CRN Network, January 3, 2012, 1700 hrs
According to Gartner, worldwide master data management (MDM) software revenue is expected to reach $1.9 billion in 2012, a 21 percent increase from 2011. The market is forecast to reach $3.2 billion by 2015.
“This is the biggest annual growth we have seen for this market since 2008,” said Colleen Graham, Research Director, Gartner. “Pressures to optimize costs and efficiencies in a heterogeneous IT environment are driving organizations to turn to MDM as an efficient way to manage and maintain data across multiple sources. In addition, the increasing governance, risk and compliance regulations are forcing organizations to focus on MDM to support these initiatives.”
In 2013, MDM software revenue will see faster growth in Asia/Pacific, where revenue will increase by 30 percent from 2012 to reach $209 million.
Within the overall MDM market, more than half the revenue is driven by products from small and best-of-breed vendors, as the market continues to favor specialized solutions over generic offerings. However, the overall MDM market is dominated by three major players: IBM, Oracle and SAP.
As more midsize organizations adopt MDM in the course of the next four years, they are demanding lower prices and more flexibility from vendors. As a result, many new MDM vendors and offerings capturing this market will be focused on areas such as open source, as well as cloud computing/software as a service.
The largest domains of the MDM software market are MDM of customer data and MDM of product data, each of which is predicted to more than double in size over the next four years. The market for MDM of customer data is expected to reach $644 million in 2012 and to exceed $1 billion in 2015. The market for MDM of product data is projected to reach $688 million in 2012 and to surpass $1.1 billion in 2015. |