Andy on Enterprise Software

The Software 500 Rankings

November 7, 2006

The Software 500 is a very useful annual listing from Software Magazine.  It is the one place where you can find a ranking in revenue terms of software companies, many of which are privately held and are can therefore be awkward to find out information about.  The list does have its flaws: it looks back at 2005 calendar revenues, and so is somewhat out of date.  It also bizarrely includes companies that are clearly not software companies but systems integrators, such as Accenture and Logica.  However, it is what it is, and is reportedly used by some CIOs as a “checklist” when evaluating software companies, so it is somewhere that even shy privately held companies want to be listed. 

In Business Intelligence we have the following picture: 

Company
Revenue
Growth
Web Site
SAS
$1,680.00
10%
www.sas.com
Business Objects
$1,077.20
16%
www.businessobjects.com
Cognos, Inc.
$877.50
28%
www.cognos.com
Information Builders, Inc. Pvt
$300.00
0%
www.informationbuilders.com
MicroStrategy, Inc.
$268.70
16%
www.microstrategy.com
MapInfo Corporation
$149.40
20%
www.mapinfo.com
Actuate Corporation
$106.40
2%
www.actuate.com
Callidus Software Inc.
$61.50
5%
www.callidussoftware.com
Insightful Corporation
$22.30
18%
www.insightful.com
Inxight Software
$21.30
42%
www.inxight.com
Kalido
$18.10
68%
www.kalido.com
Global Software Inc
$11.50
77%
www.glbsoft.com
Infoglide Software Corporation Pvt
$7.60
10%
www.infoglidesoftware.com
Bitam
$6.80
36%
www.bitam.com
SAND Technology
$5.50
n/a
www.sandtechnology.com
IRM Corporation
$4.30
16%
www.irmcorporation.com
Tableau Softare
$4.00
n/a
n/a

From a macro perspective, average growth of the BI vendors was a healthy 23% in 2005 over 2004.  Companies that did particularly well were Global Software Inc with 77% growth, Kalido with 68% growth and Insight Software with 42% growth.  Even the giants did well in terms of growth, though some of this was from acquisitions as well as organic growth.  This is a useful piece of data when looking at the generally quoted industry growth rates, which are based on analyst estimates of spend.  Here you have the actual revenue growth of all the significant companies that operate in the space, which may be a more real measure. This would suggest that the business intelllgence space had a more healthy year than was generally credited by industry analysts.

 

 

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7 comments so far

Andy, where do data warehouse appliance crowd fit into this league table, I presume you would classify them as DW rather than BI? Would be interesting to compare Kalido with these players as it could be argued they are in the same market but in quiet different niches.

I would say the significant ones are Netezza, and to a lesser extent Data Allegro and Kognitio (ex White Cross). The latter two are pretty small, but Netezza is I think of a similar size to Kalido in revenues and has been doing very well. In a sense Kognitio is the only true “software” vendor amongst these, as the others have software tied to a hardware solution for their appliances, as does Teradata (in theory it will run on non-proprietary hardware, but just not very fast)

Interesting list of “BI” vendors, but rather skewed, don’t you think? I wonder whether the selected companies are just randomly picked. Why would otherwise companies like Bitam, Inxight or even Kalido be included, when Hyperion, Teradata, SPSS, or smaller ones such as Qliktech, Arcplan, Panorama, are missing. And yeah, the list sure does have its flaws.

The list is drawn by Software Magazine but essentially relies on software companies self-nominating their information, and they are not obliged to do so. This would account for some of the gaps that you mention. Hyperion is actually in the list at #73, but their marketing people chose to have them listed under “business process management” rather than “business intelligence”, which is their perogative. SPSS are also in the list at #130. As for the others, it is up to them whether they choose to list, but they do have to provide revenues and basic details like number of employees. Perhaps some companies don’t list because they feel they have something to hide, or because they like an aura of mystery; maybe their marketing department just isn’t doing their job. Though the Software 500 may not be perfect, it is the only free listing that I know of which combines public and private companies. Do you have revenue data for the missing (private) companies? If so I’ll be happy to post it and update the table on my blog accordingly, making it a better list.

Hyperion sits under Business Process Management? Kinda funny, but I know how that happened. Said HYSL Marketing guy thinks “We are a BPM company” either not reading correctly, or maybe not aware of the fact that they are actually a Business Performance Management company. Wouldn’t be the first time where BPM not equals BPM.
Afraid I don’t have the revenues of the “missing” companies… they don’t even make my radar.

I would have to agree that self nominating information for magazines can place some ambiguity into the rankings of the best vendors. I also agree with the comment about Hyperion.

we are a 15million dollar company and looking for a 2-8mil enterprise solution company that has a good niche.

please email me as we would be interested in talking

thank you
j



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The Software 500 Rankings

The Software 500 is a very useful annual listing from Software Magazine.  It is the one place where you can find a ranking in revenue terms of software companies, many of which are privately held and are can therefore be awkward to find out information about.  The list does have its flaws: it looks back at 2005 calendar revenues, and so is somewhat out of date.  It also bizarrely includes companies that are clearly not software companies but systems integrators, such as Accenture and Logica.  However, it is what it is, and is reportedly used by some CIOs as a “checklist” when evaluating software companies, so it is somewhere that even shy privately held companies want to be listed. 

In Business Intelligence we have the following picture: 

Company
Revenue
Growth
Web Site
SAS
$1,680.00
10%
www.sas.com
Business Objects
$1,077.20
16%
www.businessobjects.com
Cognos, Inc.
$877.50
28%
www.cognos.com
Information Builders, Inc. Pvt
$300.00
0%
www.informationbuilders.com
MicroStrategy, Inc.
$268.70
16%
www.microstrategy.com
MapInfo Corporation
$149.40
20%
www.mapinfo.com
Actuate Corporation
$106.40
2%
www.actuate.com
Callidus Software Inc.
$61.50
5%
www.callidussoftware.com
Insightful Corporation
$22.30
18%
www.insightful.com
Inxight Software
$21.30
42%
www.inxight.com
Kalido
$18.10
68%
www.kalido.com
Global Software Inc
$11.50
77%
www.glbsoft.com
Infoglide Software Corporation Pvt
$7.60
10%
www.infoglidesoftware.com
Bitam
$6.80
36%
www.bitam.com
SAND Technology
$5.50
n/a
www.sandtechnology.com
IRM Corporation
$4.30
16%
www.irmcorporation.com
Tableau Softare
$4.00
n/a
n/a

From a macro perspective, average growth of the BI vendors was a healthy 23% in 2005 over 2004.  Companies that did particularly well were Global Software Inc with 77% growth, Kalido with 68% growth and Insight Software with 42% growth.  Even the giants did well in terms of growth, though some of this was from acquisitions as well as organic growth.  This is a useful piece of data when looking at the generally quoted industry growth rates, which are based on analyst estimates of spend.  Here you have the actual revenue growth of all the significant companies that operate in the space, which may be a more real measure. This would suggest that the business intelllgence space had a more healthy year than was generally credited by industry analysts.

 

 

del.icio.us:The Software 500 Rankings  digg:The Software 500 Rankings  reddit:The Software 500 Rankings  Y!:The Software 500 Rankings

7 comments so far

Andy, where do data warehouse appliance crowd fit into this league table, I presume you would classify them as DW rather than BI? Would be interesting to compare Kalido with these players as it could be argued they are in the same market but in quiet different niches.

I would say the significant ones are Netezza, and to a lesser extent Data Allegro and Kognitio (ex White Cross). The latter two are pretty small, but Netezza is I think of a similar size to Kalido in revenues and has been doing very well. In a sense Kognitio is the only true “software” vendor amongst these, as the others have software tied to a hardware solution for their appliances, as does Teradata (in theory it will run on non-proprietary hardware, but just not very fast)

Interesting list of “BI” vendors, but rather skewed, don’t you think? I wonder whether the selected companies are just randomly picked. Why would otherwise companies like Bitam, Inxight or even Kalido be included, when Hyperion, Teradata, SPSS, or smaller ones such as Qliktech, Arcplan, Panorama, are missing. And yeah, the list sure does have its flaws.

The list is drawn by Software Magazine but essentially relies on software companies self-nominating their information, and they are not obliged to do so. This would account for some of the gaps that you mention. Hyperion is actually in the list at #73, but their marketing people chose to have them listed under “business process management” rather than “business intelligence”, which is their perogative. SPSS are also in the list at #130. As for the others, it is up to them whether they choose to list, but they do have to provide revenues and basic details like number of employees. Perhaps some companies don’t list because they feel they have something to hide, or because they like an aura of mystery; maybe their marketing department just isn’t doing their job. Though the Software 500 may not be perfect, it is the only free listing that I know of which combines public and private companies. Do you have revenue data for the missing (private) companies? If so I’ll be happy to post it and update the table on my blog accordingly, making it a better list.

Hyperion sits under Business Process Management? Kinda funny, but I know how that happened. Said HYSL Marketing guy thinks “We are a BPM company” either not reading correctly, or maybe not aware of the fact that they are actually a Business Performance Management company. Wouldn’t be the first time where BPM not equals BPM.
Afraid I don’t have the revenues of the “missing” companies… they don’t even make my radar.

I would have to agree that self nominating information for magazines can place some ambiguity into the rankings of the best vendors. I also agree with the comment about Hyperion.

we are a 15million dollar company and looking for a 2-8mil enterprise solution company that has a good niche.

please email me as we would be interested in talking

thank you
j



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