Motivation for buying computers is software, as Visicalc, entertainment.
Waiting for a new `killer app.' No `Charlie Chaplin' yet.
HW vendors' cost is 70% and Customers' cost is 80% software.
Software was oriented towards productivity of existing tasks.
Today there are new applications, oriented towards marketing advantages, as Federal
Express, circle dialing at MCI, goods selection at Levi's.
Software industry (5% of US GDP), total about $100B.
Top 5 SW companies: IBM, Fujitsu, EDS, Microsoft, Nintendo:
IBM 18B, Fujitsu 8B, EDS (DP services) 8B, Microsoft 4B, Nintendo 3, ...
Self-identified software professionals work mainly (3/4) outside of the Computer
and SW services industry.
Services is big growing faster than Systems, games is growing.
Mirosoft grew to 1993 at 73%/an. compounded.
Rate of change of chip performance is still inceasing.
Software in a box is as old in the PC - late 1960.
Market share of US is large 57% services, 75% products.
US dominance due to: research funding, Software is real, not as much pirated here,
support of entrepreneurs (status, venture capital, acceptance of failure), youth is
accepted, tolerance of `good enough' quality.
o ``Defects can fall below the bar''.
Concerns:
Software product management is hard. Product plasticity, very small literature.
Pain due to time-to-market pressure, friction on teams, ...
Suggestion: Look at Microsoft Foundation conference videotape.