Open Text Leads in ECM Market Share, According to Top Analyst Firm
Open Text Tops List of the Industry's Largest Vendors
Chicago, IL - 2006-05-30 - Open Text Corporation (Nasdaq: OTEX, TSX: OTC), a leading provider of Enterprise Content Management (ECM) software, said today that a study published May 18 by analyst firm Gartner, Inc. (NYSE: IT) ranks Open Text as the global market share leader in ECM. The study, titled Market Share: Enterprise Content Management Software, Worldwide, 2003-2005 and authored by Tom Eid, vice president, Gartner Dataquest Research, states that Open Text holds the largest share at 13.2 percent among 11 leading vendors and a large group of smaller vendors. Gartner tracks more than 60 vendors in the ECM market.
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The comprehensive study points out dramatic changes in the ECM industry over the last few years, in particular, market consolidation, and states that about 51 percent of the market, as measured by total software revenue, is held by just four vendors, including Open Text. The ECM market is dynamic, marked by technology consolidation, improving software product functionality and performance, and shifting preferences to suites over best-of-breed solutions, the study said.
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The report also identified technologies that are seeing strong growth, including records management, digital asset management, Web content management and e-forms. Content archiving is also viewed as an increasingly important technology due to compliance demands. According to Gartners report, Organizations are experiencing increasingly complex demands for compliance and content production because of e-discovery motions. Content archiving represents a growth opportunity for ECM vendors and will serve as a unifying architecture for managing the diverse fixed content within an organization, and may use much of the existing content management infrastructure.
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In a trend toward generating greater value from content, the report also cites the growing importance of line-of-business and vertical solutions: Delivering ECM aligned to line-of-business and vertically specialized processes increases the overall value of the ECM software and its ability to support business processes and better align content to process requirements.
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We believe Gartners report captures the strong position weve built as a leader in the global ECM market, said Kirk Roberts, Executive Vice President of Products, Solutions & Marketing at Open Text. The trends cited in the study are in line with our strategic direction. Today, were focused on providing line-of-business and vertical-market ECM solutions that address customers increasingly complex process and compliance requirements.
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In addition to the market share ranking, Gartner also positions Open Text in the Leaders quadrant of its most recent Magic Quadrant* for Enterprise Content Management, 2005, published November 7, 2005 and co-authored by James Lundy, et al. Gartner's well-known Magic Quadrants are graphical representations of the firms view of vendor performance in a market segment, based on the vendors vision and ability to execute.
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A copy of the market share report may be obtained by going to www.gartner.com
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About Open Text
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Open Text is a leading independent provider of Enterprise Content Management (ECM) solutions that bring together people, processes and information in global organizations. Today, the company supports 20 million seats across 13,000 deployments in 114 countries and 12 languages worldwide. For more information on Open Text, go to: www.opentext.com
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*The Magic Quadrant is copyrighted 2005 by Gartner, Inc. and is reused with permission, which permission should not be deemed to be an endorsement of any company or product depicted in the quadrant. The Magic Quadrant is Gartner, Inc.s opinion and is an analytical representation of a marketplace at and for a specific time period. It measures vendors against Gartner defined criteria for a marketplace. The positioning of vendors within a Magic Quadrant is based on the complex interplay of many factors. Gartner does not advise enterprises to select only those firms in the Leaders quadrant. In some situations, firms in the Visionary, Challenger, or Niche Player quadrants may be the right matches for an enterprise's requirements. Well-informed vendor selection decisions should rely on more than a Magic Quadrant. Gartner research is intended to be one of many information sources including other published information and direct analyst interaction. Gartner, Inc. expressly disclaims all warranties, express or implied, of fitness of this research for a particular purpose.
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Source: Open Text