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June 15, 2012

Global system management software market to grow by 5.7% through 2016: IDC

Driven by the growth in workload scheduling and automation (WSA), performance management, and change and configuration management markets

By CBR Staff Writer

Worldwide system management software market grow at a compound annual growth rate (CAGR) of 5.7% through 2016, according to report from International Data Corporation (IDC).

IDC’s Worldwide Semiannual System Management Software Tracker reveals that the WSA and Change and Configuration Management (CCM) markets will continue with their strong performance and are forecast to show the highest growth rates through 2016.

Worldwide Software Trackers director Patrick Melgarejo said the system management software market achieved double-digit growth in 2011 although growth in the second half of the year slowed by 3% compared to the first half.

"The Workload Scheduling and Automation (WSA), Performance Management, and Change and Configuration Management markets maintained the best growth among the functional markets while the Output Management market performed flat and was negative in the second half of the year," he added.

The Event Management and Output Management markets are forecast to underperform the over market, growing at CAGRs of 2.9% and 1.3%, respectively.

IDC Enterprise System Management Software program vice president Tim Grieser said although slowing in the second half of the year, the 2011 results show continued healthy growth in worldwide system management software revenue.

"Growth was fueled by increases in IT spending due to continuing economic recovery and new investments in managing virtualized and cloud infrastructures," he added.

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"Automation to simplify and optimize IT operations and reduce costs continued as a key factor."

Central Europe, Middle East and Africa (CEMA), Asia/Pacific and Japan were the top performing regions in terms of growth rates in 2011.

Japan is the only one out of these 3 regions that surpasses $1bn in annual revenue while Asia/Pacific excluding Japan is forecast to reach the $1bn threshold in 2015.

IBM, BMC, HP, CA Technologies and Microsoft were top five vendors who had recorded worldwide revenue of more than $1bn.

IDC noted the difference between the leader and the last position in this list fell from 7.7 percentage points in 2008 to 4.2 percentage points in 2011, which means the competitive scenario is likely to become more heated over the next few years.

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