VDC recently released a series of reports from Track 3: The Total Market for Embedded Software Engineering (TMESE) of VDC’s 2009 Embedded Software Market Intelligence Program. These reports include a total available market (TAM) analysis of OEM spending on embedded software engineering (including commercial products and software engineering labor spend).
Although growth slowed in the fourth quarter of 2008, many engineering organizations maintained their research and development spending rates throughout the majority of 2008. The changing economic climate led to a more cautious development approach; whereas engineering staffs would have previously made more of the software purchasing decisions themselves, procurement has become more process-oriented and controlled by higher levels in the organizations.
The recession’s impact, however, became even more tangible in early 2009 as many OEMs began making significant cuts to their R+D budgets and engineering staffs as the potential magnitude and duration of the recession became more apparent. With the total spend on embedded software engineering labor representing the vast majority of the overall TMESE as compared to expenditures on commercial embedded software solutions, the onset of project start delays and cancellations in 2008 had a significant effect on TMESE Labor spend in 2009 and will continue to impact overall embedded software market expenditures in 2010.
VDC explores the various trends impacting the Total Market for Embedded Software Engineering in greater depth within these four recently released reports:
• Volume 1: Global Embedded Software Engineer Census
§ Includes the global population of embedded engineers by type as well as segmentations of the total embedded engineer and embedded software engineer populations by region and by vertical market.
• Volume 2: Total Market for Embedded Software Engineering – Labor
§ Includes the total embedded engineering labor spend by Embedded Systems Manufacturers segmented by region and by vertical market.
• Volume 3: Total Market for Embedded Software Engineering – Commercial Products
§ Includes the total commercial products spend by Embedded Systems Manufacturers segmented by region and by vertical market.
• Volume 4: Total Market for Embedded Software Engineering – Aggregate
§ Includes the total aggregated spend by Embedded Systems Manufacturers on labor and commercial products segmented by region and by vertical market.
All four volumes from the Track also include selected highlights from VDC’s Embedded System Engineering Survey Data as well as qualitative analysis of key trends affecting the topic under study in 2008, 2009, and beyond.