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ERP latest IDC measure
Market records healthy growth with on-demand revolution looming

The €6.4 billion Western European ERP application market had a revival in 2006 with 7% growth in license and maintenance, says IDC.

"Oracle's rebound in 2006 and solid performances of most of the top 10 vendors contributed to this recovery of the European ERP market. The improved economic conditions in the large economies in continental Europe also drove growth," said Bo Lykkegaard, program manager, European Enterprise Applications and Services at IDC.

In 2006, the five largest ERP vendors in Western Europe were SAP, Oracle, Sage, Microsoft, and Infor, and their combined market share amounted to 69% of the entire market.
 
The ERP on-demand segment saw 63% growth in 2006, but with insignificant impact on overall market growth due to the small base.

"IDC expects on-demand ERP applications to gain importance over the next five years. While customers might not ask for ERP on-demand today, the changes caused by new delivery models and technologies will transform the ERP market as we know it. New business and delivery models, new partnerships, and focused R&D should be key investment priorities for ERP vendors in 2008," said Lykkegaard.
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