It’s been awhile since a BI company went public, so I’m excited by the news of QlikTech’s IPO and what it bodes for our industry. Following the Era of the BI consolidation, when the Big 3 BI vendors grew stodgy and were consumed by mega-vendors like IBM, Oracle and SAP who were looking to add BI functionality (a.k.a. “buy their maintenance stream”) to their existing products, it’s great to see Wall Street showing enthusiasm for a pure BI player. It clearly demonstrates that the market sees significant value in BI innovation.
QlikTech did a great job of taking its technology and packaging it to appeal directly to the business user. It’s a proven enterprise sales model, similar to what Arbor Software did in 1995, and QlikTech should be congratulated for being smart and adapting to an important trend. It’s encouraging to see their market valuation and I’m sure it’s because:
- Their strong growth rate
- The BI market is very large and getting much bigger
- Newer technology that enables direct sales to business users (not to mention a very sexy UI)
- Other publicly held BI companies are relatively flat
Appealing directly to business users, making it easy for them to upload their data and begin analysis without waiting for support from developers is critical. Every BI vendor must do this and more. The market is also screaming for data integration (simple as well as sophisticated), deployment options (on-premise, private and public clouds/virtualization), and big data analytics just to name a few.
So my congratulations to QlikTech for what they achieved and for raising the excitement level in the BI industry even higher. With this outstanding achievement, I have to wonder how Wall Street might receive a company that is not only financially successful and has great growth momentum, but is also supported by an open source community, has its technology and sales model appealing to more constituents—developers, system integrators, and business users—and has its technology innovated around all the key BI trends. Hmm…