Oracle leads project and portfolio management software market with 23% share in 2012

Infotech Lead India: Oracle is leading the project and portfolio management (PPM) software market with 23 percent share in 2012.

Microsoft has 15 percent market share in the project and portfolio management (PPM) software market last year.

CA Technologies is in third place with 10 percent market share in the project and portfolio management (PPM) software market, according to Gartner.

HP is in the fifth position, one level below Planview’s 6 percent share, with 4 percent market share.

See the table for market share and revenue of IT companies

Gartner says the global project and portfolio management (PPM) software revenue touched $1.65 billion in 2012, up 11 percent from $1.48 billion in 2011.

Laurie Wurster, research director at Gartner, said: “uncertain IT needs perpetuated by a stagnant economy are driving changes in IT solutions and delivery models.”

Last year, IT companies expanded product portfolios, bought companies, and expand their reach into emerging markets.

Through 2011, PPM product development was generally focused more on integration. In 2012, it showed signs of resiliency and innovation as some vendors transformed themselves to support changing user requirements and expanded their reach into additional PPM domains (such as PPM for professional services), or into domains outside PPM (such as greater reach with SaaS offerings and into technologies such as application life cycle management [ALM]).

The top five PPM vendors accounted for nearly 50 percent of PPM software revenue in 2012, and there was no change in their ranking.

 

Table 1

PPM Software Spending by Vendor, Total Software Revenue Worldwide, 2012 (Millions of Dollars)

 

Company2012

Revenue

2012 Market

Share (%)

2011 Revenue2011-2012

Growth (%)

Oracle381.223.0345.610.0
Microsoft252.315.0229.610.0
CA Technologies157.510.0147.77.0
Planview90.46.084.97.0
HP73.44.064.414.0
Others696.242.0613.713.4
Total1,651.0100.01,485.911.0

Source: Gartner (May 2013)

 

The market for PPM software at the regional level remains, as in previous years, with North America and Western Europe the prime consumers. Nearly 90 percent of this revenue is concentrated in developed markets, suggesting that, on the IT adoption curve, PPM is a relatively late technology to adopt and is targeted by relatively mature companies.

Many organizations, in both emerging and mature regions, still lack the appropriate tools and/or the skills to manage and optimize project resources.

There are more first-time buyers of PPM software in emerging regions than there are in more mature economies. In mature economies, users are either updating or changing software.

Because the economy remained weak, especially in Western Europe, organizations operating with tighter budgets required better capabilities for using resources. In general, for the same reasons, economic recovery (if, when and where this occurs) will continue to drive new spending in this software market.

 

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