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Hard time for BI minnows

Business Intelligence revenue will grow 10% in EMEA during the coming year, according to Gartner.

The analyst firm said last week BI would be a US$1.95 billion market by the end of 2007, but warned that, despite increasing investment in the technology, the sector would get tougher next year with increased competition from the major software vendors such as Oracle, SAP and Microsoft.

Gartner warned that price pressure, increased competition and consolidation spelt tough times ahead for smaller companies in the market.

The firm predicts BI revenue from these ‘mega vendors' will grow three times faster than those from the business intelligence pure-play vendors in 2007, with sales increasing by 20% compared to 6% for the more specialised BI firms.

Gartner said the BI heavyweights controlled just over a fifth of the global market in 2006, and it expects this figure to rise to more than 30% by 2010.

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