The Business Intelligence Blog

From VuNet -

Analyst firm Gartner predicts a slow growth in the business intelligence (BI) market during 2008 because of its increasing maturity.

Gartner expects the BI market growth rate to be at 12.5 per cent this year, and to move beyond $7bn by 2011.

Nigel Rayner, Gartner research vice president, said that as markets mature, growth rates tend to decrease and this leads to consolidation. “Increasing consolidation in a market reflects its maturity,” he added.

The BI market maturity is reflected by lack of differentiation between BI solutions, Rayner said, because of this it has become harder for vendors to deliver a competitive edge in capabilities such query, reporting and online analytical processing.

“This is a popular space that has been commoditised, and most organisations have technology that is mature and a proliferation of BI tools,” Rayner said, adding that the outcome of this is buyers are putting pressure on vendors to lower prices, and in many cases organisations have multiple platforms they need to rationalise.