Story image

Microsoft tops; Oracle and Google growing fast as enterprise SaaS tops US$13b

13 Mar 17

Microsoft’s cloud push is playing dividends, with the tech giant continuing to hold a clear lead in the burgeoning enterprise software-as-a-service market according to new data from Synergy Research Group, who also say the market guarantees ‘substantial growth for many years to come’.

The IT and cloud market tracking company says the enterprise SaaS grew 32% year on year in Q4 2016, to reach almost US$13 billion in quarterly revenues, with Synergy forecasting the market will more than double in size over the next three years with strong growth across all segments and all geographic regions.

Microsoft overtook long-time market leader Salesforce as the overall enterprise SaaS leader last year and for the third successive quarter olds that position.

Synergy Research says Oracle and Google were among the vendors with the highest growth rates, with Google’s growth coming thanks to a big push for its G Suite collaborative apps.

John Dinsdale, Synergy Research Group chief analyst and research director, says a range of factors are driving the SaaS market and guaranteeing substantial growth ‘for many years to come’.

“Traditional enterprise software vendors like SAP, Oracle and IBM are all pushing to convert their huge base of on-premise software customers to a SaaS subscription relationship,” Dinsdale says.

“Meanwhile, relatively new cloud-based vendors like Workday and Zendesk are aggressively targeting the enterprise cloud market and industry giants Microsoft and Google are on a charge to grow their subscriber bases, especially in the collaboration market.”

Synergy Research’s figures show ERP, where SAP, Oracle and Infor are key players, recording the biggest growth for the quarter, at 40%.

 Collaboration – where Microsoft, Cisco and Google lead the charge – is also charging ahead, recording growth of around 35%.

CRM – where Salesforce, Microsoft and Zendesk are the front runners – and HR/HCM – lead by ADP, Workday and Ultimate Software – also saw solid growth, clocking between 20% and 30% growth each.

System infrastructure SaaS, where IBM, Oracle and SAP are strong players, was also up more than 30%.

The ‘other’ enterprise apps category was also up around 35%, with Microsoft again one of the front runners for the category, along with Adobe and Intuit.

One Identity a Visionary in Magic Quad for PAM
One Identity was recognised in the Gartner Magic Quadrant for Privileged Access Management for completeness of vision and ability to execute.
Accenture 'largest Oracle Cloud integrator in A/NZ'
Accenture has bought out Oracle Software-as-a-Service provider PrimeQ, which now makes Accenture the largest Oracle Cloud systems integrator in Australia and New Zealand.
How to keep network infrastructure secure and available
Two OVH executives have weighed in on how network infrastructure and the challenges in that space will be evolving in the coming year.
White box losing out to brands in 100 GE switching market
H3C, Cisco and Huawei have all gained share in the growing competition in the data centre switching market.
Gartner names newcomer Exabeam a leader in SIEM
The vendor landscape for SIEM is evolving, with recent entrants bringing technologies optimised for analytics use cases.
52mil users affected by Google+’s second data breach
Google+ APIs will be shut down within the next 90 days, and the consumer platform will be disabled in April 2019 instead of August 2019 as originally planned.
Genesys PureCloud generates triple-digit revenue growth year on year
In Australia and New Zealand, the company boosted PureCloud revenue by nearly 100%.
Symantec releases neural network-integrated USB scanning station
Symantec Industrial Control System Protection Neural helps defend against USB-borne cyber attacks on operational technology.