Power surge predicted for power management software

The market for power management software -- utility-type applications that help companies ensure that computers and servers are conserving energy when they are not in use -- reached roughly $168 million in 2010, according to Pike Research. But the category will surge in the next four years, reaching $783 million by 2015, the firm predicts.

The impact of that software could be a reduction of carbon dioxide emissions that are the equivalent of taking 8 million cars off the road, according to the "PC and Server Power Management Software" report.

The industries adopting the software most readily are public sector/government agencies, financial services companies and the retail/wholesale sector. Although the benefits of power management software are pretty clear -- a reduction in electricity costs -- the twist is that most IT departments aren't directly responsible for those expenses, so it's not necessarily a priority.

Says Pike Research analyst Eric Woods:

"The degree to which IT is given a greater stake in reducing energy costs will be a significant factor int he development of this market. The market will also be shaped by competition between dedicated PC power management software providers and those that offer power management as part of a lifecycle management solution."

That latter factor, in my mind, is what will make this market more interesting in the next 12 to 18 months. There are two categories that could gobble up some of the power management software specialists: the broader system and network management tools players and the fast-emerging market for integrated energy and carbon management features. I'm betting you'll see plenty of consolidation in this market, soon.