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Unformatted text preview: CA (vendor analysis) 10 September 2008 Graham Titterington Table of Contents................................................................................................................1 CA.......................................................................................................................................2 SWOT analysis.................................................................................................................2 Products and services ......................................................................................................5 Strategy analysis ..............................................................................................................8 Financial analysis ...........................................................................................................13 © Ovum 2008. Unauthorised reproduction prohibited. 1 of 14 CA 1 CA Ovum view CA is an industry bellwether with products spanning infrastructure management, service management, security management, data center automation, application performance management and IT governance. Under new leadership and with a clean bill of financial health, CA is once again focussed on growing its businesses. CA’s recent reorganization of resources, in addition to the new solution groupings of products, should improve its sales-force performance. As of March 2007, it had completed the reorganization of both EMEA and North American sales forces and reduced sales headcount by 20%. As a part of the reorganization, it regrouped its Enterprise IT Management (EITM) offerings under three main areas: Govern, Manage and Secure. CA is a company on the move. Although it is up against tough competitors, some of the new thinking and architectural approaches that are the foundation for the company’s product directions are strong. The company’s successful acquisition policy has also helped it grow its product portfolio. CA continues to solidify its position and stabilize its business. The company has clearly improved in terms of getting its whole organization moving in the same direction, and is making progress in winning back the respect of customers, partners and competitors. Its corporate portfolio provides a number of building blocks on which to craft a strategy to automate IT process and business service in the extended enterprise. CA is gaining ground in its core systems management and security businesses. The company’s sales-force reorganization in the last fiscal year in North America and EMEA, and its continuing restructuring efforts could cause some near-term disruptions but will provide positive results in the long term. In 1Q07, the company announced a $200-million cost savings plan, which should be complete by the end of 2008. SWOT analysis Strengths • Successful record of acquisitions — CA has always been an acquisitive company and it has grown many of its product lines, like Wily, through acquisitions. It has a strong track record of integrating its acquisitions. For example, the Clarity PPM product team has tripled in size since CA acquired it. • Service management capabilities — Even as it continues to compete vigorously in its traditional markets, CA is aggressively expanding and promoting its offerings in the area of service management (SM). SM, which © Ovum 2008. Unauthorised reproduction prohibited. © Ovum 2008. Unauthorised reproduction prohibited. 2 of 14 CA 2 aims to give customers the insight, confidence and agility needed to make IT an integral part of the business it supports by managing the life cycle of services and their supporting assets, has emerged as CA’s central go-tomarket theme. Given the size of CA’s product portfolio — one that has been regularly expanded via acquisitions — CA is well positioned to compete with IBM, HP, BMC and other vendors of IT service management solutions. • Flexible pricing model — CA has a flexible pricing model, FlexSelect, which includes term-based subscription and perpetual software licensing. CA shows greater flexibility than other software providers like BMC in negotiating custom pricing, such as for revenue-sharing deals with service providers and is competitive in pricing and discounting. It also encourages enterprise-level agreements (ELAs). CA has moved to a rateable revenue-recognition model, reducing the pressure to renegotiate customer contracts at specific intervals, like at the end of a quarter or at the end of the year. This has helped CA build stronger customer relationships. Weaknesses • Imbalance between successful products and BSM — CA has had difficulty in finding the right balance between successful products and the promotion of an integrated Business Service Management (BSM) vision. Compared to competitors like BMC Software and HP, CA lacks visibility in this area. CA’s acquisitions added several leading products to its portfolio, and it is understandably more difficult to sell a broad solution concept like BSM than a leading stand-alone product. To overcome this obstacle, CA must articulate a tiered message that attracts point solutions customers as well as clients looking for a BSM strategic partnership. • Focus on products in areas where consultancy is dominant — CA derives less than 10% of its revenue from professional services and is more dependent on partners than companies like IBM. It also faces an uphill fight to rebuild its reputation following its own governance problems, which is not ideal for a vendor that is selling its governance to its customers. Opportunities • Resurgent demand for mainframes — The mainframe is still very relevant when it comes to addressing the challenges that organizations face today. With budgets tightening and staff numbers being reduced, the mainframe is emerging as a budget-friendly alternative. Another factor that works in favor of mainframes is the demand for better governance and compliance. This is an area where mainframes are strong, particularly as the number of different compliance requirements increase. According to CA, there has been a revival in mainframe usage among the top 4,000 global companies, with an annual 15% compound growth in the millions of instructions per second, or MIPS, the current standard unit for mainframe capacity planning. CA can capitalize on this opportunity since it is one of the top players in the mainframes market. © Ovum 2008. Unauthorised reproduction prohibited. © Ovum 2008. Unauthorised reproduction prohibited. 3 of 14 CA • Embracing ITIL best practices — Intertwined with the Enterprise IT Management (EITM) theme is CA’s adoption and promotion of the best practices, life-cycle governance and management processes defined by the industry standard IT Infrastructure Library (ITIL) specifications. Originally, the ITIL specifications concentrated on optimizing activities required to support the day-to-day operation of data centers and desktops. For example, they focused on such operational management areas as problem/incident management, change management and configuration management. With the introduction of ITIL version 3 in June 2007, the industry discussion will increasingly focus on a new, broader definition of IT services — one that connects overall IT governance, application development/test/QA, runtime operations, and management of third-party services ranging from outsourcers to software-asa-service (SaaS) providers. With its SM portfolio, CA is well positioned to address this broadening of the traditional systems management market. • Strong growth of Clarity PPM market — This market grew by over 40% in FY2008. Associated professional services grew slightly faster. IT governance is the underlying driver. Substantial investment since CA acquired the business has placed it in a strong position. CA has plans to offer Clarity as an online service and to expand its marketing into new geographical markets. • 3 Strong partnerships — CA has come a long way in the last couple of years in tuning its attitude towards partners and partnering overall. Company executives from the top down now include partnering as a key component of CA’s overall strategy. Its recent partnerships with large companies like Microsoft, Accenture, and Deloitte, as well as smaller companies such as Opalis and Eurekify, are steps in the right direction. This partner-centric approach can bring several opportunities for growing its business. Threats • Over-dependence on the EITM theme — While CA has a good story to tell relating to its EITM capabilities, there is an element of risk in building the company strategy around a single, potentially trendy theme. While automation, governance and management will always be fundamental to a successful business, specific approaches do come and go. • Economic slowdown — The US constitutes the major market for CA, accounting for 52% of its total revenues in FY2008. A slowdown in the US will have a negative impact on IT spending and will impact the company’s overall revenues. • Intense competition — CA faces intense competition from companies like HP, IBM, and BMC in all its markets and across all business lines. New competitors such as Microsoft and Oracle are challenging the IT management markets. CA is now faced with the dual task of beating its traditional competitors (BMC Software, HP and IBM) and these newcomers. © Ovum 2008. Unauthorised reproduction prohibited. © Ovum 2008. Unauthorised reproduction prohibited. 4 of 14 CA 4 Products and services Products Three themes characterize CA’s products: governance, management, and security. CA has consolidated its product portfolio into these three areas and supported them with a stronger configuration management database (CMDB), which provides the technological foundation through a unified service model (USM) common to all CA solutions. CA has defined 18 capability solutions, grouped within these three categories. Govern • CA Project and Portfolio Management — Monitors the alignment of IT investment decisions with business strategy and provides real-time views of an organization’s investments, initiatives and resources. • CA Information Governance — Protects and manages information throughout its life cycle. • CA GRC Manager — Manages critical risk and compliance initiatives. Manage • CA IT Asset Management — Enables management of IT assets throughout their life cycle, from requisition to retirement and disposal, for optimized asset utilization, regulatory and policy compliance, and cost savings. • CA IT Client Management — Enables critical insight into IT assets and automates the daily processes needed to efficiently manage enterprise client devices through complex, time-consuming life-cycle events. • CA Service Level and Catalog Management — Simplifies the process of negotiating, defining, managing and improving the quality of IT services at an acceptable cost to the business, and it defines and publishes service offerings through an IT service catalog. • CA Change and Configuration and Release Management — Unifies the handling of infrastructure and application changes, automating compliance policies, improving service availability, and reducing the risk that would result from uncontrolled changes. • CA Service Desk Management — Automates IT processes to consolidate, log, track, manage, and escalate incidents and problems. Accelerates detection and problem resolution, maintains accurate configuration details, and minimizes the risk of change. • CA Application Performance Management — Manages the performance and availability of packaged and custom-built applications, portals and serviceoriented architecture (SOA). © Ovum 2008. Unauthorised reproduction prohibited. © Ovum 2008. Unauthorised reproduction prohibited. 5 of 14 CA • CA Service Availability Management — Integrates event and performance management across all domains, systems, networks, storage, databases and applications. • CA Network and Voice Management — Provides integrated fault and performance management of heterogeneous data, IP telephony and legacy voice networks. • CA Dynamic and Virtual Systems Management — Discovers, monitors and automates the management of heterogeneous, virtual and clustered system environments, ensuring availability and performance. • CA Workload Automation — Dynamically automates the workload across multiplatform environments. • CA Database Management — Provides advanced technology and integration to manage increasingly large and complex databases. • 5 CA Recovery Management — Provides comprehensive cross-platform backup/recovery, disaster recovery, data replication and failover to securely manage and protect data resources. Secure • CA Identity and Access Management — Automates the management of a user’s identity through its life cycle, and ensures secure access to the range of critical IT resources from the Web to the mainframe. • CA Security Information Management — Provides centralized management of real-time events and compliance reporting. • CA Threat Management — Prevents spyware, viruses, worms, spam and malicious content from infiltrating and infecting a customer’s network, email and business applications. The Capability Solutions share a Unified Service Model, which is maintained in a configuration management database (CMDB) and serves as the centerpiece of CA’s architecture for delivering EITM. The Unified Service Model provides a 360-degree view into the technology, assets, people, projects and processes supporting any given service, and the relationships among these components. Until recently, integrating workflows and information across CA’s diverse portfolio required extensive reliance on professional services. This brittle and difficult-to-integrate environment was one of our chief concerns regarding CA in the past. In 2006, however, the company took a major step to improve its ability to integrate data and processes with the acquisition of Cendura, which added a comprehensive CMDB architecture and out-of-the-box discovery tools for major application suites to the CA portfolio. To further address its integration needs, CA has created a common architectural foundation for its products called the CA Integration Platform. The Integration Platform leverages service-oriented architecture and event-driven capabilities and concepts to achieve better integration across the large and diverse CA portfolio. © Ovum 2008. Unauthorised reproduction prohibited. © Ovum 2008. Unauthorised reproduction prohibited. 6 of 14 CA 6 Services Professional services revenue has accounted for less than 10% of CA’s total revenue for the past two fiscal years. In fiscal 2008, professional services revenue totaled $383 million, a 9% increase from the previous year. At the end of fiscal 2008, CA employed about 1,500 people in its CA Services group. CA Services supports the full suite of Govern, Manage and Secure products. CA Services’ major focus is the implementation of CA software. A best-practices, rapid-time-to-value approach is employed that lowers risk and achieves faster time-to-value across the spectrum of CA solutions. Each implementation engagement is delivered in phases designed to demonstrate results within 30-90 days. Education and production optimization are included to increase customer success. People, process and technology are addressed throughout the nine stages of deployment, which span formal project initiation, requirements definition, architecture and design, integration and configuration, quality assurance and test, knowledge transfer, production deployment, and final project closure. Each project adheres to a strict governance model, and is overseen by certified project managers. Deployment Playbooks, which contain all the tools and best practices required for successful implementation, serve as the foundation for delivery. CA Services uses four-stage maturity models to assist customers in understanding their current state and planning for increasing levels of efficiency and effectiveness. Models identify a framework of capabilities for each type of deployment. CA Education offers customers a “Unified Learning Approach” that spans assessment, preparation and measurement. The free online Education Needs Assessment Tool captures a snapshot of individual knowledge and skills. Customers are able to understand the readiness of their teams at an early stage and align training for maximum business benefit. They can choose from virtual or traditional learning, Web-based or instructor-led, customized solutions and blended learning. In addition to meeting the needs of an implementation project, education services can help to improve productivity and return on investment in the post-deployment phase. CA’s Technical Support services provide product support and maintenance for CA’s offerings. CA Technical Support’s main enterprise offering is called CA Business Critical Support (CA BCS). It includes a range of CA-provided and self-service features, including unlimited calls for support issues, remote-problem analysis and a self-service portal. The portal is used by more than 200,000 registered users to perform tasks such as opening incident reports and downloading patches and fixes. Beyond the core CA BCS service, CA markets three extra-cost CA BCS custom offerings: • CA Support Availability Management — Aims to align CA’s Technical Support with the customer’s operational plans in a way that maintains and improves the customer’s return on its software investment. © Ovum 2008. Unauthorised reproduction prohibited. © Ovum 2008. Unauthorised reproduction prohibited. 7 of 14 CA • CA Targeted Support — Provides the customer with a named support engineer who understands the customer’s IT environment and business goals and coordinates support around a specific CA product or solution. • 7 CA Extended Support — Provides support for customers that need to maintain a CA solution or product beyond its end-of-service or end-of-life date. Strategy analysis Strategy objectives CA is pursuing a multi-year, four-part growth strategy, centered around the EITM vision, to enable a competitive cost structure and move the company from transaction-oriented sales to a relationship focus on the largest enterprise customers. The strategy objectives followed for achieving this transition revolve around: • Internal product development/enhancement — CA is focused on enhancing its current offerings as well as developing new products to add to its portfolio. • Strengthening partner relationships — CA depends on a broad base of partners to improve its reach, complement its expertise in niche areas, fill gaps in product lines, and provide distribution support. • Expansion and restructuring of international operations — CA’s international activities revolve around restructuring and strengthening its market position and expanding offshore presence. • Strategic acquisitions — As part of its strategy, CA continuously evaluates strategic acquisitions to develop its product suites and enter into new markets. Strategy execution Internal product development/enhancements In FY2008, CA made significant progress on delivering new products and integrating products supporting the EITM vision. It shipped new versions or new releases of virtually every major product and integrated products from acquisitions with CA products like Unicenter Service Desk, Unicenter Network and Systems Management, Unicenter Asset Management and the security products. The company also introduced product enhancements and launched new products. Govern • Realizing that the technology used for managing IT portfolios is also suited for managing risk, CA is extending its Clarity tool with a new piece aimed at compliance. CA’s new governance, risk, and compliance offering adds new functionality, covering risk management and automation of IT governance controls. © Ovum 2008. Unauthorised reproduction prohibited. © Ovum 2008. Unauthorised reproduction prohibited. 8 of 14 CA • CA has launched a new version of CA Clarity Project and Portfolio Management (PPM) software, as well as a new service delivery approach and a personalized training tool for CA Clarity PPM. CA’s enhanced PPM offering contributes to the company’s Enterprise IT Management vision of unifying and simplifying IT management. CA has plans for further development of this product, which is currently CA’s fastest growing product sector. • 8 CA announced CA GRC Manager 1.5 in June 2008, enabling organizations to achieve complex governance, risk and compliance objectives. It allows them to test and cost governance and risk mitigation programs and balance cost with risk tolerance. Manage • CA has aligned the CA Unicenter Service Catalog with the ITIL version 3 specifications, and the version 11.2 added enhancements that make it easier to use, automate key back-end workflows, and provide more granular reports on how IT services are being consumed. It has a Web store to search and request services, custom forms, and a template workflow for defining rules and policies. • CA’s Change and Configuration Management (CCM) tool adds a new integration link generically branded SOA Integration Bridge that is intended to tie CA’s existing mainframe and distributed software change management (SCM) repositories to external offerings such as HP Quality Center (the testing products that came from Mercury Interactive), and to CA’s Service Desk products. Users can configure data mappings between products across it. • CA’s ITAM product now has a new Software Compliance Manager component that enables customers to manage their software licenses to reduce IT expenses and compliance risks. • CA has released new information and database management tools for mainframes. The File Master Plus for IMS and Database Management for IMS r11.6 both support the latest version of IBM’s mainframe database environment — IMS v10. • CA is adding .NET support to its midrange development tool Plex. The tool is getting a code generator for Microsoft’s C# language that complements what’s already available for Java and a host of legacy languages, such as C++, RPG and COBOL. Additionally, the new release of the tool supports ANT, the opensource build-automation tool that is popular with Java developers. • CA announced a new release of CA Recovery Management that includes new releases of CA ARCserve Backup, CA XOsoft High Availability (formerly CA XOsoft WANSyncHA) and CA XOsoft Replication (formerly CA XOsoft WANSync), offering advances in data protection, business continuity and disaster recovery. © Ovum 2008. Unauthorised reproduction prohibited. © Ovum 2008. Unauthorised reproduction prohibited. 9 of 14 CA 9 Secure • CA SiteMinder Web Access Manager r12 introduced new application and policy life-cycle management capabilities that, combined with its business-friendly definition of applications and data, speed the deployment of Web applications through controlled delegation of security administration. • CA SOA Security Manager r12 expands CA’s Web services security services by providing a Security Gateway that inspects security information contained in XML requests and SOA agents to extend authentication, authorization and audit capabilities for Web services deployed on application servers. • In June 2008, CA released r12 versions of CA Identity Manager, which provides centralized identity administration and automation of processes involved in provisioning access to users, and CA Access Control, which provides access management security for privileged accounts on both physical and virtual server platforms. CA also introduced CA Security Compliance Manager, a new product which centralizes and streamlines compliance processes such as access reviews, certification and attestation. • CA launched new versions of five mainframe security products for IBM z/OS to strengthen and automate the protection of corporate IT resources, while helping with legal and regulatory compliance. • CA has announced a deal with HCL whereby the Indian IT services company will take over research and product development for its entire threat management product portfolio, a range of products that brings in some $100 million in revenue annually. The products involved in the agreement cover antivirus, anti-spam, anti-spyware, integrated threat manager (ITM), host-based intrusion prevention system (HIPS), secure content manager (SCM), Internet security suite and firewall. Strengthening partner relationships CA partners with companies that add value to a CA offering in the form of an IT offering, a business solution or a regulatory solution. These partners include systems integrators for their process design, planning, and vertical sector expertise, and platform and application vendors such as SAP, Microsoft, Cisco and Oracle. It works with distribution partners who have specific market expertise. Some of these initiatives are listed below. Integrated solutions • CA has launched an improved Technology Partner Program across all of its business units, recognizing the need to support third-party software and hardware vendors that sell complementary products. Dozens of technology companies have had their products certified by CA as “CA Smart,” enabling them to participate in joint marketing and selling activities with CA. • In response to the growing need for comprehensive, easy-to-use and scalable data security and regulatory compliance, CA added Tizor to its Technology Partner Program. Tizor provides enterprise database monitoring and protection. © Ovum 2008. Unauthorised reproduction prohibited. © Ovum 2008. Unauthorised reproduction prohibited. 10 of 14 CA 10 The partnership will include integration between Tizor’s Mantra database auditing products and CA’s Security Information Management, which aggregates, correlates and prioritizes security events. This will enhance the protection of data and mitigate data risk, thereby meeting the auditing, data protection and reporting requirements of regulations such as PCI, SOX, GBLA and HIPAA. • To better understand and manage the quality of voice and video services, CA added Psytechnics to its Technology Partner Program to augment its Network and Voice Management Solution. The integration between CA eHealth Network Performance Manager and Psytechnics’ Experience Manager software allows operations staff to manage the quality of the data service and provide a realtime view of the user experience of voice and video service, covering noise, delay, distortion and echo. Operations staff can identify degradations in voice and data service and resolve problems before end-user service is impacted. • CA’s Enterprise Solution Provider Program supports the company’s partners by recruiting, training and educating resellers on CA products. In the past year, CA added global systems integrators such as Accenture, Deloitte, and PricewaterhouseCoopers to its list of partners. OEM partnership • CA announced an OEM partnership with Opalis that will enhance CA’s Data Center Automation offerings with the IT process automation technology from Opalis. Opalis’s software is already integrated with a number of CA products. This will broaden CA’s support for designing, building, and orchestrating workflows to manage complexity and improve service quality. Resale • CA signed a reselling deal with Eurekify, covering its role management product. The combination of CA Identity Manager and Eurekify Enterprise Role Manager improves the efficiency of the role discovery and role model development process, and then it leverages this foundation for identity management functions, including provisioning and user self-service. It also supports ‘smart provisioning’, which incorporates real-time role analytics into automated identity processes to simplify the user experience. Under the agreement, CA will resell Eurekify Enterprise Role Manager to support a solution for managing user identities and roles throughout their life cycles. • CA announced an agreement to resell Asentinel’s voice and data communicants cost management tools, and will initially tie them into its own IT asset management and security offerings. The resale agreement will help enterprises that have multiple providers for voice and data communications services. • CA formed the Recovery Management and Data Modeling organization to develop and package products that focus on these two market segments. Recovery Management ensures the availability, protection and recoverability of important data. Data Modeling simplifies the tasks of analyzing, designing and implementing applications and business processes. This group of database © Ovum 2008. Unauthorised reproduction prohibited. © Ovum 2008. Unauthorised reproduction prohibited. 11 of 14 CA 11 modeling products helps to visualize the relationships between business and technology, examine and validate planned changes, and manage maintenance of the information architecture. Mid-Market and Storage organization This customer segment spans from the enterprise down to the SMB sector with about 70% of the sales to mid-market companies with fewer than 1,000 employees or less than $300 million in revenue. This organization will deliver products for this market exclusively through CA’s channel, enabling partners to capitalize on the multibillion-dollar opportunity represented by the estimated 66,000 such companies around the world. Expansion and restructuring of international operations Expanding its presence in India. In October 2007, CA opened its India Technology Center (ITC) in Hyderabad. The state-of-the-art campus, which cost US$30 million to build, increased the company’s workforce in India to over 1,600, representing 30% of its global R&D staff. The ITC team will take a lead role in advancing CA’s EITM vision. The ITC team will also work with Indian systems integrators to help them with both their in-house IT needs and those of customers around the world. Restructuring operations in southeast Asia and Greater China. In late 2007, CA announced a new go-to-market strategy in various Asia-Pacific markets by which in-country partner organizations became the primary sales interface for the majority of customers in mainland China, Taiwan, Hong Kong, Singapore, Malaysia, Indonesia, Thailand and the Philippines. In most cases, the move formalized and strengthened existing relationships between CA and independent resellers. The new strategy reduced headcount across CA’s Asia-Pacific and Japan region by about 10%. Strategic acquisitions. CA has not recently featured in acquisition-related headlines as it is focussing on developing and simplifying its existing product suites. Future outlook CA competes with the other large players that have large product portfolios and integrated suites, and that emphasize storage, security or system management. They all target the same large, global 4,000 companies. CA needs to offer a differentiated value proposition that is more customer-centric than its competitors in order to grow its business. Although CA initially opposed the concept, it has recently chosen the software broker route. CA has been building the components of the software broker business for several years and has worked hard to develop customer relations and is now in a position to capitalize on its efforts. © Ovum 2008. Unauthorised reproduction prohibited. © Ovum 2008. Unauthorised reproduction prohibited. 12 of 14 CA 12 The storage software business will require investment to keep up with industry developments, including the increasing need to link replication capability with business requirements. CA’s operations are showing steady improvement after years of legal and accounting setbacks, but it still remains to be seen if CA can re-engage its customer base. Financial analysis Group analysis Table 1 CA key financial indicators $ million Subscription and maintenance Year ended March 2007 Year ended March 2008 Change YoY 3,458 3,762 8.8% Professional services 351 383 9.1% Software fees and others 134 132 -1.5% 3,943 4,277 8.5% Operating profit 214 854 299% Net profit 118 500 323% Operating margin (%) 0.05 0.20 *p.p Net margin (%) 0.03 0.12 *p.p Total revenues Notes: *Percentage points Source: CA For FY2008, total revenue was $4.277 billion, up 8.5% from $3.943 billion reported in fiscal year 2007. Total product and services bookings were $4.537 billion, up 15% from the $3.938 billion reported in FY2007. During the year, CA signed 61 license agreements greater than $10 million, for a total of about $1.4 billion, compared with 42 license agreements totalling about $1.1 billion in FY2007. Subscription and maintenance revenue associated with sales made directly to enduser customers was $3.36 billion in FY2008 compared with $3.16 billion for FY2007. Sales made through channel partners contributed $403 million to subscription and maintenance revenue in FY2008 compared with $299 million in fiscal 2007, principally due to items reclassified between direct and indirect business revenues, as well as favorable impacts from foreign exchange and growth relating to contracts executed in the prior periods. The increase in professional services revenue was driven primarily by growth in volume of Project and Portfolio Management, Identity and Access Management and © Ovum 2008. Unauthorised reproduction prohibited. © Ovum 2008. Unauthorised reproduction prohibited. 13 of 14 CA 13 Service Management implementation projects. For FY2008, software fees and other revenue of $132 million was a slight decrease from the $134 million recorded in FY2007, as higher up-front revenue was offset by lower financing fee revenue due to the decrease in the remaining number of contracts from the prior business model with extended payment terms. CA recorded revenue on an up-front basis of $97 million in 2008, compared with $86 million for fiscal 2007. In FY2008 revenue from the United States increased primarily due to growth from higher subscription revenue resulting from subscription licenses executed in prior periods. International revenue increased due to the favorable impacts from foreign exchange of $165 million as well as higher subscription revenue associated with an increase in deferred subscription value from contracts executed in prior periods, particularly in Europe. Geographically, the US was the major market, contributing $2.217 billion of the total revenues for the company, which was a 4% increase over the $2.131 billion recorded in FY2007. Europe contributed $1.299 billion, up 15% from $1.131 billion in the last fiscal year, while ‘Others’ contributed $761 million, up 12% from $681 million year on year. Ovum does not endorse companies or their products. Ovum operates under an Independence Charter. For full details please see For full details of Ovum's citation policy, see Whilst every care is taken to ensure the accuracy of the information contained in this material, the facts, estimates and opinions stated are based on information and sources which, while we believe them to be reliable, are not guaranteed. In particular, it should not be relied upon as the sole source of reference in relation to the subject matter. No liability can be accepted by Ovum Europe Limited, its directors or employees for any loss occasioned to any person or entity acting or failing to act as a result of anything contained in or omitted from the content of this material, or our conclusions as stated. The findings are Ovum's current opinions; they are subject to change without notice. Ovum has no obligation to update or amend the research or to let anyone know if our opinions change materially. © Ovum 2008. Unauthorised reproduction prohibited. © Ovum 2008. Unauthorised reproduction prohibited. 14 of 14 ...
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This note was uploaded on 11/19/2009 for the course NCKU Informatio taught by Professor Hero during the Spring '09 term at Accreditation Commission for Acupuncture and Oriental Medicine.

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