

The Blog wants your opinions. Send your thoughts on the enterprise software industry to and weíll publish them in our blog.

Strategy Books for the Holidays!

Make all of the software executives on your list even more savvy with books from the books list. New titles cover everything from SOA, grid computing and offshoring, to sales, marketing and innovation. Click here to scan the list for the most insightful gifts of the year.

The Elusive Art of Postmerger Leadership

Mergers that appear to be successful in the short term often destroy value later on. By concentrating on five issues, CEOs and top teams can increase the odds of a genuinely happy ending.Ý Read more in this article from The McKinsey Quarterly.

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

Free Summary Report from e2006 Conference

Last month, more than 200 software CEOs, investors and professionals gathered in Pebble Beach, Calif. for the ninth-annual Enterprise 2006 conference. The result? Tremendous insight on the current and future potential of the software industry. Read the Sand Hill Group/McKinsey & Co. report which summarizes the conference, available free at

Poll: Software Story of 2007?

What will be the story that epitomizes software business in 2007? ÝÝ
Take our Pulse Poll >>

More at

Read the most important enterprise software industry news of the week >>

Monitor the latest software venture capital deals >>

Size up last week's software M&A deals >>

See who's made it to the top in our list of recent software executive appointments >>

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Parting Thought

ìIf you're not confused, you're not paying attention.î
ñTom Peters

Courtesy of Malcolm Kusher, The Kushner Group