March 8, 2019, Posted by Ron Lissak
As part of Catapult’s Smart Data Initiative, we are closely tracking trends in over 55 sub-sectors of the broader data & analytics ecosystem, including embedded analytics. Jinfonet’s recent acquisition by Logi Analytics (Catapult advised Jinfonet on this transaction) is part of a consolidation trend in embedded analytics that we see continuing in the months and years to come.
The first wave of consolidation started back in 2014 with TIBCO acquiring Jaspersoft for $185M and OpenText’s forking out $300M for Actuate, followed shortly thereafter by Hitachi’s acquisition of Pentaho for over $500M. Marlin Equity Partners’ acquisition of Logi Analytics in 2017 signaled a new wave of consolidation, accelerated by Logi’s own recent acquisition of Jinfonet Software. All signs point to accelerating M&A activity in the space as strategic buyers compete for the remaining pure plays in the space.
The embedded analytics market, expected to exceed $60B in the coming years, is benefiting from three major trends:
Modern organizations require insights to be closer to the business users. Users are increasingly unwilling to wait for the time-consuming process steps required to merge the analytic output from their general-purpose business intelligence tools into the tailored workflow of their enterprise applications.
As a result, developers are being asked today to incorporate ever more analytic functionality directly into the applications they are responsible for delivering. Explosive growth in the enterprise application market (estimated to be worth $259.5B by 2022) is causing developers to turn to the embedded analytics vendors with the most complete solutions to help them meet these new user requirements. The leading embedded analytics vendors are empowering developers with the tools to provide contextually relevant analytics to a broadening audience at the point of decision. In other words, with the growing use of embedded analytics, enterprise users can now glean actionable insights from data that is tailored to their specific workflow within the applications they use every day.
We’ve put together a proprietary report on embedded analytics to contextualize the market and to help stakeholders from across the ecosystem identify strategic opportunities. Click here to view the report.
If you would like to learn more about market dynamics in embedded analytics or if you’d like to discuss how we might be able to help your company, please let me know: firstname.lastname@example.org
Catapult Advisors is an investment bank serving the data-driven economy. Our specific expertise includes smart data (big data & analytics), communication technologies, and marketing technologies. Founded in 2001, the firm provides M&A and capital raising advisory services to privately-held companies, public companies, and several of the world’s leading private equity firms. Catapult has advised companies in the United States, Canada, Europe, Asia Pacific, and Israel. Our goal with our Smart Data Initiative is to better understand the broader big data and analytics market, it’s 1,400+ private companies, the acquisition focus of the large strategic acquirers, and the investment interests of growth-stage investors. By combining this deep sector expertise with our extensive transaction experience, we are able to provide value-added M&A and capital raising advice to our clients.
Ron Lissak is the Managing Partner at Catapult Advisors, an investment bank providing M&A and capital raising advice to leading software and internet companies. https://www.catapultadvisors.com