The UK software industry is not the dead duck that gloom merchants might like to describe it as with it instead being an ideal sector for investment.
According to a report into the UK market by TechMarketView the top 50 home-grown companies are experiencing revenue growth of 20% plus and operating profit increases of 25% in the last year.
Overall the sector, with 400 plus companies, is generating global sales of£6bn and proving to be a solid exporter.
But there are a number of problems that are having a negative impact on the British market including a lack of available financial backing, particularly when compared to the US,and a local rather than global mentality.
The consequences of those problems might not only mean that the sector misses out on investment but that some players could become victim to foreign takeover.
“There is a tendency to write-off the UK software industry because most of the familiar software companies are in the US. That would be a big mistake,” stated Richard Holway, chairman of TechMarketView.
He added that the UK software industry had never had a problem with quality or the innovation of its people but needed to improve its management and marketing skills and gain investment to grow operations beyond the local market.