The Asia-Pacific (excluding Japan) system management software market will grow at a compound annual growth rate of 24.6 per cent to reach $US659 million in 2006, three times its present size, according to research released by IDC.
In 2001, the market suffered a 5 per cent decline as tighter IT budgets saw funds directed to storage and security, according to IDC. Growth will return as developing IT markets build up their infrastructure and increasingly see the need for system management, IDC said.
The main drivers for growth are higher spending on IT systems in the Greater China region, and the challenge of managing increasingly mature, heterogeneous IT environments.
According to IDC, market trends include:
* Management tools are becoming Web-enabled to take advantage of the platform-independent access and communication capabilities resulting from Web technology.
* Increased penetration of Windows 2000 as an enterprise platform will occur, which will have a noticeable impact on the system management software market in the Asia-Pacific.
* There will be stronger demand for tools that will help IT departments to prioritise work tasks and assist in the allocation of labour resources.
The Australia and New Zealand market is currently the largest for system management software, the $75.5 million in revenue there accounting for 31 per cent of the total regional spending. Greater China (China, Hong Kong, Taiwan) represents 28 per cent of the market but sales are growing quickly and will account for 43 per cent of user spending by 2006, IDC said.
Computer Associates is the leading vendor ahead of IBM, but both saw revenue decline by over 20 per cent between 2000 and 2001. BMC Software maintained third place ahead of a group of smaller vendors that collectively increased their market share at the expense of the leading vendors, and that accounted for 29 per cent of spending in the market in 2001.