Managing Automation - December 2007 - (Page 10) INDUSTRY NEWS FULL COVERAGE MA NEWSLETTER TO SUBSCRIBE GO TO OF EVENTS AND ANALYSIS WWW.MANAGINGAUTOMATION.COM managingautomation.com Alliances, Executive Appointments, Mergers & Acquisitions, Products news For the maonline in perspective Record APPOINTMENTS The SaaS Delivery Model Gains Steam As New Entrants Broaden the Field BY CHRIS CHIAPPINELLI Emerson appointed Craig Ashmore to the office of the chief executive. Also, Edward Feeney and Jay Geldmacher were named executive vice presidents and business leaders for the Emerson Network Power business platform. RedPrairie Corp. promoted R. Michael Mayoras to CEO. Rockwell Automation named Theodore D. Crandall senior vice president and chief financial officer. SAP tapped Rami Branitzky as managing director of Labs North America and S. Singh Mecker to be senior vice president, software solution partners programs. Schneider Electric North American Operating Division appointed Kristin Johnson-Holz vice president of marketing. T CONTRACTS ABB won orders worth $127 million for power and automation technology from Indian industrial group JSW. Nippon Steel & Sumikin Stainless Steel Corp. is implementing Broner Metals Solutions’ Production Planning system in its Yawata plant in Japan. D&S Manufacturing selected Epicor Software Corp.’s Vantage ERP product to run its business processes. Continued on page 13 oday the market for business applicaCRM; ERP; SCM; digital content creation and tions delivered across the Internet as office suites; and content, communication, and services is a healthy one, and only collaboration tools — are expected to top $5.1 getting healthier as it feeds on what billion in sales in 2007 and continue to gain analysts say will be a steady diet of new substeam through 2011, when Gartner says they scriptions in coming years. will produce $11.5 billion in revenue. This burgeoning brand of software delivery Of course, only time will tell which vendors is a latter-day twist on the hosted applications will ring up those sales. The early superstars of model that fell out of favor with the SaaS era, including Salesthe dot-com bust. Although busiforce.com and NetSuite, are now nesses can still find plenty of venjoined by new entrants intent on dors that will host their ERP or cutting their slices before the pie other applications off-site, the cools off. In the ERP market, alluring wrinkle in the softwareWorkday Inc. and SafetyNetOnas-a-service (SaaS) model is that Demand have joined on-demand all the businesses using the applistalwarts such as Plexus Systems cation tap into the same instance and Glovia. of the software, a shared model Workday’s pedigree would apthat allows providers to lower pear to bode well for the upstart. the cost of ownership. Its founder is Dave Duffield, who Dave Duffield In fact, so alluring are applicafounded PeopleSoft two decades tions delivered as a service, or on-demand, that ago. When PeopleSoft was acquired by Oracle in 2006, research firm Gartner predicted that in 2005 after a protracted buyout struggle, they will account for 25% of the business softDuffield decided to apply his talents to a new ware market by the year 2011. In a more recent company dedicated to delivering core ERP research report, Gartner said that on-demand functions over the Internet. enterprise applications — which it defined as Workday emerged in late 2006 with its first Industrial Ethernet Expected to Continue Sharp Rise The worldwide market for hardened Ethernet switches and other components of an industrial Ethernet infrastructure will grow to nearly $1 billion by 2011, according to an ARC Advisory Group study. ARC found that the market grew from $124 million to $260 million from 2004 to 2006, and predicts unabated 29% annual growth to $955 million over the next five years. Ethernet has captured a growing share of the global automation networking market, which itself has ridden a wave of expansion as manufacturing capacity in China and other parts of Asia has increased, ARC said. ARC expects many of the applications now served by various industrial device networks and motion control networks to eventually migrate to industrial Ethernet. ARC Senior Analyst Harry Forbes wrote, “While Ethernet will never entirely replace device networks, it will continue to pick up more applications over time ARC expects this kind of doubledigit growth for industrial Ethernet switching to be sustained going forward.” NUMBERS Worldwide Market for Industrial Ethernet Infrastructure $1,000 $750 ($ Millions) $500 Source: ARC Advisory Group THE $250 BY $0 2006 2007 2008 2009 2010 2011 ma 10 2007 December http://WWW.MANAGINGAUTOMATION.COM http://managingautomation.com http://Salesforce.com http://Salesforce.com
For optimal viewing of this digital publication, please enable JavaScript and then refresh the page. If you would like to try to load the digital publication without using Flash Player detection, please click here.