Management Software Appears A Bright Spot In Otherwise Dull Enterprise Software Market

December 5, 2008

Adobe Systems and SAP have been snared by the down economy. But software in general is a mixed bag, with some markets doing better than others.

One niche with promise as the global downturn deepens is the market for software designed to remotely manage desktop computers, laptops, servers and, increasingly, mobile devices.

BigFix raised its outlook three times this quarter

BigFix raised its outlook three times this quarter

“My business is accelerating, not flattening or decreasing,” says Dave Robbins, CEO of management software maker BigFix. “I’ve raised my outlook three times this quarter.”

Robbins says businesses are looking for products to centralize, or consolidate, management tasks to save money. Big companies sometimes have 50 servers handling management chores and nearly two dozen people assigned to deliver software patches to computers spread around the world.

Over the past six months, many have become eager to simplify these sprawling systems.

“We are absolutely, at this point, counter cyclical” to the economy, says Robbins. “What happens next year, I don’t know.”

BigFix had earlier this year anticipated sales growth of 40 percent to 50 percent. It now should see annual growth closer to 80 percent, he said.

But it is not alone in the market place. Competitors include big names such as Microsoft, Symantec, IBM, CA and BMC.

“I have not heard from a customer who is not under financial pressure,” Robbins says. They want to save money.


Maybe Christmas Spending Won’t Be So Bad; 40% Of Consumers Will Buy As Much As Last Year; 13% Say More

November 25, 2008

A new study casts Christmas holiday spending in a more encouraging light. Forty percent of consumers say they expect to spend about what they spent last year, according to a survey by ABI Research.

HDTVs are high on Christmas lists

HDTVs are high on Christmas lists

Younger buyers – about 13 percent of 1,600 households contacted – foresee shelling out more for presents and holiday cheer.

The survey found 47 percent less excited about the year-end holiday period. They plan to decrease their spending from last year.

The survey has some good news for electronics makers, Eighteen percent of respondents say they want to purchase a HDTV. Only 8 percent said they had a Blu-ray player in their sights.


H-P Not Seeing What Intel Is Seeing (In The PC Market)

November 24, 2008

The slowdown in personal computer sales that forced Intel to cut its sales outlook is not showing up in Hewlett-Packard’s business, CEO Mark Hurd said Monday.

H-Ps notebook sales rose 21 percent

H-P's notebook sales rose 21 percent

“We saw some things that were just different in our numbers,” H-P chief Hurd said on an earning conference call.

The company’s fiscal fourth-quarter PC sales grew 10 percent while shipments were up 19 percent. Notebooks revenue expanded a strong 21 percent, compensating for desktop sales that fell 2 percent.

In terms of pricing, “we didn’t see extraordinary changes” in the market place, Hurd said.

Intel earlier this month slashed its financial outlook for the remainder of the year citing significantly weaker demand in all its markets around the world.

“We are aware of what they are seeing and what Microsoft is seeing,” Hurd said. He argued H-P was bucking the trend and gaining share.


Adobe Sees Slowing Business From Financial Downturn And Cuts Hiring And Spending

November 17, 2008
Downturn will impact Adobes business, says Shantanu Narayen

Downturn will impact Adobe's business, says Shantanu Narayen

Long term, the Web’s increasing use of video and complex images and animation is good for Adobe Systems, the developer of the most popular software for creating multimedia online.

But short term, the global downturn is significantly affecting the company’s business, said CEO Shantanu Narayen.  The Silicon Valley software maker has responded by sharply cutting hiring and reining back expenses.

“Clearly we do see we’re in a global financial crisis,” Narayen said at the Adobe Max conference in San Francisco. “This will leave an impact short term on Adobe’s business.”

During a Q&A will analysts and press, Chief Financial Officer Mark Garrett said the company has “limited our hiring fairly dramatically.” Last year at this time, Adobe was hiring about 100 people a quarter. Now it is just focused on key positions in critical areas, he said.

The company has had a campaign in place for several months to restrain spending and focus investment dollars on top priorities, he added.

The executives did not offer further detail on the business impact. And it largely resisted commenting on the launch of Creative Suite 4 – the packaged suites of its popular Photoshop, Illustrator, InDesign and Acrobat software responsible for a big piece of the company’s revenue.

“It’s early with CS4,” said Narayen. The company said it is looking at marketing messages to stimulate sales.


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