Software Pulse

Business Strategy for Software Executives

May 20, 2009

Bruce Cleveland

The Death of Enterprise Software?

Enterprise startups are rapidly becoming an endangered species. Here’s why we should care and how a reinvented “spin-in” model can reinvigorate the software industry.

By Bruce Cleveland, InterWest Partners

The startup has been the innovation pipeline that fuels growth and returns for enterprise IT and software providers. Yet despite the need for innovative enterprise software solutions, there has been a dearth of venture funding for new enterprise-oriented software companies during this decade. Consequently, the enterprise software innovation pipeline is drying up.

Given the current challenges associated with the traditional venture capital business model, the reluctance to invest in enterprise software startups, and the pressures faced by the large software brands, I believe there is a unique opportunity for the venture community and the large software brands to come together using a modified version of the classic “spin in” model. Here’s why.


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The Key to Aligning Sales & Marketing

Christine Crandell Every company struggles to keep sales and marketing aligned. Christine Crandell of Egenera says the secret to alignment success lies in recognizing the differences between the organizations and incorporating them into the company’s overall strategy and operational philosophy. Read how in this post to the Blog on software marketing.

Tips for Growth in the Recession

Bruce La FetraBruce La Fetra of Rubicon Consulting offers four areas of growth potential for executives to focus on during the downturn. Read his advice in this post to the Blog “Thriving in the Downturn.”

Publish Your Perspective! wants your opinions. Send your thoughts on the enterprise software industry to editor, Maryann Jones Thompson ( and have your opinions published on our site.

How Cloud Computing Challenges CIO Roles

The shift to cloud computing is gaining momentum. CIOs who can sustain their companies’ infrastructure while nurturing innovation can gain a competitive advantage. Read this expert analysis in this roundtable from The McKinsey Quarterly.

News Update: Taking New Tacks

Giants adopt new strategies to innovate during the downturn; plus, Sun shareholders file suits, rumors link Microsoft and SAP, and IBM wants to shorten meetings. Read these stories and more software news of the week in the latest Software News Summary.

Poll: Is Enterprise Software Dying?

What is the prognosis for the enterprise software industry?
Take our Pulse Poll >>

Last week, readers weighed in on the software M&A outlook for the remainder of 2009.
Give us your opinion and see the results >>

More at

Supreme Court will hear Sarbanes-Oxley challenge.
Read the most important enterprise software industry news of the week >>

Application service management vendor BlueStripe received $8 million.
Monitor the latest software venture capital deals >>

Is an IBM purchase of Red Hat inevitable?
Size up last week’s software M&A deals >>

Former CEO of Centive, Michael Torto named CEO of virtualization software maker rPath.
See who’s made it to the top in our list of recent software executive appointments.

Send us your feedback on this newsletter and the site.

Parting Thought

“The search for the perfect venture can turn into procrastination. Your idea may or may not have merit. The key is to get started.”
— Unknown

Courtesy of Malcolm Kusher, The Kushner Group


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click here. is published by Sand Hill Group, which provides investment and management advice to emerging leaders in the $600 billion enterprise software, services and solutions market. Sand Hill Group produces the Software and the Enterprise series of conferences for industry executives, and authors research reports on cutting-edge technology topics.