The Asia Pacific region excluding Japan (APEJ) is showing promise as a vibrant market for application deployment software (ADS), according to a recent study by IDC. The ADS market grew to a US$538-million business in the second half last year and is expected to achieve a compound annual growth rate (CAGR) of 14 percent up to 2015.
The ADS market includes application server middleware, and integration & process automation middleware.
The market in the region is expected to grow in double digits for the next five years, mainly owing to the robust regional economy, and the fact that organisations are adopting cloud computing and business process management (BPM).
An IDC analyst said investing in BPM is among the top priority of organisations in the region as they continuously search for solutions that will enhance their operations' efficiency to maintain costs and to support their expansion plans.
Middleware software is seen by organisations as the answer to reduce the complexity in their IT systems.
Said Chris Zhang, market analyst, IDC's Asia/Pacific ADS Research: "The demands for quick ROI (return on investment) and rapid deployments have also prompted many middleware vendors to introduce application platform appliances and industry-specific process solutions. IDC expects these will change the market dynamics, as middleware vendors collide to compete with packaged application vendors.
"In addition, as the cloud (i.e. public, private and hybrid) gains popularity as alternate deployment models, middleware products with strong orchestration and integration capabilities will be highly sought after by organisations with applications residing in multiple models (i.e. in the cloud, on-premise and even mobile). In causality, such inter-cloud and cloud-to-ground integration offerings will also help to drive mainstream cloud adoption."
Among the countries in the region, China and India are seen as main growth markets with Taiwan and South Korea also showing promise. Investments in ADS are also expected from mature countries such as Australia, Singapore and Hong Kong while among the Southeast Asian emerging countries, eyes are on Vietnam and the Philippines.
Industry-wise, the banking sector is expected to be the biggest spender in ADS, followed by the government sector, communications and media, and financial services institutions.
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