FROST & SULLIVAN - FLOOD OF ENTERPRISE DATA STIMULATES U.S. DECISION SUPPORT SYSTEM MARKET
The era of e-business has arrived along with an overwhelming flow of data. As market participants amass gigabytes of data on their customers, finances and product sales, they will increasingly implement decision support systems (DSS) to translate this data into understandable and useful information.
Frost & Sullivan's latest strategic market report, "U.S. Decision Support System Markets," analyzes the swiftly expanding decision support system market, which generated $551.6 million in 1998. This research assesses online analytical processing (OLAP) and data mining technology markets and includes discussions of both desktop and server software segments. By evaluating key drivers and restraints and by presenting expert forecasts for each segment, this study offers readers a privileged industry view.
Several factors propel the industry forward. E-commerce generates a mushrooming amount of data that needs analysis. The growing number of computerized systems vastly augments the corporate knowledge base. Companies must quickly process unprecedented quantities of business information to capture new business opportunities and retain existing clients.
"The market is abounding with opportunities for growth," says the author of the report. "The growing prevalence of the Web as an interface to business applications provides an important opportunity for market participants."
The analyst asserts that since the Web browser interface is already familiar to workers, using this interface with DSS software can reduce the employee training period - a fact likely to attract new corporate customers. Consequently, most OLAP vendors are expected to implement Web interfaces in the future.
Yet despite the promise of Web interfaces, this technology introduces potential security hazards for DSS users.
"If sensitive corporate data is made available to users via the Web, it increases the opportunities for unauthorized access to that data," warn Frost & Sullivan analysts. "Vendors will have to improve security protocols to quell customer security concerns."
The DSS space is still in the early stages of development, but the market potential has been significantly impacted by the entrance of Microsoft. This legitimizes the market but also promises to affect pricing strategies and speed up the market cycle. Frost & Sullivan suggests evaluating alliance and merger possibilities to make the most of the competitive situation.
By monitoring the demands of customers and recommending business strategies, "U.S. Decision Support System Markets" provides a comprehensive guide to this briskly growing industry.
This research integrates the Market Engineering consulting philosophy into the entire research process. Critical phases of this research included: identification of industry challenges, market engineering measurements, strategic recommendations, planning and market monitoring. All the vital elements of this system help the market participants navigate successfully through the information technology market.
Frost & Sullivan presents Market Engineering Awards to companies that have worked hard to make a positive contribution to the data warehousing software industry.
The 1998 Market Engineering Leadership is presented to Microstrategy for its decision to remain with its strength by not producing a hybrid system, unlike most other ROLAP vendors. The 1998 Market Engineering Competitive Strategy Award goes to the SAS Institute for its data warehousing extension, specifically for data analysis into the data mining field. The 1998 Market Engineering Product Line Strategy Award is given to SeaGate Software for its combination of products that meet various customer needs.
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