Following success rate of annual IT Predictions, firm announces new predictions for coming year

Nucleus Research, a global provider of IT research and advisory services, today announced its Top 10 IT Predictions for 2006. For two years in a row, Nucleus Research has accurately predicted major IT trends that impact both corporate end-users and vendors. The firm's predictions are based on analysis of thousands of corporate end-user case studies and vendor research.

For 2006, Nucleus Research is predicting the following IT trends:

1. Pricing Push Back – With more options for companies on how to buy software, vendors will feel more pressure to demonstrate value of maintenance fees.
2. Partners Get More Clout – Channel partners serve as ambassadors for vendors, providing vertical expertise and strong relationships with mid-market customers. As vendors seek to broaden their mid-market customer base, partners will play an increasingly critical role.
3. Open Source Applications – Budget constraints and a wider array of open source applications for end users are increasing the validity and value of this model. Vendors incorporating this format will be able to capitalize on this trend as demand continues to grow.
4. Remote Workers – Improved technology applications, increased commuting costs and market conditions will find corporations more willing to extend the benefit of working remotely to employees over the next year. This option will increase the loyalty of the workforce and possibly lower overhead costs.
5. SOA: Adoption Will Replace Skepticism – Savvy adopters are already using SOA to integrate siloed applications, retire costly legacy systems, and tighten relationships with partners. As these early adopters increase both the number of services developed, and the frequency of reuse, the higher their ROI will be.
6. Enterprises Will Clean House – Several trends are converging to compel businesses to shed unnecessary and redundant systems. Companies are increasingly using integration technologies such as Web services and service oriented architecture to rebuild patchworks with more elegant solutions.
7. More Demand for On-Demand – The On-Demand market continues to mature as both users and vendors of On-Demand solutions increase their sophistication of this technology sector beyond the basic low-cost point of entry. Competition will continue to increase across all levels improving the value for users.
8. Outsourcing Losing its Glamour – While the charm of offshore seems to be fading, the lessons learned from this exercise are being integrated into corporate IT strategies – effective project and contract management as well as collaboration – resulting in more distributed teams of programmers.
9. Google Challenges Microsoft – The Google-Microsoft battle will become the most interesting vendor fight to watch. As Google continues to take a bite out of Microsoft's consumer desktop dominance, the question remains whether Microsoft will simultaneously battle Google as it expands its role in the enterprise application market.
10. Wireless That Works – Common with most maturing markets, wireless access will increase as technologies to support it rise and competition in the market will continue to drive down costs. However, businesses and consumers will face more concerns around security and privacy, which will continue to drive innovation to overcome these hurdles.

"These predictions stem from the extensive, case-based research our analysts conduct on an on-going basis," said Ian Campbell, CEO of Nucleus Research. "Because our analysis is based on real-world scenarios, we have been able to make accurate predictions year after year. That is why companies choose Nucleus Research to help them maximize their investments in technology to achieve the best business results possible."

Nucleus Research maintains rigid standards in order to ensure the validity of its research. Nucleus Research analysts independently contact end users to assess their experiences using technology. Prior to interviewing technology customers, Nucleus Research analysts review the vendor Web sites, online technology publications, discussion forums and print journals to better understand customer demographics and profiles.

About Nucleus Research

Nucleus Research is a global provider of IT advisory and research services that provides CFOs, CIOs and their staffs with the real-world information they need to maximize the business returns from their technology investments. Its analysts blend financial analysis and case-based investigations with comprehensive technology expertise to deliver factual return-on-investment (ROI) data to organizations worldwide. The company uses an uncompromising set of processes and tools to evaluate the financial return on IT assets and is the only firm to gain certification by the National Association of State Boards of Accountancy. Nucleus Research has analyst experts across the entire enterprise software and hardware space and provides clients with ongoing advice to help with both short-term technology decisions and long-term strategic plans. For more information, visit nucleusresearch.com