Skip to main content

The Upside Potential for Enterprise Social Networks

The time has come to think seriously about enterprise social networking and consider its role within the commercial online collaboration strategy development process, according to the latest market study by Ovum.

In a new report, they say that the enterprise social networking market is starting to mature and is now moving from the introduction phase into the growth phase.

Strategic acquisitions have already been made by start-ups and establish vendors alike. That being said, I'm still left wondering -- are there examples of substantive applications that make the resource investment worthwhile?

"Ovum's current assessment of the enterprise social networking market indicates that Jive and Yammer are the two vendors that organizations are most eager to compare and contrast, but other vendors are generating significant business and revenues from their offerings," said Richard Edwards, analyst at Ovum.

A recent vendor recap suggests that IBM Connections produced $105.4 million in revenue during 2011, and from this performance Ovum believes that the current value of the overall enterprise social networking market to be in excess of $500 million.

Enterprise social networking, from a market perspective, is still in the early-adopter phase, with only around 10 percent of organizations in established IT markets deploying solutions or subscribing to services.

Mobile devices are increasingly being used to access the networks and this is extending the use case for such solutions to a broader audience. New smartphone and media tablet apps will likely help to increase user adoption.

Edwards adds, "As the business case for investment in enterprise social networking solutions has yet to be proven to business skeptics, some vendors are encouraging independent user adoption -- in the hope it will prove business value."

Ovum believes that the commercial potential offered by enterprise social networking will only be unlocked when meaningful necessity dictates a change in mainstream legacy business practices.

Meanwhile, the enterprise collaboration technology landscape has been flooded with "social software" from a variety of different sources. In fact, vendors offering pure-play enterprise social networking solutions are competing against established enterprise collaboration providers.

On the other hand, vendors offering business automation social platforms are trying to gain traction in a market that is also assessing the merits of emerging offerings from companies specializing in enterprise applications.

Ovum says that merger and acquisition activity has increased markedly in the past few months, and this has led to new entrants appearing on the enterprise collaboration landscape.

So, with an upside market potential of at least $10 billion, the enterprise social networking market may become the new battleground for all enterprise collaboration vendors. We'll have to wait and see.

Popular posts from this blog

Wireless Solutions Advance Work from Home Trends

Despite a challenging backdrop from the ongoing effects of the global COVID-19 pandemic, the negative impact on fifth-generation (5G) wireless supply chains has been minimal compared to the wider mobile smartphone market. This led to 5G mobile devices becoming more diverse, brought to market quickly at a variety of price points, thereby accelerating affordability and adoption. The mobile market is transitioning to 5G and many leading vendors are now exploring the low-priced 5G smartphone segment. According to the latest worldwide market study by ABI Research, 681 million 5G handsets will be shipped in 2022. Therefore, the race is on for OEMs to find that all-important level of differentiation in their flagship portfolios to help boost margins and improve market share. 5G Wireless Market Development Vendors continue to drive the adoption of new product designs, screen technology, chipsets, and camera setups -- notably within the flagship smartphone segment. Meanwhile, the leaders seek a

Software-Defined Infrastructure: The Platform of Choice

As more organizations adapt to a hybrid working model for their distributed workforce, enterprise CIOs and CTOs are tasked with delivering new productivity-enabling applications, while also seeking ways to effectively reduce IT cost, complexity, and risk. Traditional IT hardware infrastructure is evolving to more software-based solutions. The worldwide software-defined infrastructure (SDI) combined software market reached $12.17 billion during 2020 -- that's an increase of 5 percent over 2019, according to the latest market study by International Data Corporation (IDC). The market grew faster than other core IT technologies. The three technology pillars within the SDI market are: software-defined compute (53 percent of market value), software-defined storage controller (36 percent), and software-defined networking (11 percent). "Software-defined infrastructure solutions have long been popular for companies looking to eliminate cost, complexity, and risk within their data cente

Digital Identity Verification Market to Reach $16.7B

As more enterprise organizations embrace the ongoing transition to digital business transformation, CIOs and CTOs are adopting new technologies that enable the secure identification of individuals within their key stakeholder communities. A "digital identity" is a unique representation of a person. It enables individuals to prove their physical identity during transactions. Moreover, a digital identity is a set of validated digital attributes and credentials for online interactions -- similar to a person's identity within the physical world. Individuals can use a 'digital ID' to be verified through an authorized digital channel. Usually issued or regulated by a national ID scheme, a digital identity serves to identify a unique person online or offline. Digital Identity Systems Market Development Complementary to more traditional forms of identification, digital identity verification systems can enhance the authenticity, security, confidentiality, and efficiency of