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5 Predictions for the Enterprise Software Market in 2014

Jyoti Bansal

AppDynamics announced our 2014 predictions for the enterprise software market:

1. Enterprise IT will model Web companies, becoming more agile to expedite application deployment

To remain competitive and facilitate the increased pace of innovation in the enterprise, IT departments will retool to learn and adopt software development principles and processes from leading Web companies such as Google, Amazon and Netflix - which deliver innovation in days versus weeks - rather than from traditional vendors like IBM, Oracle and SAP.

This will allow enterprises to accelerate the delivery of applications to stay competitive in global markets, moving to weekly application release cycles instead of monthly or quarterly cycles and accepting the risks that come with a higher pace of change. Automated application testing and deployment will mean more repeatable processes, less manual effort and more predictable results.

2. "Bite-sized" applications will bypass IT teams

IT teams will be frequently bypassed as "bite-sized" applications that are refreshed often, delivered from the cloud and consumed across multiple device types, start to replace the traditional, rigid, "system-of-record" application suite.

3. Enterprises will require a different type of accountability across development and operations teams

Enterprises will measure their agility and commercial success based on shared key performance indicators (KPIs) such as productivity or revenue across teams, so that everyone is aligned and focused on what matters — the business.

Traditionally, enterprises have compensated development teams based on the delivery of new software features and the frequency at which they delivered them. Conversely, companies have measured operations teams based on ability to maintain application availability, health and uptime (e.g. 99.99 percent) rather than on the introduction of change and risk.

In 2014, enterprises will start to hold DevOps accountable to the same KPIs. Shared metrics will provide a new level of transparency and accountability, so that development and operations teams will know the exact impact their actions have on the business.

4. Enterprises will move to elastic production applications built for the cloud

In 2014, enterprise use of the public cloud will finally move from development and test applications to elastic production applications built for the cloud. Enterprises will begin using Amazon Web Services for elastic production applications, making them more accessible, more deployable and smarter in the cloud, using auto-scaling and auto-remediation capabilities.

These changes will allow enterprises to scale vertically and horizontally automatically and cost-efficiently, as demand for their business services fluctuates over time. This elasticity will also allow enterprises to avoid the high cost of over-provisioning resources ahead of time.

5. Enterprises will begin to focus on mobile-first applications and the end-user experience

IT will begin to shift focus from back-end services to mobile performance and the end-user experience. Enterprise IT will begin to measure customer success in using applications and evaluate the business implications of application performance.

Jyoti Bansal is Founder and CEO of AppDynamics.

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5 Predictions for the Enterprise Software Market in 2014

Jyoti Bansal

AppDynamics announced our 2014 predictions for the enterprise software market:

1. Enterprise IT will model Web companies, becoming more agile to expedite application deployment

To remain competitive and facilitate the increased pace of innovation in the enterprise, IT departments will retool to learn and adopt software development principles and processes from leading Web companies such as Google, Amazon and Netflix - which deliver innovation in days versus weeks - rather than from traditional vendors like IBM, Oracle and SAP.

This will allow enterprises to accelerate the delivery of applications to stay competitive in global markets, moving to weekly application release cycles instead of monthly or quarterly cycles and accepting the risks that come with a higher pace of change. Automated application testing and deployment will mean more repeatable processes, less manual effort and more predictable results.

2. "Bite-sized" applications will bypass IT teams

IT teams will be frequently bypassed as "bite-sized" applications that are refreshed often, delivered from the cloud and consumed across multiple device types, start to replace the traditional, rigid, "system-of-record" application suite.

3. Enterprises will require a different type of accountability across development and operations teams

Enterprises will measure their agility and commercial success based on shared key performance indicators (KPIs) such as productivity or revenue across teams, so that everyone is aligned and focused on what matters — the business.

Traditionally, enterprises have compensated development teams based on the delivery of new software features and the frequency at which they delivered them. Conversely, companies have measured operations teams based on ability to maintain application availability, health and uptime (e.g. 99.99 percent) rather than on the introduction of change and risk.

In 2014, enterprises will start to hold DevOps accountable to the same KPIs. Shared metrics will provide a new level of transparency and accountability, so that development and operations teams will know the exact impact their actions have on the business.

4. Enterprises will move to elastic production applications built for the cloud

In 2014, enterprise use of the public cloud will finally move from development and test applications to elastic production applications built for the cloud. Enterprises will begin using Amazon Web Services for elastic production applications, making them more accessible, more deployable and smarter in the cloud, using auto-scaling and auto-remediation capabilities.

These changes will allow enterprises to scale vertically and horizontally automatically and cost-efficiently, as demand for their business services fluctuates over time. This elasticity will also allow enterprises to avoid the high cost of over-provisioning resources ahead of time.

5. Enterprises will begin to focus on mobile-first applications and the end-user experience

IT will begin to shift focus from back-end services to mobile performance and the end-user experience. Enterprise IT will begin to measure customer success in using applications and evaluate the business implications of application performance.

Jyoti Bansal is Founder and CEO of AppDynamics.

The Latest

Private clouds are no longer playing catch-up, and public clouds are no longer the default as organizations recalibrate their cloud strategies, according to the Private Cloud Outlook 2025 report from Broadcom. More than half (53%) of survey respondents say private cloud is their top priority for deploying new workloads over the next three years, while 69% are considering workload repatriation from public to private cloud, with one-third having already done so ...

As organizations chase productivity gains from generative AI, teams are overwhelmingly focused on improving delivery speed (45%) over enhancing software quality (13%), according to the Quality Transformation Report from Tricentis ...

Back in March of this year ... MongoDB's stock price took a serious tumble ... In my opinion, it reflects a deeper structural issue in enterprise software economics altogether — vendor lock-in ...

In MEAN TIME TO INSIGHT Episode 15, Shamus McGillicuddy, VP of Research, Network Infrastructure and Operations, at EMA discusses Do-It-Yourself Network Automation ... 

Zero-day vulnerabilities — security flaws that are exploited before developers even know they exist — pose one of the greatest risks to modern organizations. Recently, such vulnerabilities have been discovered in well-known VPN systems like Ivanti and Fortinet, highlighting just how outdated these legacy technologies have become in defending against fast-evolving cyber threats ... To protect digital assets and remote workers in today's environment, companies need more than patchwork solutions. They need architecture that is secure by design ...

Traditional observability requires users to leap across different platforms or tools for metrics, logs, or traces and related issues manually, which is very time-consuming, so as to reasonably ascertain the root cause. Observability 2.0 fixes this by unifying all telemetry data, logs, metrics, and traces into a single, context-rich pipeline that flows into one smart platform. But this is far from just having a bunch of additional data; this data is actionable, predictive, and tied to revenue realization ...

64% of enterprise networking teams use internally developed software or scripts for network automation, but 61% of those teams spend six or more hours per week debugging and maintaining them, according to From Scripts to Platforms: Why Homegrown Tools Dominate Network Automation and How Vendors Can Help, my latest EMA report ...

Cloud computing has transformed how we build and scale software, but it has also quietly introduced one of the most persistent challenges in modern IT: cost visibility and control ... So why, after more than a decade of cloud adoption, are cloud costs still spiraling out of control? The answer lies not in tooling but in culture ...

CEOs are committed to advancing AI solutions across their organization even as they face challenges from accelerating technology adoption, according to the IBM CEO Study. The survey revealed that executive respondents expect the growth rate of AI investments to more than double in the next two years, and 61% confirm they are actively adopting AI agents today and preparing to implement them at scale ...

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IBM

 

A major architectural shift is underway across enterprise networks, according to a new global study from Cisco. As AI assistants, agents, and data-driven workloads reshape how work gets done, they're creating faster, more dynamic, more latency-sensitive, and more complex network traffic. Combined with the ubiquity of connected devices, 24/7 uptime demands, and intensifying security threats, these shifts are driving infrastructure to adapt and evolve ...

Image
Cisco