Business Software Spending Outlook: Strongest Outlook in Six Years

The latest corporate software survey points to a jolt of momentum going forward, with software spending showing more strength than in any other business survey of the past six years.

The January 11-31 survey finds spending increases across nearly all software categories – led by upticks for BI, Digital Marketing, B2B and CRM.

A total of 904 respondents from 451 Research’s Leading Indicator panel who are involved with software purchasing in their company participated in the survey, which also looked at digital marketing technology trends.

Excerpt of full report:

Software Spending Outlook: Next 90 Days. A total of 18% of corporate respondents say their company will spend more on software over the next 90 days – up 5 points from the previous survey in October.  Only 11% say less – which is also 5 points improved over previously.

soft spend 2.27.17
As the above chart shows, this the first business software spending improvement in three quarters, and the 10 point upswing is tied with January 2014 as the largest quarterly increase of the past six years.

Digital Marketing Technology Vendors. Microsoft (30%) remains the leading vendor companies say they are using (or plan to use) for digital marketing technology – up 7 points from January 2016. Salesforce (27%; down 2 points) comes in second, closely followed by Adobe (26%; up 7 points).

dig mkt 2.27.17
Report details also include:
• Overall Software Spending
• Capital Budget Trends
• Reasons Behind Spending
• Individual Software Categories, including CRM, BI, B2B, Digital Marketing Technology, Database, and Security, among others
• Digital Marketing Technology

Learn more about Voice of the Connected User Landscape here.
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When things attack: Mirai and the Dyn DDoS attack reveal a disturbing future

The October 21 attacks that knocked some of the internet's most-recognized brands offline in the largest recorded distributed denial of service to date reveal how little the world has taken seriously the threat of poorly secured consumer IoT. Will we be ready for what may come next?

The 451 Take

These attacks have only just begun to illustrate the level of exposure the world faces from what so far appears to be largely SMB products made for the Internet of Things. Indeed, this narrow focus says much about the potential scale of risk beyond the cameras and DVRs largely targeted in this case. While virtually everyone weighing in on the discussion agrees that something must be done to head off an even worse scenario, what remedies make the most sense? There are needs at virtually every level of IoT architecture, from the software and functionality built into devices to the networks and platforms that interconnect IoT's many moving parts. The recent attacks illustrate how easily poorly secured IoT can be made a platform for attacking the fundamental underpinnings of the internet that keep the entire digital world functioning. So far, most of the discussion around IoT security has revolved around protecting IoT itself, with considerable investment already having gone into securing industrial IoT, particularly in sectors where safety is a primary concern. The threat that vulnerable IoT poses in and to the larger world has been seriously underserved. The range of solutions proposed – from adopting the analog of building codes for software and hardware to sweeping regulation, and the inevitable arm wrestling each presents – makes it clear that resolving these vulnerabilities will not be easy. What concerns us most is that, as so often happens with security, it will take an incident of serious proportions to bring any real progress to a head. It would be wise for the industry to do what it can to address this before governments take a stab at it.

Read the full analysis by 451 Research analysts here.
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According to New 451 Research Survey, 40% of Enterprises Are Using Hyperconverged Infrastructure

Adoption of converged infrastructure is changing IT environments and the personnel who manage it

Hyperconverged infrastructure represents the next evolutionary step of standard converged infrastructure. According to 451 Research's latest quarterly Voice of the Enterprise survey of IT buyers, hyperconverged infrastructure is currently in use at 40% of organizations, and 451 Research analysts expect that number to rise substantially over the next two years.

Nearly one quarter of respondents to the survey indicated that they have hyperconverged infrastructure either in a pilot phase, or in plans for future adoption. Hyperconverged infrastructure is evolving from supportive, edge infrastructure into a primary component of today's IT organizations. The latest quarterly survey indicates that 74.4% of organizations currently using hyperconverged are using the solutions in their core or central datacenters, signaling this transition.
Continue reading
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Around Christian Renaud in 10 Questions

On August 2nd, the IIAR asked some probing questions of Christian Renaud from 451 Research. Iowa based Christian (LinkedIn@xianrenaudis Research Director for IoT (Internet of Things). Check out the first half of the interview by Maria Ashton below!

  1. What are your coverage areas?
    Internet of Things
  2. What are your opinions of the IT Analysis Marketplace and where do you see it going?
    I think the market is speciating between smaller boutique shops and larger numbers shops with specialists in the middle, like 451
  3. What’s your typical day like?
    About 1/3 quiet contemplation, 1/3 briefings and meetings, and 1/3 complete chaos
  4. Now, c’mon, tell me an AR horror story?
    When an AR person takes it upon themselves to help rewrite a research report to make it into a marketing document for the firm. I know you said ‘story’ singular, but this is a recurring nightmare.
  5. How do you position your firm? What is your business model?
    We cover the business of technology innovation, in enterprises, consumer and carriers/operators. As you would expect, the primary customers for that analysis are enterprise adopters, carriers, vendors, and the financial community who invests in the innovation pipeline.
You can read the second half of this interview here. 
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Business Disruption brings Business Opportunity for Service Providers- Find out more at #451HCTS!

Brett Azuma, SVP of Research, will serve as the conference chair for the 2016 Hosting + Cloud Transformation Summit. Recently, Brett took some time to examine both the strategic and technical aspects of transformation, which will be central to this year’s theme of Business Disruption in the Age of Cloud. Below, we’ve paraphrased some of his discussion points and the potential this holds for the service provider community. For more, watch the webinar in full, and register today to be a part of HCTS.  

Disruption has been growing in frequency over the past few years to the point where organizations can be divided into two buckets: those being disrupted and those about to be disrupted. Several factors have led to this change including, but not limited to, lower barriers of entry, improved flow of information, divergent competitive business models and accelerating customer-adoption rates.

Which new technologies have accelerated disruption?

·         Cloud has increased the ability to move and evolve more quickly. The question for enterprises is no longer why should I put it in cloud, but why shouldn’t I?

·         DevOps has added agility, speed and flexibility to the deployment scheme, allowing for changes to be made more quickly.

·         Internet of Things (IoT) is far more visible than some of what we’ve seen with cloud; however, it wouldn’t be possible without cloud. IoT allows us to gather more information and could also be referred to as the “intelligence of things.”

Amid this disruption is a huge opportunity and obligation for service providers. Enterprises are starving for guidance on how to go through this transformation and need service providers to provide it. It becomes their responsibility to help enterprises move forward in order to usher in this new age.

To hear more about the impact of transformation in this new business environment, watch Brett’s webinar in full, and register today to be a part of HCTS. 
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