Dive Brief:
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A new Gartner report predicts that businesses will soon move to building their own apps instead of buying them.
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The research firm's report estimates that by 2020, 75% of application purchases by businesses will be related to building apps rather than buying them.
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Gartner said these purchases will likely involve "a combination of application components that are differentiated, innovative and not standard software or software with professional services (for customization and integration requirements), or solutions that are increasingly sourced from startups, disrupters or specialized local providers.”
Dive Insight:
The new report also looked at other areas, including the shift away from on-premises software. It said more than 50% of new software implementations come from models including Software-as-a-Service, open source, hosted license, and on-premises subscriptions.
Human-resources management software is especially seeing this shift. By 2019, Gartner expects 28% of human capital management systems will be used in a SaaS model.
Gartner said the trend toward “build your own” may help businesses get the unique kinds of tech tools they need to gain a competitive edge.