BI Market Bounced Back in 2010

In their year-over-year analysis, Gartner Inc. found BI market rebounding. This recovery, according to Gartner, is a result of stimulus packages, general improvement in the macro-economy, and new product releases that all contributed to a surge in BI software spending.

2010 marked a notable change from 2009, going from $9.3 billion in BI revenue in 2009 to $10.5 billion in 2010, a 13.4% increase. In 2009, Gartner reports, many strategic projects were put on hold. 2010 saw some of the delayed and prolonged strategic discussions finally close. 

Gartner found little change year-on-year in terms of vendor rankings. SAP remained the number-one vendor in combined worldwide BI, analytics and performance management software revenue in 2010, accounting for 23% of the market, followed by Oracle, SAS Institute, IBM and Microsoft.

The four megavendors (SAP, Oracle, IBM and Microsoft) own 59% of the market share and close to two-thirds market share of the BI platform and corporate performance management suite segments. In analytic applications, SAS dominates the market.

“These shares confirm our three megatrends that we’ve been talking about for some time, which span over multiple years,” says Dan Sommer, principal analyst, Software Markets Technology and Service Provider Research, Gartner. The three metatrends are shifts toward stack buying in IT, business-focused buying and increasing amount of users, according to Sommer.

“BI spending has far surpassed IT budget growth overall for several years, and it is clear that BI continues to be a technology at the center of information-driven initiatives in organizations,” Sommer says.

Additional details are available in the Gartner report "Market Share Analysis: Business Intelligence, Analytics and Performance Management Software, Worldwide, 2010" and "Market Share: All Software Markets, Worldwide, 2010."

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