IDC Energy Insights’ IDC MarketScape Evaluates Energy Trading and Risk Management Vendors
FRAMINGHAM, MA, April 4, 2013 – IDC Energy Insights announced today the availability of a new report, “IDC Marketscape: Worldwide Energy Trading and Risk Management 2013 Vendor Assessment,” (Document #EI240388). Based on a comprehensive and rigorous framework, the new report assesses energy trading and risk management (ETRM) vendors based on current capabilities and future strategy. The evaluation resulted from a quantitative and qualitative assessment of the vendors' capabilities and strategies, supported by exhaustive, practical feedback from energy companies using ETRM solutions. Nine vendors are included: Allegro, Amphora, Aspect Enterprise Solutions, Brady, Murex, OpenLink Financial, SAS, SunGard, and Triple Point.
With the development of the identification of new energy resources, new regulations on commodity trading, the emergence of new exchanges and energy products, and the need to understand exposure to trading partners, oil and gas companies, utilities, merchant generators, hedge funds, and financial services companies need a way to understand the state of ETRM technology. This IDC Energy Insights study is intended to help buyers of energy trading and risk management software applications in their selection of ETRM applications.
The market for ETRM software continues to be a healthy market, although growth slowed in 2012. The worldwide market for ETRM software for utilities for 2010 is estimated at $307.1 million, growing to $403.1 million by 2015; for oil and gas companies, ETRM is estimated at $403.1 million, growing to $450.7 million by 2015. Markets are not additive, as there is overlap. IDC Energy Insights sees the largest growth happening in regions where new energy markets are getting established or where new products are making their way onto trading exchanges.
Highlights of the new report include:
• Besides the basics, energy companies want ease of integration, user friendliness, and rich functionality – especially associated with physical delivery.
• Over the past two years, vendors have moved to expand their reach through pursuing more asset classes, acquiring functionality in adjacent spaces, and expanding partnerships with professional service firms.
• Features and functionality will continue to be the mainstay of energy trading and risk management applications. Of note this year are logistics, oil and gas management, credit risk, compliance readiness, mobility, analytics, and geospatial visualization.
The study is composed of two sections. The first part involves definitions of the characteristics that IDC believes lead to success in energy trading and risk management. These characteristics are based on buyer and vendor surveys and key analyst observations of best practices. The second part of this study provides a visual presentation of multiple vendors in a single bubble-chart format. This display concisely exhibits the observed and quantified scores of the reviewed vendors.
According to Jill Feblowitz, IDC Energy Insights vice president, "Leaders in ETRM are characterized by having a rich set of functionality, ease of application integration, scalability, and a relatively long history in ETRM. All of the IDC MarketScape Leaders are able to support multiple commodities and have strong physical delivery capabilities. Leaders have demonstrated growth and have solid plans for the future."
For additional information about this study, or to arrange a one-on-one briefing with Jill Feblowitz, please contact Sarah Murray at 781-378-2674 or [email protected] Reports are available to qualified members of the media. For information on purchasing reports, contact [email protected]
About IDC MarketScape
IDC MarketScape vendor analysis model is designed to provide an overview of the competitive fitness of ICT (information and communications technology) suppliers in a given market. The research methodology utilizes a rigorous scoring methodology based on both qualitative and quantitative criteria that results in a single graphical illustration of each vendor’s position within a given market. IDC MarketScape provides a clear framework in which the product and service offerings, capabilities and strategies, and current and future market success factors of IT and telecommunications vendors can be meaningfully compared. The framework also provides technology buyers with a 360-degree assessment of the strengths and weaknesses of current and prospective vendors.
About IDC Energy Insights
IDC Energy Insights assists energy businesses and IT leaders, as well as the suppliers who serve them, in making more effective technology decisions by providing accurate, timely, and insightful fact-based research and consulting services. Staffed by senior analysts with decades of industry experience, our global research analyzes and advises on business and technology issues facing the utility and oil and gas industries. International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology market. IDC is a subsidiary of IDG, the world’s leading technology, media, research, and events company. For more information, please visit www.idc-ei.com, email [email protected], or call 508-935-4400. Visit the IDC Energy Insights Community at http://idc-insights-community.com/energy.