RSA’s Acquisition Of NetWitness Validates Forrester’s NAV Concept

John Kindervag

Today EMC’s security division RSA announced the acquisition of NAV (Network Analysis and Visibility) vendor NetWitness. Some pundits have suggested that this is a direct result of the recent breach of RSA, but Forrester has been aware that this acquisition was in the works long before the breach was known. In fact, the public announcement of the acquisition was delayed by the breach notification. It is fortuitous timing, however, as the RSA attack shows the need for improved situational awareness.

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Forrester Projects 8% Growth In US IT Purchases In 2011, And 10% In 2012

Andrew Bartels

Forrester just published our latest forecast for the US market for business and government purchases of information technology (IT) goods and services (April 1, 2011, "US Tech Market Outlook, Q1 2011 -- Building a Springboard For Even Stronger Growth in 2012"), and we have raised our 2011 and 2012 outlooks: we now forecast 8% growth in the US in 2011 (up from our 7.4% forecast in January) and 10.3% in 2012 (compared with a 9.3% forecast earlier).  For the broader ICT market (information and communications technology, adding in telecommunications services), 2011 growth will be 6.8% compared to a 5.1% rise in 2012. 

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Trends 2011 And Beyond: Business Intelligence

Boris Evelson

Forrester continues to see ever-increasing levels of interest in and adoption of business intelligence (BI) platforms, applications, and processes. But while BI maturity in enterprises continues to grow, and BI tools have become more function-rich and robust, the promise of efficient and effective BI solutions remains challenging at best and elusive at worst. Why? Two main reasons: First, BI is all about best practices and lessons learned, which only come with years of experience; and second, earlier-generation BI approaches cannot easily keep up with ever-changing business and regulatory requirements. In the attached research document, Forrester reviews the top best practices for BI and predicts what the next-generation BI technologies will be. We summarize all of this in a single über-trend and best practice: agility. IT and business pros should adopt Agile BI processes, technologies, and architectures to improve their chances of delivering successful BI initiatives.

Business intelligence (BI) software has emerged as a hot topic in the past few years; in 2011, most companies will again focus their software investment plans on BI. More than 49% of the companies that responded to our most recent Forrsights Software Survey have concrete plans to implement or expand their use of BI software within the next 24 months. But being interested in BI software and spending money to adopt BI tools and processes do not necessarily translate into successful implementations: Forrester’s most recent BI maturity survey indicated that enterprise BI maturity levels are still below average (2.75 on a scale of 5, a modest 6% increase over 2009). Why are BI maturity levels so low, given the amount of money firms spend on it? Three factors contribute to this rift and can lead to less-than-successful BI initiatives:

  1. Implementing BI requires using best practices and building upon lessons learned.
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The Plethora Of BC Standards

Stephanie Balaouras

As a follow-up to my blog post yesterday, there’s another area that’s worth noting in the resurgence of interest in BC preparedness, and that’s standards. For a long time, we’ve had a multitude of both industry and government standards on BCM management including Australian Standards BCP Guidelines, Singapore Standard for Business Continuity / Disaster Recovery Service Providers (which became much of the foundation for ISO 24762 IT Disaster Recovery), FFIEC BCP Handbook, NIST Contingency Planning Guide, NFPA 1600, BS 25999 (which will become much of the foundation for the soon to be released ISO 22301), ISO 27031, etc. There are also standards in other domains that touch on BC, security standards like ISO 27001/27002.

And when you come down to it, several of the broad risk management standards like ISO 31000 are applicable. At the end of the day, the same risk management disciplines underpin BC, DR, security and enterprise risk management. You conduct a BIA, risk assessment, then either accept, transfer or mitigate the risk, develop contingency plans, and make sure to keep the plans up to date and tested.

In my most recent research into various BCM software vendors and BC consultancies, as well as input from Forrester clients, BS 25999 seems to be the standard with the most interest and adoption. In the US at least, part of this I attribute to the fact that BS 25999 is now one of the recognized standards for US Department of Homeland Security’s Voluntary Private Sector Preparedness Accreditation and Certification Program. The other standards are NFPA 1600 and ASIS SPC.1-2009. I’ve heard very few Forrester clients mention the latter as their standard.

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Business Continuity Is Back On The Agenda

Stephanie Balaouras

During the last 12 to 18 months, there have been a number of notable natural catastrophes and weather related events. Devastating earthquakes hit Haiti, Chile, China, New Zealand, and Japan. Monsoon floods killed thousands in Pakistan, and a series of floods forced the evacuation of thousands from Queensland. And of course, there was the completely unusual, when for example, ash from the erupting Eyjafjallajökull volcano in Iceland forced the shutdown of much of Western Europe’s airspace. These high profile events, together with greater awareness and increased regulation, have renewed interest in improving business continuity and disaster recovery preparedness. Last quarter, I published a report on this trend: Business Continuity And Disaster Recovery Are Top IT Priorities For 2010 And 2011.

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What Do Spark Plugs And WLAN Solutions Have In Common?

Andre Kindness

It’s not the most daring and cutting-edge prediction to say 2011 will be Wi-Fi’s second coming. However, you might be caught off guard when I tell you to not worry about a vendor’s WLAN architecture. Your business needs will flush out the right one. Despite the initial hype seven years ago that Wi-Fi was going to be the new edge, it’s been the second choice for most users to connect with at work — but that will change. A tidal wave of wireless devices will be crashing through the enterprise front door very soon. Just look at the carriers scrambling to build out their infrastructure — there’s no shortage of stories about AT&T and their build-out of Wi-Fi in metropolitan areas. And users have fused their work and personal phones and are looking to seek coverage from carrier data plans.

The time to start was yesterday, and you have a ton of work to do. Your edge will be servicing:

  • Employees with corporate netbooks and their own smartphones and/or tablets who watch training videos on YouTube from companies like VMware.
  • Devices like torque tools, temperature sensors in exothermic chambers, ambient light sensors, and a myriad other devices.
  • Contractors with their own laptops, netbooks, tablets, and/or smartphones who need access to specific company applications.
  • Guests like account executives entering customer information into their CRM programs.
  • All the things being developed at venture capital backed incubators.
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Salesforce.com And Radian6 - What Does It Mean For Customer Service?

Kate Leggett

Today, salesforce.com announced the intent to acquire Radian6, a leader in the social media monitoring space. You can find the details of the definitive agreement here. What I want to focus on is what this acquisition means to customer service.

  •  First, the social listening vendor landscape is crowded and ripe for consolidation. Salesforce.com has just picked off the best vendor in this category of vendors, according to a recent Forrester Wave™ report. Radian6 helps salesforce.com extend its core customer service capabilities to the social channels like Facebook and Twitter, which are becoming increasingly important for companies looking to offer a differentiated customer service experience. This is not the first acquisition of this type; however, it is the most significant one, based on salesforce.com's market share and customer base. Expect to see similar acquisitions by CRM and customer service vendors in the future.
     
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Cisco Buys A Credible Automation Entry Point With NewScale

Glenn O'Donnell

Cisco announced today its intent to acquire NewScale, a small, but well-respected automation software vendor. The financial terms were not disclosed, but it is a small deal in terms of money spent. It is big in the sense that Cisco needed the kind of capabilities offered by NewScale, and NewScale has proven to be one of the most innovative and visible players in that market segment.

The market segment in question is what has been described as “the tip of the iceberg” for the advanced automation suites needed to create and operate cloud computing services. The “tip” refers to the part of the overall suite that is exposed to customers, while the majority of the “magic” of cloud automation is hidden from view – as it should be. The main capabilities offered by NewScale deal with building and managing the service catalog and providing a self-service front end that allows cloud consumers to request their own services based on this catalog of available services. Forrester has been bullish on these capabilities because they are the customer-facing side of cloud – the most important aspect – whereas most of the cloud focus has been directed at the “back end” technologies such as virtual server deployment and workload migration. These are certainly important, but a cloud is not a cloud unless the consumers of those services can trigger their deployment on their own. This is the true power of NewScale, one of the best in this sub-segment.

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Amazon’s Cloud Drive Is The First Step To Being A Personal Cloud Ecosystem Player

Frank Gillett

Today, Amazon announced the Amazon Cloud Drive. I think it is the first salvo in a series of steps that will lead Amazon to compete directly for the primary computing platform for individuals, as an online platform, as a device operating system, and as a maker of branded tablets.

Amazon Cloud Drive logo, with puffy arc behind the words

Much of the attention is going to the Amazon Cloud Player, announced at the same time, which enables customers to stream music stored in Cloud Drive – Forrester’s Mark Mulligan blogged about that for Consumer Product Strategists (Amazon Beats Apple and Google to the Locker Room). But the general purpose design of Cloud Drive, combined with the long-term opportunities for personal cloud services, lead to a really interesting set of possibilities and insights into Amazon’s long-term strategy for Vendor Strategists trying to sort out the technologies and players of next-generation personal computing platforms.

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Q1 2011 Results For Accenture And Oracle Point To Strong 2011 For IT Services And Software

Andrew Bartels

On March 24, 2011, both Accenture and Oracle released better-than-expected financial results for their fiscal quarters ending in February 2011.  In both cases, revenue growth was stronger than expected, with Accenture's revenues up 17% and Oracle's reported revenues up 37%.  Note, though, that Oracle's reported revenues were measured against a period in which it recorded only one month's of Sun Microsystems' revenues following the completion of that acquisition; adjusting the base period to show a more complete picture of the Sun revenues (which we estimate at about $1.8 billion in the three months ending in February 2010, compared with the reported $458 million), Oracle's revenues were 13% higher.  Still, its software and services revenues were up a strong 19%.

Because their fiscal quarters end one month earlier than most other vendors, Accenture and Oracle serve as early indicators of how the IT services and software segments of the tech market do each quarter.  The 27% increase in license revenues for Oracle's database and middleware products and the even stronger 34% growth in its application license revenues are signs of growing demand for software products -- not just SaaS products, but also classic licensed software products.  Purchases of those products typically lead to purchases of systems integration consulting services from IT services vendors like Accenture.  And indeed Accenture reported 20% growth in revenues from consulting services, compared with more modest (but still good) 13% growth in its outsourcing businesses.  So, my expectations that software and IT services will be the leading tech market growth categories in 2011 are supported by these results.    

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