Economic conditions and confusion over industry buzzwords such as big data has slowed global business spending on business intelligence (BI) software, according to a recent report from Gartner Research Inc.
Following a series of a “banner years” the market for BI software sales of BI software in 2012 reached $13.1 billion registering a 6.8 per cent increase over the previous year’s $12.3 billion – significantly slower that the 17 per cent growth rate recorded for 2011, the report said.
Global macroeconomics conditions led to “increased budget scrutiny” for both new a maintenance spending in the IT space, noted the report by analysts Dan Sommer and Bhavish Sood.
“Increased confusion around new hype terms and where the tangible benefits” like put the brakes on sales cycles in the BI space, the report added.
It was especially difficult to market BI software in Europe and Latin America, last year. However Africa, the Middle East and emerging markets in Asia remain in ramp up mode.
SAP AG remains the top BI seller with about $2.9 billion in revenue. This is followed by IBM at $1.62 billion and SAS Institute at $1.6 billion.