Some of my observations on the way ISVs will move in the coming years:

  1. Open source will never replace enterprise level proprietary applications. I am willing to debate this with anyone who thinks otherwise
  2. Business offerings will involve offering of services, disguised as software. ISVs would definitely want to continue offering their on-premise versions
  3. Surprisingly, many ISVs still consider offering Service based delivery model as a competitive advantage. This talks about the adoption levels as opposed to market predictions. Add to this, there are many ISVs who have SaaS characteristics built in their software, and still dont call them SaaS enabled.
  4. Integration technologies, be it 3rd party tools or utilities built in their software, would become very important.
  5. Customization Vs. Configuration will remain an eternal debate
  6. Debate on engineering methodologies will continue, and whatever that is used would essentially be called a differentiator.
  7. Each of the implemented software will outlive their usefulness, effectively increasing the ability of ISVs to garner more revenue
  8. Professional services revenue will outdo license revenues by and large
  9. Move towards SOA-based platform will increase
  10. ISVs would want to introducte newer and innovative products, and also upgrade their existing products without substantial increase in R&D expenses. Effectively, this means doing more with less and optimization of development processes.