Wearable technology is among the hot technology trends today. Google has been experimenting with Google Glass, Apple is rumored to be in the process of manufacturing the iWatch, and Samsung released the first wearable (albeit clunky) smartwatch, Galaxy Gear. But wearable technology isn’t entirely new. According to IMS Research, 14 million wearable devices were shipped worldwide in 2011. IMS also expects the market to be worth $6 billion by 2016. Another market research report, Wearable Technology Market – Global Scenario, Trends, Industry Analysis, Size, Share And Forecast, 2012-2018, estimates the wearable technology market to grow 41% annually from an estimated $0.75 billion in 2012 to $5.8 billion in 2018.
The housing market continues to rebound. Recent market reports show that housing prices have gone up significantly, with some markets reporting price increases of 15% over the previous year’s levels. The housing industry has benefited from lower mortgage rates and government policies such as the Home Affordable Refinance Program (HARP) and the Home Affordable Modification Program (HAMP). According to the U.S. Department of Housing and Urban Development, the number of single-family houses sold in July this year rose to 454,000 from 276,000 in 2010. The median price for properties has also gone up from $204,000 in 2010 to $271,600. The report showed that in 2010, the housing inventory stood at 9.1 months, but today that number has fallen to 4.1 months. Improvement in the sector has also driven stock prices of online real estate firms to 52-week highs, with more headroom due to macro trends.
A Gartner report released earlier this year estimates worldwide mobile advertising market to grow 18.8% this year from $9.6 billion in 2012 to $11.4 billion. The report also projects the market to grow to $24.5 billion by 2016. Growth in mobile advertising is attributed to the increased and fast paced adoption of smartphones and tablets. Another report by Gartner forecasts downloads from mobile app stores worldwide to grow 57% annually over the period 2011 through 2015 to 108.8 billion.
The worldwide gaming industry is waiting eagerly for several big releases for the start of the holiday season this year. Microsoft’s XBox One and Sony’s Playstation 4 are both currently being pre-ordered for delivery in November. Within games, Take-Two Interactive recently released “Grand Theft Auto V.” Analysts estimate that the game will generate $1.5 billion in revenues. But even keeping the new releases aside, the video game industry has seen a recent surprising surge. According to NPD, video game sales in the country grew 1.0% to $521.0 million in August this year. Growth was driven by software sales, which reported a 21% increase to $293.4 million. Hardware sales were down 40% over the year to $90.8 million, and accessories sales grew 7% to $136.7 million in August 2013.
According to Gartner’s Forecast: Enterprise Software Markets, Worldwide, 2012-2017, 2Q13 Update, worldwide spending on enterprise software is projected to grow 6% this year to $304 billion. Within the market, Gartner projects CRM market to be a fast growing market with an estimated annual growth rate of 15% over the period 2012 through 2017. A quarter ago, Gartner had projected this market to grow 9.7% annually over the same period.
The PC industry is not seeing a recovery soon. IDC’s recent quarterly PC shipment report saw global PC shipments fall 11.4% over the year to 75.6 million units driven by the increased adoption of tablet devices. Besides PC vendors, the trend has also forced chip manufacturers like Intel (Nasdaq: INTC) to diversify their operations.
The latest Gartner’s Worldwide IT Spending Report estimates global IT spending to grow 2% over the year to $3.7 trillion. By segment, telecom services will remain the largest sector with $1.66 trillion of the market and growing 0.9% over the year. IT Services are projected to grow 2.2% over the year to $0.93 trillion. Devices are expected to account for $0.7 trillion of the market, growing 2.8% over the year. Enterprise Software will account for the fastest growth at 6.4% to account for $0.3 trillion of the market and Data Center Systems will account for the remaining $0.14 trillion, reporting a 2% growth over the year. The researcher estimates IT spending to grow 4.1% next year to $3.88 trillion.
Researcher TBR’s 2Q13 Business Intelligence Software Vendor Benchmark estimates worldwide business intelligence (BI) software market to grow 4% annually over the period 2013 through 2018 to be worth more than $40 billion by 2018. In another report, Gartner estimated the BI market to have reported a growth of 6.8% over the year to $13.13 billion last year. SAP was the leading player in the segment last year with a market share of 22% followed by Oracle’s 15% market share. IBM and SAS were neck to neck with 12.4% and 12.2% market share respectively and Microsoft was the fifth largest player with 9% market share. While these big giants surely have a bigger footprint in the market, there are other smaller players as well who are making their presence felt.
Since social gaming player, Zynga (Nasdaq:ZNGA), went public, their troubles have only increased. Not only have their acquisitions failed to deliver, but their existing games are losing steam as well. Add to that concern of increased competition and slowing growth rates for the industry. Little wonder then that Zynga has had to rethink not only their business plans, but also their organization structure.
According to Gartner, the Software-as-a-Service market is projected to grow 20% over the period 2011 through 2016 to $32.8 billion. Within the market, CRM will be the largest market growing from $5 billion in 2012 to $9 billion by the year 2016. But the biggest growth within SaaS will be driven by Office Suites which are projected to grow 49% annually over the period 2011 through 2016 and HR offerings will register the slowest growth at 6.7%. But that is not slowing down Workday (Nasdaq: WDAY), which continues to deliver strong quarterly results.