Cambashi Reports Growing Use of Engineering Applications18 Feb, 2008
Users of engineering software worldwide reportedly increased spending by 13% in 2007, with the largest regional growth seen in the Asia Pacific Region.
Users of engineering applications worldwide increased their spending by 13%throughout 2007, and spending is expected to continue to increase in 2008, according to the latest figures released by Cambashi.
Cambashi forecasts that worldwide demand will increase about 11% in 2008 then fall back to high single-digit growth by 2010, when spending is expected to rise to $19 billion from the approximately $15 billion spent in 2007.
According to Cambashi, demand for engineering software in 2007 grew in all regions and in all engineering disciplines. Regional growth was fastest in the Asia Pacific region.
Cambashi also reports that the top four engineering applications software providers are Autodesk, Dassault Systemes, PTC, and Siemens PLM Software. Together, these companies' revenues account for 60% of user spending, up from 57% five years ago.
A significant part of these large providers' growth reportedly comes from acquisitions. Since 2005, nearly a quarter of the growth of the top four providers and more than half the growth of the top ten providers has come from acquisition activity, Cambashi states. Other factors driving growth are an improvement in pricing power (with smaller discounts available to the reseller channel) and the tendency for users to buy more sophisticated software editions.
Cambashi provides independent research and analysis of the use of IT in industry worldwide. Its specialist fields include engineering and enterprise applications and the infrastructure to enable industrial firms to use IT effectively. Cambashi publishes market-size estimates in the engineering applications market observatory.