Software Pulse
February 23, 2011

Don FornesThe New ERP Software Haves/Have Nots

An analysis of recent financial performance reveals a new divide between the enterprise software vendors that are logging post-recession growth – and those that are struggling.

By Don Fornes, Software Advice

A handful of enterprise resource planning (ERP) software companies have exited the great recession, regained their footing and posted respectable growth. Much like the macro economy, however, there is a growing divide between the “haves” and the “have-nots.”

In the ERP industry, the haves include old-money titans Oracle and SAP, who both put up solid fourth quarter earnings. The “middle class,” meanwhile, presented a mixed bag of results as mid-cap players produced fairly tepid growth, and in one case, a decline in revenue. Finally, NetSuite represents the nueveau riche, aspiring to capitalize on the secular trend toward hosted enterprise apps – and succeeding.


5 More Cloud Summit Passes Available!

Cloud Connect

Due to overwhelming response, Cloud Industry Summit host and publisher M.R. Rangaswami has obtained 5 more complimentary passes for the first readers who send him an email. Taking place March 8-9 in Santa Clara, Calif., the summit gathers the executives, investors and companies that are driving the cloud computing revolution.

Click here to find out about the event.

How to Speed Your Time-to-Market

Larry Steele

Larry Steele of Savvis explains how software companies can leverage the cloud to speed their time to market in this post to the Blog "SaaS Secrets for Success."

“But How Does Virtualization Make You Feel?”

Guy Smith

Guy Smith of Silicon Strategies Marketing says too many software vendors don’t take the time to explore the motivations underlying the purchase of their products. Read why in this post to the Blog on software marketing best practices.

Take Part in an Executive Networking Dinner

Join Sand Hill Group's M.R. Rangaswami, ServiceSource executives and customers on Tuesday evening, March 8, at Parcel 104 in Santa Clara, Calif. for an intimate networking dinner and lively discussion about service industry trends and innovative ways to optimize recurring service revenue streams. Seating is limited to 20 executives, so please take this opportunity to RSVP today!

Why US Productivity Can Grow Without Killing Jobs

Private-sector innovation and the spread of best practices can raise growth rates and spur employment. Read how in this analysis from The McKinsey Quarterly.

Poll: ERP Have/Have Nots?

Will the future of enterprise software be dominated by a small handful of companies?
Take our Pulse Poll >>

Top Stories from the Past Week

  1. Global CIO: As HP Stomps, Software Industry Shakes (InformationWeek)
  2. Cloud Computing Bubble Looks Like Dot.Com Bubble, Warns UBS (SF Chronicle)
  3. IBM Sweetens the Pot for Partners (Computerworld)
  4. Nasscom Offers Snapshot of the State of IT Services (
  5. Cuban and Gilder Hurl Insults at Venture Capitalists (

Join Global Innovation Leaders at Confluence 2011

Taking place March 11 at the Santa Clara Convention Center, Confluence 2011 is an exclusive globalization summit for executives to understand latest trends in global innovation, engineering optimization and opportunities in emerging markets. Sand Hill Group's M.R. Rangaswami will be moderating a panel at this 2nd annual event which brings together senior decision makers from the Software, Semiconductors, Telecom/Networking, Healthcare (Medical Equipments) verticals. Find out more and register at

The Latest Software Business News on

All Headlines: Ford taps cloud-based prediction market

VC Activity: Virtual Instruments receives $22 million.

M&A Deals: Autodesk pays $39 million for Ridge Numerics.

Executive Moves: Rob Booth named VP of Worldwide Sales at Riverbed Technologies.

Quote of the Week

Investors may be more highly concentrated among these top [cloud computing] performers than even during the dot com bubble, adding a further element of risk particularly if the cloud names cannot sustain their growth momentum.

- UBS on the formation of a cloud computing bubble

This Week's Sponsor

Service Source

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Software Pulse

Software Pulse is a publication of, the online resource for software business strategy.

Publisher: M.R. Rangaswami
Editor: Maryann Jones Thompson

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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.

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