Microsoft, IBM lead PwC's scoreboard of top 100 software vendors

Microsoft, IBM lead PwC's scoreboard of top 100 software vendors

Summary: It is important to note that even though the report was published in March 2014, the results actually pertain to 2012.

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Microsoft, IBM, and a host of other American software brands are at the top of the global software scoreboard, according to the latest rankings from Pricewaterhousecoopers.

It is important to note that even though the annual report was published in March 2014, the results actually pertain to 2012.

That being said, Microsoft raked in more than $58 million in software revenue that year, accounting for 80.1 percent of its total revenue.

IBM, Oracle, Germany-based SAP, and Sweden's Ericsson rounded out the top five, respectively.

The global consulting firm published rankings for software companies based on a few different metrics, such as pinpointing the top 20 by software percentage as well as comparing software revenue vs. total company-wide revenue.

The latter data is particularly revealing as Symantec, for example, placed six in the overall tally but actually outranks the top five software vendors on software vs. total revenue being that 93.80 percent of its revenue comes from software.

PwC analysts also covered a number of cloud-related trends that started to take root around 2012 but might seem matter-of-fact to tech industry followers by now.

For example, there's the shift toward moving software from the desktop to a cloud-based model, demonstrated by the likes of Microsoft, Adobe, and Intuit, among others. As a result, PwC cited that Software-as-a-Service revenues seen by the Global 100 increased by 60 percent to $20 billion during the year.

By comparison, total revenue by the Global 100 went up by only five percent during 2012 to $255 billion.

This in turn probably encouraged a craze of tagging everything to be sold as "As-A-Service."

This will likely continue given that PwC researchers noted an IDC forecast that SaaS revenue is expected to balloon by 21.6 percent through 2016, fueling a new revenue model as SaaS should account for at least a quarter of all new software purchases by then.

Furthermore, analysts also highlighted how many hardware providers, some of which have been flailing as a result of the cloud and these new channels it fosters, are dabbling with the infusion of software directly into their own products.

The complete report is available to download for free as a PDF from PwC's website.

Chart via PwC

Topics: Software, Enterprise Software, IBM, Microsoft, Software Development

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5 comments
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  • Question

    Shouldn't Symantec's revenue stream be counted as a Microsoft expense, since it is necessary to keep Windows running?
    Info Dave
    • Symantec's new revenue

      Symantec has a new revenue stream now, Norton for Android. Android is the new malware king.
      James_SB
  • Free Software?

    Hi :)
    The report doesn't seem to count volume of sales. So it's really unclear whether it's just that Microsoft charges more or actually sells more product.

    An extreme example is that the Free Software that many organisations and governments are moving to or already using is completely missing from this report. The timing of the report is interesting. Will it be enough to restore confidence in Microsoft at a time when so many other indicators are suggesting that Microsoft is losing it's dominance?
    Regards from
    Tom :)
    Tom6
    • Actually, you have things completely backwards...

      because, if you cared to notice, it's Microsoft which has been the most nimble of tech companies in diversifying their products and services, and are now the biggest developer and vendor of software and services around.
      adornoe
  • re: Free Software?

    It is a report of software VENDORS. You don't sell free software. It has no quantifiable $ value and is therefore not worth considering for a report where the important categories are measured in dollars.

    Troll.
    i.c.