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Software market doubles to record high in FY 2008-09

by Staff Writers •
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The Software market demonstrated extremely strong growth in the 2008-09 financial year (FY), finishing at almost double the value of the previous year.

According to Intermedium’s latest report, the Federal Government Software Market 2008-09 - Annual Overview, the Software market has acheived a record high for the last five years.

Ranked behind IT Services and Telecommunications Services, Software is the third largest category in the Federal Government market for 2008-09 by total contract value.

Contracts in this category accounted for just over 13% of all ICT contracts in 2008-09 by number; overall this represents a relatively small portion of this increasingly concentrated market. 

Defence purchasing (Defence together with DMO) accounted for more than half of total software contract value with two extremely large contracts, one with IBM and the other with Data#3 under the Microsoft  Volume Sourcing Agreement contributing significantly to this result.

Following Defence, the Department of Finance and Deregulation (Finance) and Centrelink were the largest purchasers of software.

While overall contract value increased dramatically year-on-year from 2007-08, the number of contracts declined by 3 per cent.  The largest contract reported was the IBM enterprise licence agreement with the Department of Defence for more than $250m.

This information is extracted from Intermedium’s Federal Government Software Market 2008-09 - Annual Overview. For more information and to purchase copies of the report, contact sales on (02) 9955 9896.

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