The Swedish market for business analytics, encompassing business intelligence tools, analytical applications, and datawarehouse applications, had a very good year in 2007 with growth of 9.6%.

"The business analytics market performed well above the overall software market," said Brian Troelsen, research manager, IDC Nordic, "with strong growth in the most important market segments."

However, going forward the market picture becomes more blurred due to the impact of a potential financial downturn. "Traditional heavy users of business intelligence tools in particular can be found in the financial sector and vendors may experience increased difficulties in selling into this and other vulnerable verticals," said Troelsen.

The market has also seen unprecedented levels of consolidation. "It is essential that these consolidators quickly structure their future product roadmap to avoid customer confusion. If they don't, this will create a significant opportunity for the remaining vendors to exploit any customer uncertainties to gain market share," said Troelsen.