Oases of opportunity in arid Apps Services market

With growth of 0.7% during 2011, the UK application services market just scraped into positive territory. Yet as our just-published Application Services Market Trends & Forecasts - 2012 report shows, this is as good as it will get until the end of our forecast period in 2015.

Deflationary forces such as cloud computing, lower price contract renewals, austerity and public sector cuts are changing the shape and threatening to leach revenue out of the application services market. Long held assumptions about what constitutes software and supporting application services, and how they are priced and provisioned are being questioned as new technology and business models reshape the market. Suppliers are in for a difficult time, under pressure to anticipate and quickly act on emerging services opportunities around disruptor technologies like the cloud, big data and mobile, in order to compensate for declines in traditional areas such as application operations, and support and management.

The latest report in the ESAS research stream provides in-depth analysis of the five factors that are driving the changes – Smart interactions, Smart solutions, Lifecycle engagement, Just-in-Time skill management and Supply-side cost management. The combination of these factors and our invaluable TechMarketView market trends and forecast data for the sector, which are also included in the report, provides suppliers with valuable insight into how to manage the changes and where and when to look for opportunities.

Subscribers to ESASViews can access the Application Services Market Trends & Forecasts – 2012 report here.

Posted by Angela Eager at '11:22' - Tagged: applications