99 posts categorized "Market Leaders"

02/21/2014

Is this a run on static analysis?

The static analysis solutions market is one of the most dynamic segments VDC’s embedded software team currently tracks. While still a relatively young and evolving technology, static analysis has rapidly become a standard -- perhaps even necessary -- element of the software development lifecycle. Software is emerging as the primary agent for differentiation and resource investment for more companies as they try to speed the delivery of innovative new solutions. The development of increasingly complex software needed for these devices and systems is accelerating growth of code quality and security issues that static analysis is designed to address. In parallel, there is a growing awareness of the potentially catastrophic impact of software failure. As a result, we expect static analysis tools to generate revenue growth exceeding many other tooling segments.

“Strong forecasted growth and the presence of several profitable, small, and privately owned companies among market leaders make the segment (static analysis) ripe for mergers and acquisitions.”  - VDC Research, Stategic Insights 2013, The Global Market for Automated Testing and Verification Tools

Earlier this week Synopsys, a prominent supplier of electronic design automation and semiconductor IP solutions, announced it reached an agreement to purchase Coverity for approximately $375M (US).

The news is compelling for several reasons. Code analysis offerings of Coverity represent a logical expansion of the existing Synopsys portfolio into an adjacent technology area. The acquisition of Coverity would provide Synopsys with the leading vendor share position in the static analysis tool market, a segment expanding at a compound annual growth rate greater than 15%. Furthermore, the combined sales teams and existing customer bases should provide excellent opportunities for both Coverity and Synopsys to increase sales into new realms, primarily the semiconductor and ISV markets, respectively.

The Coverity acquisition by Synopsys should not be viewed in isolation. There was another acquisition of a leading code analysis supplier in January, when Rogue Wave Software purchased Klocwork. We see the opportunity for many of the same synergistic benefits to the Klocwork/Rogue Wave integration as in the Synopsys/Coverity combination. It will be interesting to see if these recent acquistions provide the necessary impetus for more potential suitors to buy one of the remaining independent static analysis tool suppliers.

08/19/2013

Trusteer Your Security to IBM: Acquisition Fortifies Security Portfolio

On August 15th, IBM (NYSE:IBM) announced it reached a deal to acquire Trusteer, a Boston-based software-security firm focusing on financial and enterprise cyberthreats. As part of the deal, IBM will absorb Trusteer’s R&D lab in Tel Aviv into its security organization. One major focal point for Trusteer is their mobile security product line, which focuses on preventing intrusion and data theft through enterprise-connected mobile devices.

Smartphones and tablets are becoming integral tools for large and small businesses alike. Mobile devices – like an iPhone equipped with the SalesForce app – are a huge benefit to employees and their employer by allowing them to work remotely and efficiently while away from the office, but these devices also introduce a new set of vulnerabilities into an organization’s security. Our data shows that a large number of these devices have exploitable security flaws that leave sensitive enterprise data vulnerable. A mobile device connected to an enterprise’s network provides a link into the organization that many aren’t adequately protecting.

This acquisition reinforces two key trends: security is an increasingly important factor for all organizations and more needs to be done to protect valuable data from theft. As the number of end-points an organization deals with increases, so does the risk for a security breach. IBM recognizes this and plans to use the Trusteer acquisition to improve its enterprise security products, but the same principles hold true in the embedded industry.

The embedded world is more connected than ever before and this trend continues to grow. Thinking back to famous malware threats such as Stuxnet infiltrating networked manufacturing platforms, it’s clear that inadequate protection of these systems is a major vulnerability to users of embedded software and hardware. Purchasing Trusteer highlights a developing industry trend: end-point protection is becoming a new priority for businesses, embedded or enterprise, in order to keep cyberthreats from harming their operations.

For more information on VDC’s research about security in the embedded industry, click here.

 

By Zach D. McCabe,

Research Assistant, M2M & Embedded Technology

06/25/2013

The Embedded Software Beat

Part two of a Q&A with Matt Klassen, Director of Product and Solutions Marketing at PTC. (See part one)

This interview is part of an ongoing series we conduct with embedded software solution providers to share views on their company, products, and state of the market.

VDC:  When PTC acquired MKS, James Heppelmann, president and CEO of PTC said, “Software engineering has become a fundamental backbone element in today’s product development process.” Indeed, embedded systems continue to grow in complexity and software is defining an ever greater portion of end product value. Given that environment, can you tell us a bit about how the combination of Integrity with PTC’s PLM solutions is addressing some of the challenges facing manufacturers today?

Klassen: PTC is addressing many software intensive product manufacturing challenges head on.  Integrity allows engineers to author, connect, and manage a wide range of development artifacts from requirements to design to code and test. Furthermore, Integrity offers unprecedented reuse and traceability providing efficient change management, even across product variants. This gives management a real-time view of software release readiness in the context of the product engineering cycle.  When used in combination with Windchill, Integrity extends PLM to include robust requirements management, software management, and crossed discipline change management.

VDC: Has the acquisition resulted in new markets or opportunities for the Integrity solution than was available under MKS?

Klassen: PTC gave Integrity global reach and with a loyal customer base. Integrity has been introduced to a host of new customers that have invested heavily in our ALM technology. These customers include HKMC, Huawei, Cummins, John Deere, and Ingersoll Rand to name a few.

VDC: We’re seeing Agile software development methodologies gain broader acceptance across a range of embedded verticals. How does a solution like Integrity help support a transition to iterative development?

Klassen: PTC Integrity ensures a smooth transition to iterative and agile methodologies by providing a flexible scalable Scrum based template that allows enterprises to use traditional, agile or hybrid methods across a distributed set of teams. In addition, Integrity’s support for regulatory compliance standards and ability to reuse requirements, test and code in an Agile environment is unique.

VDC: If you could accurately predict the future, how do see the opportunities for the embedded software market shaping up over in the coming year?

Klassen: The embedded software market will only continue to grow its products to become smart systems of systems.  As companies realize that it is more profitable to transform their products into services, software will enable and deliver the continuous stream of value to products already in the market such that servicing, fixing, upgrading and even offering new features will become much more efficient, less expensive and provide longer life expectancies for many products.  Companies that are able to manage the explosive growth of software efficiently and effectively in the context of the product lifecycle will thrive.  PTC’s strategy is very focused on this market force.

VDC: Thank you, Mark.

Interested in participating in VDC’s “The Embedded Software Beat” series of interviews? Please reach out and let us know.


Matt KlassenMatt Klassen
is passionate about helping customers improve the way they build software intensive products and has been helping organizations excel with software for 20 years.  In his role as Director of ALM Solutions Marketing, Mr. Klassen is responsible for leading the effort to define, market, and sell PTC software and systems engineering management solutions built on PTC Integrity.  With many years working with customers on their complex software systems, Matt has the in knowledge to understand customer challenges across the software development lifecycle in many industries including medical devices, automotive, aerospace, and high tech electronics.  Matt has been a featured speaker at many conferences and events.

 

06/24/2013

The Embedded Software Beat

Part one of a Q&A with Matt Klassen, Director of Product and Solutions Marketing at PTC.

This interview is part of an ongoing series we conduct with embedded software solution providers to share views on their company, products, and state of the market.

VDC’s Embedded Software team was fortunate to catch up with Mr. Klassen shortly after the 2013 PTC Live Global, PTC’s annual event for engineers, IT and service professionals to network, hear corporate updates, learn, and listen to interesting customer presentations.

VDC: PTC has been supporting the embedded industry since 1985. Can you briefly introduce the company to our readers?

Klassen: PTC started as a CAD software provider and revolutionized that market with Pro/ENGINEER, the industry's first successful rule-based constraint (sometimes called "parametric" or "variational") 3D CADmodeling system.  In the late 90’s, PTC acquired Windchill Technology Inc. and launched the first internet based PLM solution which has grown into a half billion dollar business.  In 2011 PTC acquired MKS, a leading provider of ALM solutions, to address the engineering challenges as products transform into smart, software intensive systems.  

VDC: For anyone who may have missed the event, what were some of the highlights of the 2013 PTC Live Global?

Klassen: There were a lot of highlights at this year’s conference, but as usual, our customers really took center stage.  The keynotes on both Monday and Tuesday featured several marquis customers that underscored Jim Heppelmann’s talk on the forces that are transforming the way products are designed, manufactured and serviced.  Forces like digitization, globalization, compliance, personalization, software intensive products, connectivity, and servitization are all at work in the market and manufacturers that embrace these by transforming their process and tool landscape, will be positioned to lead the market.  PTC is positioned to partner with these companies to provide guidance and technology to do just that.

VDC: What challenges do engineers face today in designing and developing embedded devices and how are embedded software suppliers responding?

Klassen:  Engineers face a whole host of challenges today including:

-       Reusing software development artifacts across product variants

-       Cross engineering discipline collaboration

-       Taking advantage of Agile methods in highly complex and regulated environments

-       Managing the high velocity of software driven change and implications across discliplines

Traditional ALM vendors are not addressing these challenges very effectively.  Traditional PLM vendors are trying to address these challenges but their hardware oriented solutions are ill-equipped.  PTC has a unique opportunity to address these challenges with an integrated ALM and PLM set of solutions. 

Please check back on Tuesday 6/25 for part 2 of this discussion with Matt Klassen, Director of Product and Solutions Marketing at PTC

Matt KlassenMatt Klassen is passionate about helping customers improve the way they build software intensive products and has been helping organizations excel with software for 20 years.  In his role as Director of ALM Solutions Marketing, Mr. Klassen is responsible for leading the effort to define, market, and sell PTC software and systems engineering management solutions built on PTC Integrity.  With many years working with customers on their complex software systems, Matt has the in knowledge to understand customer challenges across the software development lifecycle in many industries including medical devices, automotive, aerospace, and high tech electronics.  Matt has been a featured speaker at many conferences and events.

 

 

04/22/2013

IBM Bolsters DevOps Support with UrbanCode Acquisition

On Monday, IBM announced the acquisition of UrbanCode, a provider of software delivery automation solutions. UrbanCode’s continuous release and deployment tools will be integrated into the IBM Rational portfolio to bolster their DevOps capabilities.              

…software is eating the world.” – Marc Andreessen

Software has emerged as the primary agent for differentiation for a growing number of companies. It is defining a greater portion of end-value for organization’s solutions, but also consuming an ever-larger share of their development costs. Many of these companies have re-evaluated their processes and adopted Agile methodologies to help speed software development. Our findings suggest this has helped. In VDC’s 2012 software and system developer survey, engineers using Agile were more likely to be ahead of schedule on their current project, despite code bases three times as large as those not using iterative methods.

“Companies that master effective software development and delivery in rapidly changing environments such as cloud, mobile and social will have a significant competitive advantage,” - Kristof Kloeckner, general manager, IBM Rational Software.

Unfortunately, Agile methodologies only address the software development. Just increasing the pace of software design can place considerable strain on an organization and result in bottlenecks elsewhere in the development lifecycle. To move in the right direction, development and operations need to operate at the same velocity. This is where the incorporating the UrbanCode Application Release Automation should provide synergy. By automating much of the testing and deployment processes, organizations can speed up the operations side of their business to match the pace of the Agile software development.

Integration of the UrbanCode offerings into IBM Rational’s portfolio represents a valuable extension of their DevOps implementation support. We expect much of the initial market traction to come from enterprise applications. However, with the volume of embedded software code continuing to grow while project timelines shrink, this approach will increasingly resonate in several embedded industries.

More insight

For further investigation and discussion about Agile development, DevOps and other important shifts in systems lifecycle management, please see our 2012 Software & Systems Lifecycle Management Tools Market Intelligence Service. 

03/29/2013

ALM Connect Executive Day and EclipseCon, March 2013

ALM CONNECT EXECUTIVE DAY

VDC was excited to attend the ALM Connect Executive Day, which was run in parallel to EclipseCon 2013 in Boston this week. The objective of the executive day, to provide a platform for software delivery executives to discuss modern ALM practices in the context of business problems, is tightly aligned to our Software & System Lifecycle Management Tools research.

The day brought together leaders from ALM suppliers, ISVs and consulting firms to discuss how ALM is evolving in response to the changing software delivery environment. The M2M Embedded Software team investigates many of the same questions ALM Connect aimed to answer such as:

  • How does ALM work in the world shifting from 'Systems of Record' to systems of engagement?
  • How does SaaS, Mobile and open source change ALM?
  • What does Agile mean to ALM?
  • What does complex sourcing do to ALM?

Among the ALM Connect Executive Day highlights:

 “What ALM knowledge you can expect from Computer Science Graduates” with Gary Pollice, Professor of Practice, WPI Computer Science Department. A great description about what you should look for in a recent computer science graduate and, more importantly, why.

“Managing Complex Supply Chains with ALM” with Mik Kersten, CEO, Tasktop. Mik demonstrated how Tasktop is helping large corporations work through the mess they’ve made of their development lifecycle through piecemeal tool adoption at team levels, corporate expansion, mergers and other realities of business as usual.

 “Scrum - Success Ends with Middle Management” with Ken Schwaber, the Co-creator of Scrum and CEO of Scrum.org. Ken stressed the importance of individuals and interactions over processes and tools as organizations look to create more agility. Also presented was the “Agility Index”, a means to track progress towards of process improvement goals.

“Future of ALM Panel” with Sam Guckenheimer, MS Visual Studio; Jeffery Hammond, Forrester Research; Raziel Tabib, HP; Mik Kersten, Tasktop; Mike O'Rourke, IBM Rational. The panel gave us a lively discussion on a number of topics including developer resistance to change, estimates on the enterprise ALM market size, and ongoing heterogeneity and integration challenges of ALM.

More information on ALM Connect Executive Day can be found here.

 

ECLIPSECON BOSTON 2013

We also made time to visit some booths and sit in on a few presentations of EclipseCon.

The focus of the open source Eclipse community is software development tools as well as the intersection of tools, process, and new business models. As more and more organizations view their ability to manufacture software as a competitive advantage, ALM is becoming a vital business process.

Among the EclipseCon highlights:

CollabNet’s Laszlo Szalvay presentation, "Making Agile ALM Work in Regulated Industries”:  The discussion focused on some of the uncertainty towards Agile that remains in highly regulated industries such as Finance, Telecommunications, Pharmaceuticals and Government. VDC sees the same concerns about control and increased developer autonomy in the embedded industry. Likewise, we share the opinion that Agile can succeed in these industries with the use of the right processes and tools.

The session entitled, “High Quality Agile - Incorporating Quality into Your Agile Process and Organization Means Working Faster and Smarter,” by Lorinda Brandon of SmartBear Software. Lorinda outlined some best practices for maintaining high quality as an organization moves towards a continuous software delivery business model.

More information on EclipseCon 2013 Boston can be found here.

 

About VDC Research Group                                       

VDC Research Group (VDC) provides market research and advisory services to the world's top technology executives. Our clients rely on us to provide actionable insights to support their most important strategic decisions. The firm is organized around four practices, each with its own focused area of coverage including: automatic identification and data collection, embedded hardware, embedded software and enterprise mobility.

Our market research is the basis for the many ways that VDC can help our clients to grow their business. We offer a range of services designed to meet their specific corporate development, opportunity assessment and lead generation needs. Founded in 1971, the firm is located in the Boston area. Please visit our Web site at www.vdcresearch.com to learn more.

VDC has been providing embedded systems market intelligence for over 20 years.

03/28/2013

Model That MIMO

Wireless networks have been pressed to rapidly evolve as ever greater numbers of subscribers utilize mobile devices to transmit an increasing volume of data. In fact, Cisco projects the number of mobile-connected devices, driven by a combination of personal devices and machine-to-machine (M2M) applications, will exceed the world’s population by the end of this year and that mobile data traffic will expand at a CAGR of 66% through 2017.

Technologies such as Multiple-Input Multiple-Output (MIMO) and other multiple antenna techniques have emerged in response to this increased demand for wireless network throughput. MIMO systems employ multiple antennas at both the transmitter and receiver end of the communication system. This approach considerably improves performance, providing higher data rates while maintaining spectral efficiency. However, a price paid for these advances is greater system complexity facing embedded engineers tasked with designing the networks.

Accurate design of the wireless communications channel is key to optimizing network system performance. This requires consideration of a large number of variables and is a challenge well suited to software-based modeling tools. VDC Research has spoken with leading suppliers of commercially available modeling tools as we update our coverage of Software and System Lifecycle Management solutions for 2013. These conversations have revealed a growing interest in system design tools within the communications market.

Suppliers are responding to this demand. For example this week, MathWorks announced software enhancements to the Phased Array System Toolbox and SimRF to enable wireless communications and radar system designers to speed up modeling and simulation within the MATLAB and Simulink environments. Going forward, telecommunications engineers will increasingly leverage software and systems modeling tools as they design the complex next-generation networks of tomorrow.

More insight                                     

For immediate access to further investigation and discussion about software and systems modeling tools, please see our 2012 Software & Systems Lifecycle Management Tools Market Intelligence Service. The M2M Embedded Software team at VDC is in the process of updating this research for 2013. The 2013 Software & System Modeling Tools volume will be available in the next couple of weeks. 

01/22/2013

Can Ubuntu Make a Splash in Mobile?

The start of the new year kicked off with an announcement that another open source mobile operating system will be coming to market… but this one is truly unique. The provider of one of the most popular Linux-based desktop operating systems, Canonical, recently announced a distinctive smartphone interface for its Ubuntu operating system. Aside from Android, open source platforms have had a checkered history with limited success in the smartphone environment (e.g. Openmoko, LiMo, MeeGo, webOS). Ubuntu faces much uncertainty with many challenges ahead, but its unique positioning and appeal could help it shine in an increasingly competitive and crowded market.

One of the primary goals of Canonical is to provide a unified family of interfaces for phone, PC and television devices utilizing the Ubuntu OS. Best-suited for high-end multicore “superphones,” the Ubuntu phone OS delivers a rich graphical touch interface with a full PC experience when docked with a monitor, keyboard and mouse. Canonical is also providing a free variant of Ubuntu designed to run on Android phones to immediately enter the mobile market. The OS will support web-based HTML5 and native applications.

Ubuntu has a lot of things going for it that past open source OSs did not. First and foremost, Canonical has been very successful in growing Ubuntu’s presence in enterprise desktops and server platforms across the world since its launch in 2004. The company amassed plenty of experience hosting cloud-based services and app stores, a major obstacle for new entrants to the mobile space, and developed a global market presence through leveraging partnerships with leading PC OEMs including ASUS, Dell, HP and Lenovo. Additionally, application support will be bolstered by Ubuntu’s considerable following of desktop developers and a Webkit made available by Canonical to help migrate applications from the desktop platform.

Though no open source platforms have been able to measure up to Android’s success in the smartphone arena, many network operators and OEMs would like to have an alternate available. They have recognized that the growing duopoly between Apple’s iOS and Google’s Android in the market could stifle innovation and give them too much power over industry participants and users themselves. Furthermore, an alternative operating system, like Ubuntu, could help carriers and manufacturers gain a more substantive relationship with smartphone buyers by adding their own branded offerings.

However, Ubuntu faces numerous obstacles in its quest to make a splash in the smartphone OS market. The two biggest concerns, intensely growing competition and a lack of handset provider support, permeate throughout market for mobile operating system providers. The market already accommodates two huge platforms (Android and iOS) and two others with aspirations of greatness (Windows Phone and Blackberry), and that’s just at the top. By the time the first Ubuntu-based handset comes to market at the end of 2013 (earliest), the next versions of Android and iOS will have been deployed, Blackberry 10 will have finally arrived and Microsoft will be soon-updating its own mobile software. Also, Canonical has yet to disclose any commitments by operators or handset manufacturers to support the Ubuntu operating system and few big-name “superphone” OEMs are likely to be willing to risk a high-profile launch with an unproven mobile OS.

A lot will change the landscape in the meantime leading up to Ubuntu’s eventual mobile debut. The OS contains some very innovative and inspiring design ideas, and Canonical boasts unique core strengths that make their operating system truly different from any other open source OS that has crossed the mobile environment. The new OS will have the opportunity to be a significant player in emerging markets, as well as with people already committed to open source. Though more competition would force the pace of innovation to increase, Google and Apple will be heart-pressed to relinquish any market share and will continue to add to and enhance their own platforms in a bid to stay relevant. Demand for an Ubuntu-like platform exists; it’s just a matter of getting past the crowd at the door.

12/31/2012

Embedded Security: The Bark is Bigger than the Bite, Part 2

In part one of this blog, we discussed findings showing the limited security actions taken to date in the Industrial Automation and Energy/Power industries. Unfortunately, the gap between stated interest in security and the actions taken to address these concerns is not limited to this vertical. For example, 29% of engineers in military/aerospace and almost 38% of automotive engineers reported their current project involves no security actions.

Google has received a great deal of press about their progress in this area, developing their self-driving car. Aaron Robinson, a columnist with Car and Driver magazine wrote about security issues, as they relate to this notion of an autonomous car.

“But one thing is certain: Throughout human history, safety has typically lagged invention. The wheel came before the brake, the car came before the seatbelt. Likewise, the internet’s innovation continues to outpace its protections” – Aaron Robinson

Now I love many of the advances information technologies have enabled in even just the last few years. But turning over my keys to the IT department of Google or some other tech company, especially since I’ve seen lack of security measures? Suddenly “kernel panic” or the “blue screen of death” take on much more literal meanings.  

Eliminating the security interest-action gap will be one of the primary challenges facing OEMs across several verticals. Embedded solution providers should align their marketing and services initiatives. There is a large opportunity awaiting the vendor(s) able to encourage and then help navigate when OEMs take these important steps to address security.

 

UPCOMING RELATED RESEARCH:

Also in the next couple of weeks, the Embedded Software team here at VDC Research finishes publication of a series of vertical market reports. These studies examine embedded developers’ demand and requirements for commercial OSs and software development tools within key vertical markets.

Volume 1, covering embedded software technologies in the Automotive vertical is available now. Volume 2, available later this week, looks into the Industrial Automation and Control (IAC) and Energy / Power industries. Volumes covering medical devices, military/aerospace, and mobile phones will follow shortly.

Coming in 2013:

VDC’s Voice of the Customer Series: Security & The Internet of Things will give you the information you need to formulate and implement a best-in-class security strategy. From cars to smart-phones to the factory floor, security is becoming an increasingly critical consideration for enterprises, consumers, and the OEMs who provide them with a rapidly expanding range of Internet-enabled devices. This service will help you understand how organizations are approaching the big decisions of security risk management, technology and vendor selection, device deployment, and more. Learn about consumer awareness and perceptions regarding security across a range of device classes. This service is based on extensive primary research of engineering organization, enterprise and consumer behavior.

Embedded Security: The Bark is Bigger than the Bite, Part 1

Security has been top of mind with most executives of leading embedded suppliers who we spoke to in the past year. This should come as little surprise given the growing awareness of the potential impact of security breaches. As today’s devices and systems grow more complex and connected, this threat is growing exponentially. Time and again, we hear of some hacker or industrious engineering student demonstrating, either maliciously or as an educational warning, that a linked network may only be as secure as its most vulnerable element.

In a recent conversation with one of the foremost automated test and verification tool suppliers, an executive warned that while they hear overwhelming interest in security concerns across all verticals, actual investment in addressing the issue is not close to matching this professed concern.

Our findings do indeed confirm that within the Industrial Automation and Control (IAC) and Energy/Power industry, a distressingly high percentage of current projects involve no action to limit potential security issues. 

Security actions take four jpeg

Just over 42% of the engineers responding from IAC and energy/power market indicate no proactive actions have been taken to address security concerns on their current project. The fact that 40% state their current project has no specific security requirements should offer little relief. Our research indicates that many projects without specific security requirements certainly ought to have them. Lack of security prevention or mitigation does not mean no security threat exists. What should also be alarming is the percentage of respondents “very confident” their security requirements would be met on their current project was in the single digits!

This represents a large, potentially lucrative market opportunity for suppliers of security solutions. But it should be unsettling to everyone else with even a passing understanding of the potentially catastrophic impact of vulnerabilities in these markets. Heard of Stuxnet anyone?

 

In the next couple of weeks, the Embedded Software team here at VDC Research finishes publication of a series of vertical market reports. These studies examine embedded developers’ demand and requirements for commercial OSs and software development tools within key vertical markets.

Volume 1, covering embedded software technologies in the Automotive vertical is available now. Volume 2, available later this week, looks into the Industrial Automation and Control (IAC) and Energy / Power industries. Data in the exhibit above is based on findings from this volume.

FOR MORE INFORMATION:

For more information on security findings, including statistics from other verticals, please take a look at part two of this discussion, coming here soon.