Enterprise technology looks set to de-throne consumer tech as the dominant influence on innovation and disruption for 2015 as the internet-of things evolves, says Robert Hillard of Deloitte who gave us an insight into the 2015 Tech Trends Report.
There’s also lots of merger talk in tech this week with Intueri Education Group set to acquire Information Technology Training Institute for $1.1 million, Technology One has completed an agreement to purchase ICON Strategic Solutions for $10 million and shares in 1-Page spiked after the company struck a deal with global consulting giant Accenture.
Commentary
Finance News Network spoke with Robert Hillard, managing partner of consulting at Deloitte, seeking his views on the evolution of the tech sector as the firm prepares to deliver its 2015 Tech Trends report:
What are the key developments that will shape tech in 2015?
“This year we’re seeing a dramatic shift away from consumer driving enterprise technology, and back to enterprise driving consumer.
The technology that’s being used end-to-end in an enterprise is changing at an increased pace, enterprise is coming back to being right at the front line. The days of the CIO running a back-office department are long gone. It’s now impossible for any aspect of business to be able to execute effectively without having a very strong handle on what tech they’re using and what they’re competing against.”
So even the competitive landscape is changing?
“It’s harder than ever to identify who your real competitor is. In logistics, in retail and this year we’re going to see it particularly in financial services. It isn’t necessarily those advertising against you in the same sector, but rather someone coming completely from left field.”
What tech sectors are particularly pertinent to Australia?
“The trends that directly affect Australian business is the internet-of-things. It’s critical to the efficiency of our businesses. Particularly as we move to production ready in a number of our resources projects and those projects go online at a time of falling commodity prices when efficiency is absolutely key. Having the internet of things come online provides a huge range of opportunity for efficiency gain that Australian companies are increasingly taking advantage of.
Look at big data analytics, it just continues to be a really important capability for Australian business in taking advantage of the extra data that’s coming out of the internet-of-things and their digital engagement.”
M&A action
Intueri Education Group Limited
(ASX:IQE) will acquire Information Technology Training Institute for $1.1 million. The New Zealand based training institute provides internationally recognised computer and IT qualifications and will lay a foundation for Intueri’s entry into IT education. The deal is subject to conditions with 90 per cent settlement on completion.
Technology One Limited
(ASX:TNE) has completed an agreement to purchase ICON Strategic Solutions for $10 million. The ICON software is used across council websites in Australia and New Zealand to allow residents to track applications and permits, view planning schemes and browse community plans. The acquisition fits well within Technology One’s strategy of chasing business in local government. Technology One will invest further in the software, enabling integration to TNE’s Ci Anywhere platform which allows smart mobile device technology.
Social entertainment platform migme Limited
(ASX:MIG) has entered into the e-commerce market with an acquisition aimed at broadening its service profile. Singapore based migme has purchased an online entertainment shopping site called sold.sg from Singapore’s Soldgers Pte Ltd.
Shares in 1-Page Limited
(ASX:1PG) jumped after the Silicon Valley-based company struck a deal with global consulting giant Accenture (NYSE:ACN). The human resources start-up has entered into an agreement with Accenture to leverage the 1-Page sourcing and referral engine. Under the deal 1-Page says it will provide an innovative sourcing platform to help the company find, attract and engage the most talented candidate.
Growth
Quickflix Limited
(ASX:QFX) says it has achieved strong growth in new customers and streaming in the December quarter. The online movie rental subscription service reports customer growth has continued into the new year.
Freelancer Limited
(ASX:FLN) expects to continue strong revenue growth this year after receiving record cash receipts at the end of last year. The online job outsourcing company received $7.4 million in customer receipts in the fourth quarter, growing 42 per cent from the year before. CEO Matt Barrie has described the company’s growth as exceptional and highlighted record receipts from customers, registered users and posted projects.
iProperty Group Limited
(ASX:IPP) has confirmed it is expecting the highest ever fourth quarter revenues and EBITDA. The owner of property portal sites and related real estate services finished the December quarter with its highest ever quarterly billings of almost $8 million. The figure was up 57 per cent from the September quarter, up 29 per cent from the year before, and expected to result in record cash collection in the current quarter.
Shares in NewSat Limited
(ASX:NWT) plunged after the pure-play satellite communications company warned on its Jabiru-1 satellite project financing and construction arrangements. NewSat says given the delays in the recommencement of debt funding its payments to satellite manufacturer Lockheed Martin have become overdue.
Biotech
Shares is Prima BioMed Limited
(ASX:PRR) lifted after announcing an imminent financial milestone payment to be received by its subsidiary Immutep from GSK. The globally active biotech company says the first subject dosing in the Phase 1 trial triggers an undisclosed single digit million dollar financial milestone payment. The development comes after Prima BioMed acquired French biopharmaceutical firm Immutep SA for about $30 million last year.
Cellmid Limited
(ASX:CDY) has been granted a US patent for the use of midkine to treat heart failure. The Australian biotech company says midkine has been shown to promote new blood vessel growth in affected tissue and can increase long term survival rates from non-fatal heart attacks.
-- John Treadgold
