)
Confusion on emerging technologies and tough macro-conditions led to a muted growth in business intelligence, corporate performance management and analytics applications software revenues globally, which rose by just 6.8% to $13.1 billion in 2012, Gartner said today.
Global business intelligence (BI), corporate performance management (CPM) and analytics applications/performance management software revenue totalled $12.3 billion in 2011, the global research agency added.
Tough macro-conditions and confusion related to emerging technology terms led to more muted market growth than in previous years, Gartner said.
"After a few historic banner years of spend in the BI software market, which culminated in more than 17% growth in 2011, growth was more subdued in 2012, at 7%," Gartner Principal Research Analyst Dan Sommer said.
While this seems like a dramatic drop, it was in line with Gartner's forecasts published during 2012, he added.
The firm identified 5 key market dynamics that affected BI software spend and growth in 2012.
First two challenging macronomics and term confusion around analytics, big data and BI had a negative impact on market growth, while the third, BI spending moving outside of IT, had a neutral effect, it said.
However, the fourth and fifth dynamics -data discovery becoming a mainstream architecture and software as a service (SaaS), while still emerging, being the preferred option for granular analytics were drivers of market growth, it added.
"The business intelligence space managed to grow by a reasonable 7% in 2012, despite difficult macro- conditions, being on the tail end of a spending cycle, and confusion related to emerging technology terms causing a hold on purse strings," Sommer said.
