IDC predicts the ERP market will hit US$117 billion in 2005

Analyst group, IDC is predicting that the enterprise resource planning (ERP) market is due to hit US$117 billion by 2005. Growing e-commerce momentum and an increasing number of mergers will fuel 10.5% compound annual growth rate (CAGR) in the ERP space.According to IDC, companies that have already invested in large ERP and corporate web portals will increasingly leverage these systems when conducting business online.From the worldwide vertical market perspective, the leading industries that use ERP include discrete manufacturing, services, process manufacturing, and government. Resource industries, utilities, and communications and media will experience a growth rate higher than that of the overall market.“The communications and media sector is one that will experience the biggest change in terms of regional contribution,” says Anne Lu, senior analyst with IDC’s Vertical Markets research team. “During the forecast the ERP market for this sector is expected to shift from North America to the rest of the world. The spending on ERP by Asia/Pacific, Latin America, and EMEA will be on the upward expectation.”