BI & Analytics Market to Reach $18B
revenue in the business intelligence (BI) and analytics software market
is forecast to reach $18.3 billion in 2017, an increase of 7.3 percent
from 2016. By the end of 2020, the market is forecast to grow to $22.8
1.Modern BI at scale will dominate new buying — While business users initially flocked to new modern tools because they could be used without IT assistance, the increased need for governance will serve as the catalyst for renewed IT engagement. Modern BI tools that support greater accessibility, agility and analytical insight at the enterprise level will dominate new purchases.
2.New innovative and established vendors will drive the next wave of market disruption — The emergence of smart data discovery capabilities, machine learning and automation of the entire analytics workflow will drive a new flurry of buying because of its potential value to reduce time to insights from advanced analytics and deliver them to a broader set of people across the enterprise. While this "smart" wave is being driven by new innovative startups, traditional BI vendors that were slow to adjust to the current "modern" wave are driving it in some cases.
3.Need for complex datasets drives investments in data preparation — Business users want to analyze a diverse, often large and more complex combinations of data sources and data models, faster than ever before. The ability to rapidly prepare, clean, enrich and find trusted datasets in a more automated way becomes an important enabler of expanded use.
4.Extensibility and embeddability will be key drivers of expanded use and value — Both internal users and customers will either use more automated tools or will embed analytics in the applications they use in their context, or a combination of both. The ability to embed and extend analytics content will be a key enabler of more pervasive adoption and value from analytics.
5.Support for real-time events and streaming data will expand use — Organizations will increasingly leverage streaming data generated by devices, sensors and people to make faster decisions. Vendors need to invest in similar capabilities to offer buyers a single platform that combines real-time events and streaming data with other types of source data.
6.Interest in cloud deployments will continue to grow — Cloud deployments of BI and analytics platforms have the potential to reduce cost of ownership and speed time to deployment. However, data gravity that still tilts to the majority of enterprise data residing on-premises continues to be a major inhibitor to adoption. That reticence is abating and Gartner expects the majority of new licensing buying likely to be for cloud deployments by 2020.
7.Marketplaces will create new
opportunities for organizations to buy and sell analytic capabilities
and speed time to insight — The availability of an active marketplace
where buyers and sellers converge to exchange analytic applications,
aggregated data sources, custom visualizations and algorithms is likely
to generate increased interest in the BI and analytics space and fuel
its future growth.