Software Publishing in Canada Industry Market Research Report from IBISWorld Has Been Updated
(PR Web Via Acquire Media NewsEdge) New York, NY (PRWEB) March 22, 2014
The software publishing industry held steady growth in the five years to 2014. Despite a major drop in revenue in 2009, industry revenue is expected to experience 3.1% annualized growth over this period. In 2014, IBISWorld expects revenue to grow 2.8% to $7.0 billion, as businesses and consumers step up their investments in software, computers and smartphones. When the global economic recession hit, businesses curtailed investment in software in the face of falling revenue; these cutbacks resulted in an 11.4% revenue decline for software publishers in 2009. "During this time, publishers focused their efforts on strategic acquisitions and product development, maintaining profit margins despite the increasing presence of software piracy," according to IBISWorld Industry Analyst Sarah Kahn. By 2010, growth in corporate profit encouraged businesses to increase their capital expenditures and, by 2011, disposable income recovered, encouraging individuals to reopen their wallets.
Over the past five years, large software publishers eagerly bought smaller publishers with specialties in growing software niches. For example, Oracle Corp. acquired long-standing industry operator Sun Microsystems in 2010. Microsoft Corp. was similarly aggressive, acquiring a number of companies that developed software relevant to search engines and web-based software platforms, such as Skype in 2011. "These acquisitions were necessary for firms to compete in an increasingly diverse array of software platforms," says Kahn. Despite an increase in the number of enterprises entering the mobile software space, acquisition activity will become more robust over the next five years, with continued technological development and innovation leading to new products.
Improving technologies, particularly those related to semiconductors and telecommunications, and the rise of emerging economies abroad will expand the potential markets for software publishers in the next five years. Furthermore, mobile computing devices, from cell phones to tablet computers, will continue to open up entirely new platforms for software publishers. In addition, companies will move toward cloud computing, which will allow mobile phones to be used like tablets, no longer hampered by their low storage capacity. Industry operators will also increasingly use subscription-based sales models, which will help stabilize cash flows.
For more information, visit IBISWorld's Software Publishing in Canada industry report page.
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IBISWorld industry Report Key Topics
Software publishers disseminate licenses to customers for the right to execute software on their own computers. Publishers market and distribute software products but may also design the software, produce support materials and provide support services.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
About IBISWorld Inc.
Recognized as the nation's most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US and Canadian industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.
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