Vendor Feels the Heat in Hot Product Lifecycle Management Market
Michael Bittner - March 9, 2006

Background

Market dynamics, such as globalization, outsourcing, and emerging web collaboration technologies and practices, are driving prospects and investors alike to take a closer look at the product lifecycle management (PLM) market and vendor landscape. The PLM market is currently held in high esteem by the analyst community, with projections of double digit growth over the foreseeable future. ARC Group recently predicted that the worldwide market for PLM software and services is expected to grow at a compounded annual growth rate of 11.5 percent over the next five years. AMR Research is somewhat more bullish, estimating the growth rate for the PLM market in the 14 percent range, while IDC is predicting strong growth in the 15 percent range. Growth in the PLM market is coming from various sectors, including the aerospace and defense, automotive, consumer products, electronics, and even the apparel and retail segments, which have not been traditional sectors for PLM growth. Likewise, strong economic and geographic influences are stimulating the PLM market, with significant growth opportunities cited for Brazil, Japan, China, India, and, to a lesser degree, Latin America...