Booming Business for Database Market

Expected to swell to over $10 billion in 2003 because of new apps

Boston, NY  October 22, 2002  New applications of databases will allow the database market to grow to more than $10 billion by 2003, with significant shifts in IT buying and database technology continuing to change the range of choices for buyers across all sectors of the market, according to a recent report by analyst firm Aberdeen Group.

The report noted that the success of specialized databases in supporting high-end applications gives IT buyers a broader spectrum of database choices, at both the low and high ends.

In addition, Enterprise Information Integration (EII) will also play a significant role in the database market. EII provides a one-to-many database "veneer" on existing legacy data sources and, therefore, has the potential to provide business benefits for cross-database applications in administrative cost savings and programmer productivity. And, increasingly, databases will have Web services front ends, with similar effects.

"A strong focus on costs, combined with a realization that in most cases it is impossible to combine and standardize databases has led buyers to undertake a more careful assessment of database purchases," said Wayne Kernochan, managing vice president, databases, development environments, and software infrastructure. Kernochan also authored the report, "Database Buying Guide (Fourth Edition)." "The rewards of successful assessment can be orders-of-magnitude improvements in database administrative costs  often the dominating costs of an application  performance, and programmer productivity. "

The research is a result of Aberdeen's ongoing database practice, which covers emerging and established companies providing solutions that manage and provide effective access to competitive-advantage information. The practice also analyzes related marketing, technology and business trends.