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The state of application development in enterprises and SMBs: business data services North America and Europe.


Forrester Forrester is a surname. It may refer to
  • Alistair Forrester, Scottish darts player
  • Cay Forrester
  • Doctor Clayton Forrester:
  • Doctor Clayton Forrester (War of the Worlds)
 surveyed 1,078 technology decision-makers at North American North American

named after North America.


North American blastomycosis
see North American blastomycosis.

North American cattle tick
see boophilusannulatus.
 and European European

emanating from or pertaining to Europe.


European bat lyssavirus
see lyssavirus.

European beech tree
fagussylvaticus.

European blastomycosis
see cryptococcosis.
 enterprises and 1,126 technology decisionmakers at North American small and medium-size Adj. 1. medium-size - intermediate in size
medium-sized, moderate-size, moderate-sized

sized - having a specified size
 businesses (SMBs) to understand the state of application development. What did we learn? New software projects will constitute a larger portion of enterprise and SMB (1) (Small to Medium-sized Business) Also called "SME" (small to medium-sized enterprise), it refers to companies that are larger than the small office/home office (SOHO), but not huge.  software budgets than in recent years--33%, up from 25% in 2006--and new software development projects will make up between one-fifth and one-third of the overall software budget. But platform and infrastructure software purchase intentions increased only slightly from last year, and plans to make first-time purchases remain low.

When it comes to platform and language adoption, Java/J2EE and .NET remain dominant, although adoption varies significantly by region and company size. And .NET shops also continue to demonstrate far more language and platform homogeneity Homogeneity

The degree to which items are similar.
 than their Java and J2EE (Java 2 Platform, Enterprise Edition) A platform from Sun for building distributed enterprise applications. J2EE services are performed in the middle tier between the user's machine and the enterprise's databases and legacy information systems.  counterparts.

TARGET AUDIENCE

Market research professional, application development and program management professional

SOFTWARE SPENDING TRENDS

In our recent software and services studies, Forrester queried technology decision-makers at North American and European SMBs and enterprises about their application development spending plans.

Forrester' s Business Technographics[R] September September: see month.  2006 North American And European Enterprise Software Survey and Business Technographics September 2006 North American And European SMB Software Survey show that:

* Enterprises are finally driving down spending on ongoing operations. IT organizations of all sizes constantly struggle to make room in their budgets for new initiatives. Enterprises will finally make progress on this front, increasing the proportion of their software budget going toward new initiatives and projects from 25% in 2006 to 33% in 2007. How have they done this? Through automation of manual and ad hoe hoe, usually a flat blade, variously shaped, set in a long wooden handle and used primarily for weeding and for loosening the soil. It was the first distinctly agricultural implement. The earliest hoes were forked sticks.  processes, adoption of productivity-enhancing tools and techniques, and consolidation of technologies like application servers and databases. Some of these additional funds for new software initiatives will go to new software development, with proportional proportional

values expressed as a proportion of the total number of values in a series.


proportional dwarf
the patient is a miniature without disproportionate reductions or enlargements of body parts.
 spending increasing with company size from a low of 21% for firms with fewer than 500 employees to a high of 28% for companies with more than 20,000 employees.

* SMBs show a marked preference for buy over build. While some enterprise IT organizations have a preference for buying packaged applications instead of building custom applications, enterprise requirements are so complex that few companies are able to avoid custom development altogether. In contrast, most SMBs look high and low for prepackaged pre·pack·age  
tr.v. pre·pack·aged, pre·pack·ag·ing, pre·pack·ag·es
To wrap or package (a product) before marketing.

Adj. 1.
 offerings and develop custom solutions only when commercial solutions fail to meet their needs. The result is that less than half of all SMBs have any custom-developed applications. And many of these custom-developed apps would barely qualify as such in an enterprise IT organization: Small businesses often rely heavily on Microsoft Access A database program for Windows, available separately or included in the Microsoft Office suite. Access is programmable using Visual Basic for Applications (VBA). Access can read Paradox, dBASE and Btrieve files, and using ODBC, Microsoft SQL Server, SYBASE SQL Server and Oracle data.  databases or even Excel A full-featured spreadsheet for Windows and the Macintosh from Microsoft. It can link many spreadsheets for consolidation and provides a wide variety of business graphics and charts for creating presentation materials.  spreadsheets The following is a list of spreadsheets. Freeware/open source software
Online spreadsheets

Main article: List of online spreadsheets
  • EditGrid [1]
  • Simple Spreadsheet [2]
  • wikiCalc
 that have been customized using Visual Basic. When it comes to major apps like sales force automation Automating the sales activities within an organization. A comprehensive SFA package provides such functions as contact management, note and information sharing, quick proposal and presentation generation, product configurators, calendars and to-do lists.  solutions or eCommerce See e-commerce.  platforms, the vast majority of SMBs would rather buy than build--just 20% indicated a preference for custom development.

* The mix of companies outsourcing (1) Contracting with outside consultants, software houses or service bureaus to perform systems analysis, programming and datacenter operations. Contrast with insourcing. See netsourcing, ASP, SSP and facilities management.  app dev will change over the next year. Enterprises in the finance and insurance industry and the media, entertainment, and leisure sector are most likely tooutsource ongoing application development, with 40% and 38% doing so today, respectively. But there isn't is·n't  

Contraction of is not.


isn't is not
isn't be
 much room left for growth in either of these two leading verticals: Just 4% of finance and insurance firms and 3% of media, entertainment, and leisure companies are planning to start outsourcing app dev during the next 12 months. In contrast, the public sector is the least likely to outsource app dev, but it's it's  

1. Contraction of it is.

2. Contraction of it has. See Usage Note at its.


it's it is or it has
it's be ~have
 also the most likely to start doing so soon: 22% of p ublic sector enterprises outsource app dev at present, and 9% plan to do so during the next 12 months. What does this mean? App dev service providers will need to bone up on expertise in new verticals as the composition of their client and prospect bases shifts.

* Enterprises still aren't aren't  

Contraction of are not. See Usage Note at ain't.


aren't are not
aren't be
 making first-time platform software purchases. Across all categories of platform software, first-time purchase intentions remain low Just 3% of enterprises plan to buy platform software related to application development, such as application servers and databases.

This underscores a major ongoing problem for platform and infrastructure software vendors: lack of interest from new accounts. Enterprises are tired of vendors' stale stale

horseman's term for the act of urination by a horse.
 marketing messages, and those firms that didn't did·n't  

Contraction of did not.


didn't did not
didn't do
 bite several years ago aren't much more likely to do so today. To sustain growth, platform and infrastructure software vendors will need to either change their tactics or else shift their focus away from enterprises toward SMBs, where first-time purchase intentions are slightly higher, and toward emerging markets like Asia Pacific and Eastern Europe Eastern Europe

The countries of eastern Europe, especially those that were allied with the USSR in the Warsaw Pact, which was established in 1955 and dissolved in 1991.
.

* Intent to purchase supporting development and design tools is increasing. Open source alternatives like Eclipse are making it harder to charge a premium for application design and development tools, but demand for these tools is rising The proportion of enterprises making purchases in this space will rise from 41% in 2006 to 50% in 2007. This presents tool vendors with a clear dilemma: When a space is simultaneously growing and being commoditized by open source, should they maintain, increase, or decrease their investment? For many, the answer is the classic open source strategy of offering value-add products and services to enhance open source alternatives. Another strategy for staying afloat in a growing space with shrinking margins?

Increased use of lower-cost sales channels.

* Few enterprises knowingly use an enterprise service bus (ESB (Enterprise Services Bus) A message broker that supports Web services. See message broker, messaging middleware and Web services. ). ESB technology is closely correlated cor·re·late  
v. cor·re·lat·ed, cor·re·lat·ing, cor·re·lates

v.tr.
1. To put or bring into causal, complementary, parallel, or reciprocal relation.

2.
 with service-oriented architecture See SOA.  SOA (1) (Start Of Authority) The first record in a DNS zone file. See DNS records.

(2) (Service Oriented Architecture) The modularization of business functions for greater flexibility and reusability.
 adoption, but it hasn't has·n't  

Contraction of has not.


hasn't has not
hasn't have
 been able to hang on tight enough to SOA's coattails coat·tail  
n.
1. The loose back part of a coat that hangs below the waist.

2. coattails The skirts of a formal or dress coat.

Idiom:
on the coattails of
1.
 to penetrate more than 14% of North American and European enterprises--a pittance pit·tance  
n.
1. A meager monetary allowance, wage, or remuneration.

2. A very small amount: not a pittance of remorse.
 compared with 39% adoption for SOA. But enterprise adoption of ESB technology may actually be higher than even enterprises are aware of, as application vendors like Oracle bundle ESBs with their apps more often than not. The $64,000 question may not be when enterprises will adopt ESBs but rather when they'll they'll  

Contraction of they will.

they'll will
 start to intentionally in·ten·tion·al  
adj.
1. Done deliberately; intended: an intentional slight. See Synonyms at voluntary.

2. Having to do with intention.
 leverage the ESBs that have already snuck snuck  
v. Usage Problem
A past tense and a past participle of sneak. See Usage Note at sneak.
 into their shops.

TECHNOLOGY ADOPTION TRENDS

Forrester also asked technology decision-makers at North American and European SMBs and enterprises about their adoption of platforms and languages for custom development. Our findings:

* .NET and J2EE remain the dominant platforms. Microsoft .NET See .NET.  and J2EE remain the most widely used platforms, and overlap o·ver·lap
n.
1. A part or portion of a structure that extends or projects over another.

2. The suturing of one layer of tissue above or under another layer to provide additional strength, often used in dental surgery.

v.
 between the two is considerable: 28% of enterprises and 21% of SMBs use both platforms. But J2EE and .NET still aren't the only games in town; in fact, 52% of enterprises and 49% of SMBs use neither platform. What else is out there? Mainframe platforms (e.g., zSeries A family of IBM mainframes introduced in 2000. It uses the z/Architecture, a major upgrade to the ESA/390 architecture. The zSeries is a departure in naming for IBM, which had used the System/360, 370 and 390 designations for decades. ) and midrange midrange Epidemiology The halfway point or midpoint in a set of observations; for most data, MR is calculated as the sum of the smallest observation and the largest observation, divided by 2; for age data, one is added to the numerator; a midrange is usually  platforms (e.g., iSeries A family of midrange servers from IBM that are based on IBM's POWER CPUs and run under the i5/OS, OS/400 and AIX operating systems. Windows and Linux can also be run in an attached x86-based server (see IXS). ) remain common in industries like financial services The examples and perspective in this article or section may not represent a worldwide view of the subject.
Please [ improve this article] or discuss the issue on the talk page.
 and retail, where they have historic footholds. Respondents In the context of marketing research, a representative sample drawn from a larger population of people from whom information is collected and used to develop or confirm marketing strategy.  also frequently cited other platforms like Oracle and SAP, although these platforms support customization of packaged application rather than pure custom application development.

* Reported Ajax and Adobe adobe (ədō`bē): see rammed earth.
adobe

Handmade sun-dried bricks formed from a mixture of heavy clay and straw found in arid regions.
 adoption remains low. Official adoption rates are still low for emergent emergent /emer·gent/ (e-mer´jent)
1. coming out from a cavity or other part.

2. pertaining to an emergency.


emergent

1. coming out from a cavity or other part.

2. coming on suddenly.
 rich Internet application See RIA and rich client.  (RIA (Rich Internet Application) A Web-based application that approaches the speed and elegance of a local application. An RIA may refer to a browser-based application that uses AJAX or another enhanced coding technique. ) platforms like Ajax and Adobe Flash and Flex A development system for Flash-based applications from Adobe. Introduced in 2004 as a J2EE application, Flex compiles ActionScript code and XML-based user interface descriptions (MXML) into binary Flash files (SWF files). . SMBs are significantly more likely to use these technologies, with 10% of respondents indicating use of Adobe Flash or Flex and another 5% using Ajax. Why? Because both are very high-productivity platforms--perfect for SMBs that are looking to get the most bang for their buck Buck

after murder of his master, leads wolf pack. [Am. Lit.: The Call of the Wild]

See : Dogs


Buck

clever and temerarious dog perseveres in the Klondike. [Am. Lit.: Call of the Wild]

See : Resourcefulness
. In contrast, only 1% of enterprises reported use of Adobe or Ajax. However, because Ajax components can be incorporated so easily into existing applications, we suspect that many decision- makers are in fact unaware that that the folks in the trenches are using it. Adobe RIA technologies, in contrast, are more disruptive disruptive /dis·rup·tive/ (-tiv)
1. bursting apart; rending.

2. causing confusion or disorder.
, and adoption is thus less likely to be underreported.

* When it comes to language adoption, size does matter. More enterprises use Java than any other single programming language. While neither C# nor Visual Basic .NET '

Visual Basic .NET (VB.NET) is an object-oriented computer language that can be viewed as an evolution of Microsoft's Visual Basic (VB) implemented on the Microsoft .NET framework.
 is more common in its own right, in combination, these two .NET languages are more common than Java. Usage of Java increases with company size: large enterprises use Java 28% of the time, very large enterprises use it 38% of the time, and global enterprises use it 43% of the time. This is due in part to Java's strength on the server side, which facilitates integration. After all, the larger the company, the greater the integration requirements. In contrast, Microsoft's Visual Basic .NET and Visual Basic 6.0 and earlier have a strong following among SMBs. Along these same lines, SMBs favor server scripting languages A high-level programming, or command, language that is interpreted (translated on the fly) rather than compiled ahead of time. A scripting, or script, language may be a general-purpose programming language or it may be limited to specific functions used to augment the running of an  like Perl Perl
 in full Practical Extraction and Reporting Language.

High-level computer programming language, the most popular language for writing CGI scripts and the premier scripting (or interpreted) language of the World Wide Web.
, PHP (PHP Hypertext Preprocessor) A scripting language used to create dynamic Web pages. With syntax from C, Java and Perl, PHP code is embedded within HTML pages for server side execution. , and proprietary 4GL tools more heavily than enterprises do. This fits with the SMBs' preference for higher-productivity languages.

* Microsoft (Microsoft Corporation, Redmond, WA, www.microsoft.com) The most successful and influential software company. Microsoft's software and Intel's hardware pioneered the PC and revolutionized the computer industry.  shops stay close to home, while Java shops play the field. Microsoft shops are more likely than Java shops to "toe the Microsoft line." Forty-seven percent of enterprises using the .NET platform use no other platform, and 34% of shops that use .NET languages like C# and Visual Basic .NET use only those languages. In contrast, just 24% of shops on the Java platform Running Java programs under the Java Virtual Machine (JVM). Java "platform" refers to the running of Java programs versus Java itself, which is a programming language. Java programs are machine independent and run intact on any hardware platform that has a Java interpreter (JVM).  use only that platform, making them half as likely as .NET platform uses to be single-platform shops. And just 23% of enterprises that use the Java language use no other language. Enterprises that write applications in Java are especially inclined to also use server scripting languages like Perl, PHP, Python Python, in Greek mythology
Python, in Greek mythology, a huge serpent. In some myths the infant Apollo slew Python at the oracle of Gaea in Delphi; in others Apollo killed the serpent in order to claim the oracle for himself.
, and Ruby ruby, precious stone, the transparent red variety of corundum, found chiefly in Myanmar, Thailand, and Sri Lanka and classified among the most valuable of gems. The Myanmarese stones are blood red, the most valued tint being the "pigeon's blood. . Again, Java's strength in the area of integration increases the chance that it will be used in conjunction with other programming languages.

SUPPLEMENTAL MATERIAL

Methodology

The data used in this report was extracted from Forrester's Business Technographics September 2006 North American And European Enterprise Software Survey and the Business Technographics September 2006 North American And European SMB Software Survey. The purpose of these studies was to analyze trends in software technology adoption in North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere.  and Europe Europe (yr`əp), 6th largest continent, c.4,000,000 sq mi (10,360,000 sq km) including adjacent islands (1992 est. pop. 512,000,000). . The surveys look at software budgets, application software, infrastructure and platform software, application development, and professional software services. Further attention is paid to SOA, open source software, and software-as-a-service (SaaS).

In the enterprise study, Forrester surveyed 1,078 software decision-makers at North American and European enterprises. Of these, 737 were from North American enterprises and 341 were from European enterprises. The sample was composed of 23% senior-most IT decision-makers, 30% executives reporting directly to the senior-most IT decision-maker, and 48% managers in IT reporting directly to an executive. Forty-eight percent of respondents were from companies with 1,000 to 4,999 employees (large enterprises), 27% were from companies with 5,000 to 19,999 employees (very large enterprises), and the remaining 25% were from companies with 20,000 or more employees (Global 2000 enterprises). We screened all respondents for significant involvement in the purchasing process Purchasing Purchasing is the formal process of buying goods and services.

The Purchasing Process can vary from one organization to another but there are some key elements that are common throughout

The process usually starts with a 'Demand' or requirements
 of software technologies. Evalueserve Evalueserve(EVS) is an ISO 27001 compliant Knowledge Process Outsourcing (KPO) firm providing custom offshore research and analytics services. The company was started by Alok Aggarwal (ex-Director at IBM) and Marc Vollenweider (ex-Partner at McKinsey) in Dec, 2000.  fielded the telephone-based survey between March and May 2006 and motivated mo·ti·vate  
tr.v. mo·ti·vat·ed, mo·ti·vat·ing, mo·ti·vates
To provide with an incentive; move to action; impel.



mo
 the respondents by offering them a summary of the results.

In the SMB study, Forrester surveyed 1,126 software decision-makers at North American and European enterprises. Of these, 812 were from North American SMBs and 312 were from European SMBs. The sample was composed of 55% senior- most IT decision-makers, 14% executives reporting directly to the senior-most IT decision-maker, 28% managers in IT reporting directly to an executive, and 3% executives outside of IT (e.g., CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , CFO See Chief Financial Officer. , COO (Cell Of Origin) See mobile positioning. ). Thirty-six percent of respondents were from companies with 6 to 99 employees (small businesses), 38% were from companies with 100 to 499 employees (medium businesses), and the remaining 26% were from companies with between 500 and 1,000 employees (medium-large businesses). We screened all respondents for significant involvement in the purchasing process of software technologies. Forty-five percent of respondents were also significantly involved with software services decisionmaking. Evalueserve fielded the telephone-based survey between March and May 2006 and motivated the respondents by offering them a summary of the results. In addition to sampling error, one should bear in mind that the practical difficulties in conducting surveys can introduce error or bias into the finding of opinion polls. Other possible sources of error in polls are probably more serious than theoretical calculations of sampling error. These other potential sources of error include question wording, question ordering, and nonresponse. As with all survey research, it is impossible to quantify Quantify - A performance analysis tool from Pure Software.  the errors that may result from these factors without an experimental control group, so we strongly caution against using the words "margin of error" in reporting any survey data.

These statements conform to Verb 1. conform to - satisfy a condition or restriction; "Does this paper meet the requirements for the degree?"
fit, meet

coordinate - be co-ordinated; "These activities coordinate well"
 the principles of disclosure of the National Council on Public Polls.

You can find more information about the data on the Survey & Data page online. From this page, you will be able to download To receive a file transmitted over a network. In any communications session, "download" means receive, and "upload" means send. The download/upload often implies a big/little scenario, in which data is being downloaded from the "big" server into the "little" user's computer.  the Survey Instrument.

Forrester Research Forrester Research is an independent technology and market research company that provides its clients with advice about technology's impact on business and consumers. Corporate facts
  • Founded: 1983 by George F.
 is an independent technology and market research company that provides pragmatic and forwardthinking advice about technology's impact on business and consumers. For more information, visit www.forrester.com.

SOFTWARE DEVELOPMENT SPENDING TRENDS

Enterprises finally shift spend away from ongoing operations and maintenance, driving it down from an average of 75% in 2006 to 67% in 2007. This frees up dollars for new software development: In 2007, a full quarter of enterprise software budgets and 22% of SMB software budgets will go to new software development. The larger the firm, the greater the emphasis new software development will receive. The average proportional spend on new software development increases from a low of 21% for companies with fewer than 500 employees to a high of 28% for enterprises with more than 20,000 employees.

Currently, half of SMBs don't use any custom applications; the majority prefer to buy major applications instead of building them from scratch. One notable exception is SMBs in the high-tech product sector, which are often in the business of selling software. In this sector, an average of 30% of software spend is on new software development, which is eight percentage points above average.
1-1 Ongoing Operations Takes Two-Thirds
Of The 2007 Software Budget

"What percentage of your software budget
will go to new initiatives and projects versus
ongoing operations and maintenance?"

                                      Enterprises    SMBs *

New initiatives and projects              22%         30%
Ongoing operations and maintenance        67%         70%

Note: Table made from pie chart.

Base: 451 executives at North American and
European enterprises

* Base: 739 executives at North American and European SMBs

1-2 New Development Gets About A
Quarter Of 2007 Software Dollars

"How will your 2007 software budget break
out across the following categories?"

                              Enterprises    SMBs *

  License maintenance fees
      and code maintenance         31%         27%
         Software licenses         30%         33%
  New software development         25%         22%
Software subscription fees         14%         18%

Note: Table made from bar graph.

Base: 366 executives at North American and
European enterprises

* Base: 711 executives at North American and European SMBs

1-3 SMBs Prefer To Invest In Packaged Applications Over
Custom-Development Applications

"Does your firm have any custom-developed applications?"

              Yes    No

All SMBs      48%    51%
6 to 99
employees     39%    59%
100 to 499
employees     50%    50%
500 to 999
employees     57%    42%

Note: Table made from bar graph.

Base: 902 platform software decision-makers
at North American and European SMBs
(percentages may not total 100 due to rounding)

"When implementing a major application,
which of the following best describes the
type of application your company prefers?"

Don't know            4%
Custom-developed
Application          20%
Pre-integrated
application suite    33%
Customizable
packaged
application
or application
modules              43%

Note: Table made from pie chart.

Base: 772 platform software decision-makers
at North American and European SMBs


SOFTWARE SOURCING TRENDS

Outsourcing of ongoing custom

application development is a common practice: 30% of enterprises do so today, and another 7% plan to start within 12 months. This holds across regions, although North American enterprises are slightly more likely to outsource ongoing application development than European enterprises are, at 32% versus 27%, respectively. The likelihood that at least some ongoing application development will be outsourced increases with the size of the enterprise, from 24% for enterprises with 1,000 to 4,999 employees to 42% for those with more than 20,000 employees. Similarly, SMBs are much less likely to outsource ongoing application development: Just 23% do so today, and only 2% plan to begin in the next 12 months.

Outsourcing of ongoing application development correlates with another technique for extracting business value from app dev dollars: Agile development See agile software development.  processes. Enterprises that outsource app dev are six percentage points more likely to use Agile ag·ile  
adj.
1. Characterized by quickness, lightness, and ease of movement; nimble.

2. Mentally quick or alert: an agile mind.
. Unfortunately, Agile is still a relatively foreign concept to most outsourcers.
2-1 Penetration Of App Dev Outsourcing Grows More Rapidly In Laggard
Industries

"Please indicate if you currently outsource ongoing custom application
development."

                                                Plan to
                                               outsource
                                  Currently   in the next     Don't
                                  outsource    12 months    outsource

            Finance & insurance      40%           4%          52%
Media. Entertainment, & leisure      38%           3%          59%
       Retail & wholesale trade      37%           7%          52%
 Utilities & telecommunications      32%           5%          56%
                  Manufacturing      29%           6%          63%
              Business services      25%          10%          61%
                  Public sector      22%           9%          66%

                                    Don't
                                    know

            Finance & insurance      3%     n = 90
Media. Entertainment, & leisure      0%     n = 39
       Retail & wholesale trade      5%     n = 60
 Utilities & telecommunications      7%     n = 41
                  Manufacturing      2%     n = 149
              Business services      5%     n = 110
                  Public sector      3%     n = 92

Note: Table made from bar graph.

Base: 581 software and services decision-makers at North American and
European enterprises (percentages may not total 100 due to rounding)

2-2 Enterprises That Outsource Ongoing App Dev Are More Likely To Use
Agile Processes

                                               Already
                                                using        Aware of
                                                Agile          Agile
                                              software       software
                                             development    development
                                             processes       processes

                        All enterprises *        17%            29%
"Please indicate          Don't outsource        16%            29%
if you currently     Plan to outsource in
outsource ongoing      the next 12 months        21%            33%
custom application     Curently outsource        23%            30%
development."                  Don't know         5%            20%

Note: Table made from ber graph.

* Base: 1,078 software decision.makers at North American and European
enterprises

Base: 581 software and services decision-makers at North American and
European enterprises

Related Research:
"Corporate IT Leads The Second
Wave Of Agile Adoption"
November 30, 2006, Trends

"Using Scrum To Help Offshore
Application Development Projects"
September 22, 2005, Trends

"Offshore Outourcing And Agile
Development"
September 20, 2004, Best Practices


PLATFORM SOFTWARE PURCHASE AND ADOPTION INTENT

Enterprise spending on platform and infrastructure software will increase slightly from 2006 to 2007. But the bulk of this growth will be in upgrades, not first-time purchases. Plans to make first-time purchases remain low across all categories of platform and infrastructure software, which speaks to the relative saturation saturation, of an organic compound
saturation, of an organic compound, condition occurring when its molecules contain no double or triple bonds and thus cannot undergo addition reactions.
 of this market.

Awareness and adoption rates for enterprise service bus (ESB) technology were surprisingly low, given its level of exposure. Today, ESBs are most likely to be found in hard-core SOA shops: 43% of enterprises with strong commitments to SOA use an ESB, compared with 20% of those using SOA selectively and 13% of those not using SOA at all.
3-1 App Server Platforms And Databases Are High On Platform Software
Shopping Lists

"In 2007, will your company make purchases in any of the following
types of platform and infrastructure software?"

Enterprises

                          First-time
                           purchase     Minor upgrade    Major upgrade

   Application servers
         and platforms        3%             47%              16%
              Database
              software        2%             47%              13%
Application design and
     development tools        3%             37%              10%
         Portal server
              software        7%             28%              10%
                   EAI
              software        6%             25%              12%

Note: Table made from bar graph.

Base: 712 platform software decision-makers at
North American and European enterprises

SMBs

                          First-time
                           purchase     Minor upgrade    Major upgrade

   Application servers
         and platforms        5%             35%              10%
              Database
              software        5%             31%              11%
Application design and
     development tools        5%             25%               6%
         Portal server
              software        5%             19%               5%
                   EAI
              software        6%             16%               6%

Note: Table made from bar graph.

Base: 902 platform software decision-makers at
North American and European SMBs

Note: We also asked about purchase intentions for security and content
management software, two categories of platform and infrastructure
software that fall outside the scope of application development.

3-2 Most Enterprises Are Unaware Of Or Uninterested In Enterprise
Service Bus Technology

"Are you familiar with ESB technology,
or do you currently use it in your organization?"

Already using    14%
Aware            28%
Not aware        56%
Don't know        2%

Note: Table made from pie chart.

Base: 1,078 software decision-makers at
North American and European enterprises

"How interested are you in adopting ESB technology?"

        Not interested    38%
   Somewhat interested    27%
   Very interested but
     no plans to adopt    21%
Will pilot or adopt in
    the next 12 months    10%
            Don't know     4%

Note: Table made from bar graph.

Base: 299 software decision-makers at North American
and European enterprises aware of but not using ESB technology


PLATFORM ADOPTION TRENDS

The .NET platform is more widely used than any other platform among enterprises and SMBs alike. J2EE, in contrast, is in use at 18% of enterprises but just 12% of SMBs. Adoption rates for .NET are even higher among North American enterprises than among European ones, at 28% versus 22%, respectively, while J2EE use is approximately the same in both regions.

J2EE adoption is less even across industries than .NET adoption is. Among enterprises, J2EE is most common in media, entertainment, and leisure, at 34%, and least common in manufacturing, at 19%. The latter is also .NET's greatest stronghold; this indicates a high degree of J2EE-.NET coexistence co·ex·ist  
intr.v. co·ex·ist·ed, co·ex·ist·ing, co·ex·ists
1. To exist together, at the same time, or in the same place.

2.
 in manufacturing.

Legacy mainframe (e.g., zSeries) and midrange (e.g., iSeries) platforms remain in relatively frequent use. Mainframe adoption rates are unsurprisingly higher among enterprises in the financial services industry, which has long counted on mainframes to keep mission-critical back-end processes up and running. And midrange platforms (e.g., iSeries) continue to be most popular among enterprises in retail and manufacturing.

Adoption rates are still low for rich Internet application (RIA) platforms like Ajax and Adobe Flash and Flex, although they are both markedly higher among SMBs than enterprises.
4-1 SMBs Show Higher Affinity For Microsoft
Platforms Than Enterprises Do

"For custom-developed applications,
which development platforms do you use?"

                       Enterprises    SMBs *

     Microsoft .NET         43%        29%
Java, Java EE, J2EE         29%        23%
    Other Microsoft
          platforms         22%        33%
   Legacy/mainframe
          platforms          8%        10%
    Legacy/midrange
          platforms          8%        15%
   Proprietary 4GLs          7%        15%
Adobe Flash or Flex          1%        10%
               Ajax          1%         5%
              Other         28%        19%

Note: Table made from bar graph.

Base: 566 platform software decision-makers at North
American and European enterprises
(multiple responses accepted)

* Base: 392 software decision-makers at
North American and European SMBs

4-2 .NET Is More Common Among North
American Than European Enterprises

"For custom-developed applications,
which development platforms do you use?"

                       North America    Europe

     Microsoft .NET         46%           34%
Java, Java EE, J2EE         30%           28%
    Other Microsoft
          platforms         22%           23%
   Legacy/mainframe
          platforms          9%            5%
    Legacy/midrange
          platforms          9%            8%
   Proprietary 4GLs          8%            4%
Adobe Flash or Flex          1%            3%
               Ajax          1%            1%
              Other         27%           29%

Note: Table made from bar graph.

Base: 566 platform software decision-makers at
North American and European enterprises
(multiple responses accepted)


LANGUAGE ADOPTION TRENDS

Java remains the single most widely used programming language among enterprises, although in combination, the .NET programming languages (Visual Basic .NET and C#) are more widespread. Enterprise adoption of C# continues to lag, remaining almost unchanged from last year at 23%. Enterprises continue to use "legacy" technologies like Microsoft Visual Basic 6.0 and COBOL COBOL: see programming language.
COBOL
 in full Common Business-Oriented Language.

High-level computer programming language, one of the first widely used languages and for many years the most popular language in the business community.
, with no significant changes in usage levels from last year. SMBs show a much stronger preference for Microsoft languages than enterprises do. But SMBs also show a strong partiality to languages that are easier to learn and to use: Visual Basic .NET and Visual Basic 6.0 come in ahead of Java among SMBs, and server scripting languages like Perl, PHP, Python, and Ruby beat out C#. Keeping with this pattern, SMBs were twice as likely as enterprises to use proprietary 4GL technologies.
5-1 Enterprises Use Java More Than Any
Other Single Programming Language

"For custom-developed applications, which languages
does your company use for development or maintenance?"

                  Java/J2EE    43%
          Microsoft VB .NET    39%
               Microsoft C#    23%
Microsoft VB 6.0 or earlier    19%
                      COBOL    18%
 Server scripting languages    11%
                  C and C++     9%
      Proprietary 4GL tools     7%
                        RPG     6%
                       BPEL     6%
                      Other    22%

Note: Table made from bar graph.

Base: 518 platform software decision-makers at North
American and European enterprises
(multiple responses accepted)

5-2 SMBs Opt More Often For Languages
That Are Easier To Learn And Use

"For custom-developed applications, which languages
does your company use for development or maintenance?"

          Microsoft VB .NET    42%
Microsoft VB 6.0 or earlier    31%
                  Java/J2EE    26%
 Server scripting languages    22%
               Microsoft C#    18%
      Proprietary 4GL tools    14%
                      COBOL     7%
                        RPG     7%
                       BPEL     6%
                  C and C++     5%
                      Other    20%

Note: Table made from bar graph.

Base: 386 platform software decision-makers at
North American and European SMBs
(multiple responses accepted)

5-3 Microsoft Thrives In North America, While Java And Scripting
Languages Fare Worse

For custom-developed applications, which languages does your company
use for development or main

                                North         Europe
                               America *    ([dagger])

          Microsoft VB .NET      42%           31%        N = 153
                                                          N = 49
Microsoft VB 6.0 or earlier      22%           14%        N = 78
                                                          N = 22
               Microsoft C#      26%           15%        N = 93
                                                          N = 24
                  Java/J2EE      42%           46%        N = 153
                                                          N = 72
 Server scripting languages       8%           19%        N = 28
                                                          N = 30

Note: Table made from bar graph.

* Base: 361 platform software decision-makers at North American
enterprises

([dagger]) Base: 157 platform software decision-makers at European
enterprises (multiple responses accepted)


PLATFORM AND LANGUAGE HETEROGENEITY het·er·o·ge·ne·i·ty
n.
The quality or state of being heterogeneous.



heterogeneity

the state of being heterogeneous.
 

Greater heterogeneity of platform and language continues to distinguish Java shops from .NET shops. Enterprises that use Java as a programming language are more likely to be multilingual mul·ti·lin·gual  
adj.
1. Of, including, or expressed in several languages: a multilingual dictionary.

2.
, especially compared with shops that program in .NET. Only 9% of all enterprises and 27% of those that use the Java language write code in only Java. In contrast, 14% of all enterprises and 37% of those that use a .NET programming language use only a .NET language.

This pattern is equally as evident among SMBs as it is among enterprises. Just 4% of all SMBs and 18% of SMBs using Java as a programming language program only in Java. But 14% of all SMBs and 32% of SMBs that use a .NET language use only a .NET programming language.

Firms of all sizes also demonstrate more loyalty to the .NET platform than to the Java/J2EE platform. Sixteen percent of all enterprises use only the .NET platform, while 6% of enterprises use just the Java/J2EE platform. Similarly, 13% of all SMBs use only the .NET platform, while less than 3% of SMBs use just the Java/J2EE platform. The difference in usage patterns is due in part to Java's relative strength on the server side, where integration requirements are higher, and .NET's relative strength on the front end.
6-1 J2EE Shops Are More Likely To Use Other Platforms, While .NET
Shops Are Platform-Loyal

For custom-developed applications, which development platforms do you
use?"

Enterprises that use the J2EE platform also use:

    Microsoft .NET    41%
       Open source
        frameworks    28%
No other platforms    24%
   Other Microsoft    13%
  Legacy/mainframe    10%
  Proprietary 4GLs    10%
             Other     7%

Note: Table made from bar graph.

Base: 165 platform software decision-makers at North American
and European enterprises that use the J2EE platform
(multiple responses accepted)

Enterprises that use the Microsoft .NET platform also:

No other platforms    47%
              J2EE    28%
   Other Microsoft    12%
       Open source
        frameworks    11%
  Legacy/mainframe     7%
  Proprietary 4GLs     6%
             Other    10%

Note: Table made from bar graph.

Base: 241 platform software decision-makers at North American
and European enterprises that use the .NET platform
(multiple responses accepted)

6-2 Shops That Speak Java Are More Multilingual Than Those That Speak
.NET Languages

"For custom-developed applications, what languages does your company
use for development or maintenance?"

Enterprises that use the Java language also use:

          Microsoft VB .NET    31%
         No other languages    23%
                      COBOL    21%
               Microsoft C#    21%
Microsoft VB 6.0 or earlier    18%
 Server scripting languages    10%
                  C and C++     3%
                      Other    20%

Note: Table made from bar graph.

Base: 22.5 platform software decision-makers at North American
and European enterprises that use Java/J2EE as a language
(multiple responses accepted)

Enterprises that use .NET languages (VB.NET and C#) also use:

                      Java    36%
        No other languages    34%
         VB 6.0 or earlier    24%
                     COBOL    16%
Server scripting languages     9%
          Proprietary 4GLs     5%
                 C and C++     2%
                     Other    15%

Note: Table made from bar graph.

Base: 255 platform software decision-makers at North American
and European enterprises that use .NET languages
(multiple responses accepted)
COPYRIGHT 2007 A.P. Publications Ltd.
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2007, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Title Annotation:DATABASE AND NETWORK INTELLIGENCE: Data Overview
Author:Stone, Jacqueline
Publication:Database and Network Journal
Date:Apr 1, 2007
Words:4653
Previous Article:Internet Security Systems report.(Security News and Products)
Next Article:Infosecurity Europe 2007.(DATABASE AND NETWORK INTELLIGENCE)
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