Enterprise software buying is increasingly shaped by the “Nexus of Forces” — the impact of cloud, information, mobile and social initiatives — according to Gartner Inc. The research firm says technology providers must realize that these disruptive forces will reach mainstream status in 2014 and create new technology requirements, drive new purchasing and establish new competitive realities.
"Starting in 2014, the enterprise software markets will undergo their greatest level of disruptions, growth and new opportunities since the year 2000," Tom Eid, research vice president at Gartner, said in a statement.
By 2017, Gartner estimates that new IT buying based on the Nexus of Forces will drive more than 26 percent of total enterprise software market revenue, up from 12 percent in 2012. This represents more than $104 billion in new worldwide enterprise software revenue from cloud, information, mobile and social initiatives in 2017, Eid said.
"While there has been a great deal of excitement from the vendor community regarding cloud, information, mobile, social and other forces and technologies, adoption in organizations and businesses has yet to catch up with the hype," Eid said. "Adoption trends of new technologies frequently take many years before reaching maturity, stability and broad market usage. The nexus should be seen as a development and design philosophy rather than as a packaged product."
While the use of collaboration technologies, data analytics, mobile devices and software-as-a-service have been in effect for more than a decade, Gartner says, their adoption and popularity have increased significantly over the last few years. Vendors' offerings continue to improve, and usage benefits are becoming more tangible, the firm says.
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