China's Enterprise Application
Software Revenues Slow, While SaaS Unlocks SME Demand January 10, 2008
By the end of 2007, CCID
Consulting projects enterprise application software revenues to reach 8.5
billion Yuan, with growth slowing. Chinese enterprises were more planned and
methodical in their approach to enterprise applications. New and growing
small and medium enterprise (SME) demand was enabled through the SaaS model.
Products are more standardized and configurable (along with increased
knowledge by the customer) for more widespread adoption.
Source: CCID Consulting, November 2007
China trends to watch out
for include:
Chinese enterprises will
demand more of "total solutions", rather than just point applications, or
focus on just the product (versus services). Vendors will respond by
configuring their products, services, and partners to deliver such total
(and customized) solutions.
More specifically,
enterprises will begin to see more the value IT services as an enabler to
realize fully their IT investments. There will be more specialized IT
services vendors as a result.
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Unless otherwise specified,
all information provided is sourced from CCID Consulting.