This will be the first report from 451 Research’s Market Monitor: Datacenter Technologies service, a market sizing and forecast product focused on the marketplace for datacenter equipment and software. The report is focused solely on the DCIM software space, and provides a bottom-up market-sizing analysis that incorporates revenue estimates and forecasts for each of the nearly 40 competing vendors that we have identified. The report also examines two market subsectors and their respective demand drivers, as well as providing estimated revenue ranges for each vendor's DCIM sales in 2010. Finally, the report discusses growth accelerators, growth inhibitors and other trends in this market.
Key findings from the report include:
• DCIM has been widely identified as a rapidly emerging software sector. It involves software for managing the overall assets, resources and status of the datacenter, enabling the datacenter to be managed more proactively and efficiently.
• The DCIM sector has attracted significant attention and VC funding. This is the first comprehensive market-sizing report from any organization.
• The DCIM software market generated $245 million in revenue in 2010, and will grow at a 39 percent CAGR to reach $1.3bn in aggregate revenue in 2015. (451 Research believes strong growth will continue after this, but we have not currently sized the opportunity after 2015).
• The combined effect of the strategic and technological changes sweeping through the datacenter industry will lead to greater demand, greater use and greater revenue for DCIM vendors.
• 451 Research has identified nearly 40 suppliers in this sector. The majority of these suppliers currently have DCIM product revenues below $10 million.
• 451 Research expects to see consolidation of second- and third-tier vendors as they struggle for scale and traction, or seek to assemble more comprehensive suites and plug holes in their product lines.
• DCIM suite sales will grow at a faster rate than sales of point products. However, there is a large opportunity for both suite and niche offerings.
• 451 Research expects to see more companies enter the market as the opportunities grow and crystallize. Some of these will be major vendors, and, as such, M&A activity in this space is expected to increase and eventually accelerate to the point where a group of leaders will emerge, offering a full suite of DCIM products.