+353-1-416-8900REST OF WORLD
+44-20-3973-8888REST OF WORLD
1-917-300-0470EAST COAST U.S
1-800-526-8630U.S. (TOLL FREE)


Global Software Licensing and Monetization Market

  • ID: 3715874
  • Report
  • April 2016
  • Region: Global
  • 90 pages
  • Frost & Sullivan
Software Monetization, Billing, and License Enforcement Blur Boundaries as IoT Reinvigorates Growth and Innovation


  • Agilis
  • Cryptex
  • InstallAware
  • Mirrasoft
  • Reprise
  • Star-force
This market engineering research service provides revenue forecasts and market share estimates for the global software licensing and monetization (SLM) market. It covers hardware and electronic enforcement form factors and software/SaaS as well as embedded application verticals. The analysis provides detailed numerical forecasts with emphasis on the competitive implications of ongoing disruption and future market needs. The base year used for analysis is 2015 and forecasts span 2016 to 2021. Regional segmentation for NALA, EMEA, and APAC including revenue forecasting is provided. The research service also includes a discussion of market drivers and restraints and a detailed competitive analysis.

Key Findings

- SLM solutions will protect over USD Billion in software and software-powered products by 2022. Embedded software monetization is the fastest growing application of SLM technology. Industrial automation is the largest embedded segment today. Use is growing in healthcare, automotive, and telecommunications. Lower operating costs and optimized efficiency are major drivers of the “connect to profit” Internet of Things (IoT) paradigm.

- Profit margins are growing fastest, and revenue growth is most stable, for companies that are pivoting to a software mindset and offer usage-based pricing options. SLM is a key enabler of this transition.

- Many ISVs and embedded vendors continue to attempt to build their monetization layers in-house, but total cost of ownership and business agility are higher with a commercial solution.

- Companies tend to confuse the lines between business operations orchestration, billing, and software license monetization. Enforcement and back-office automation are critical characteristics of a full SLM solution.

- Counterfeiting, piracy, grey manufacturing, data theft, and malware infection remain serious threats for software and software-powered products. Modern SLM solutions are effective at tackling these threats while preserving product quality, reliability, and performance.

Key Questions this Report will Answer?

- Is this an industry or a market? Will these companies/products/services continue to exist or will they get acquired by other companies?
- What technical trends, including encoding technologies are shaping the marketplace today?
- What regional trends exist in digitization and digital TV, and what does this mean for global growht strategies for vendors?

Note: Product cover images may vary from those shown


  • Agilis
  • Cryptex
  • InstallAware
  • Mirrasoft
  • Reprise
  • Star-force
1. Executive Summary
  • Key Findings—Software Licensing and Monetization Market (SLM), 2016
  • Executive Summary—Market Engineering Measurements
  • Executive Summary—CEO’s Perspective
2. Market Overview
  • Software License Management in the Overall Digital Media Value Chain—Global, 2015
  • Market Overview—Understanding Software Monetization
  • Market Overview—Definitions
  • Market Overview—Complementary Markets
  • Interpretations of Software Monetization in Context
  • Market Overview—Segmentation
  • Market Overview—Segmentation by Function
  • Market Overview—Segmentation by Application
  • Market Overview—Regional Market Life Cycle Analysis
  • Market Overview—Key Questions this Study will Answer
3. Drivers and Restraints - Total Software Licensing and Monetization Market
  • Market Drivers
  • Drivers Explained
  • Market Restraints
  • Restraints Explained
4. Forecasts and Trends - Total Software Licensing and Monetization Market
  • Forecast Assumptions
  • Total SLM Market—Revenue Forecast
  • Revenue Forecast Discussion
  • Pricing Structure and Trends Discussion
  • Total Software Monetization Market—Percent Revenue Forecast by Form Factor
  • Software Enforcement—Revenue Forecast
  • Hardware Enforcement—Revenue Forecast
  • Revenue Forecast by Segment Discussion
  • Hardware Enforcement—Average Selling Price (ASP) and Unit Sales Forecast
  • Dongle Unit Shipment Forecast Discussion
  • Percent Revenue Forecast by Region
  • Percent Revenue Forecast by Type of Product
  • Software Segment of Total SLM Market—Revenue Forecast
  • Global Application-based Revenue Forecast Discussion
  • Embedded Segment of Total SLM Market—Revenue Forecast
  • Percent Revenue Forecast by Vertical for Embedded Segment of SLM Market
  • Industrial Automation Vertical of Embedded SLM Market—Revenue Forecast
  • Healthcare Vertical of Embedded SLM Market—Revenue Forecast
  • Automotive Vertical of Embedded SLM Market—Revenue Forecast
  • Telecommunications Vertical of Embedded SLM Market—Revenue Forecast
5. Market Share and Competitive Analysis - Total Software Licensing and Monetiztion Market

6. Regional Breakdown

7. Hot Company Watchlist

8. The Last Word

9. Appendix
Note: Product cover images may vary from those shown


  • Agilis
  • Cryptex
  • InstallAware
  • Mirrasoft
  • Reprise
  • Star-force
- This study covers market size, trends, competitive landscape, and growth strategies for the global software licensing and monetization market. This market is also referred to as SLM*, entitlement management, or software DRM*.

- SLM enables software publishers and intelligent device vendors to efficiently monetize their products, particularly for enterprise and networked deployments. In order to meet our definition of SLM a solution must provide 3 key functions: defining software versions and licensing rules (development); automating license issuance and invoicing (deployment); and ensuring that software is used in accordance with the terms of a purchased license (enforcement).

- This study discusses (but does not analyze) markets such as license compliance management, software asset management, application hardening, and analytics. It also discusses correlated technologies such as business operations orchestration and software-as-a-service (SaaS) billing.

- SLM systems were traditionally sold as anti-piracy solutions; today they are positioned as monetization solutions with emphasis on business models and user experience.

- Client-side enforcement can be done using hardware keys or dongles, from within the software or through the cloud. Electronic enforcement is growing faster than hardware-based enforcement; usage-based licensing is the fastest growing application for software monetization solutions.

- This market is highly saturated as its top vendors corner over % of market share. The market is blurring across SaaS billing vendors and enterprise resource planning (ERP) solutions with licensing APIs; there is also growing activity in the lower tier of the market around simplistic low-cost solutions using dongles or encryption wrappers.

- The embedded segment, under a wave of disruption due to IoT, is delivering the bulk of new growth prospects for the market. Industrial automation is the fastest-growing application within this segment, with healthcare and automotive also showing promise.

- Usage-based licensing is a key trend in the software monetization market as customers gain increasing say in how they want to consume and pay for their software. Data gathering and corresponding analytics are crucial features for SLM vendors and their customers alike.

- As Frost & Sullivan predicted in the previous version of this study, North America and Latin America (NALA) has overtaken Europe, the Middle East, and Africa (EMEA) as the strongest regional market. Asia-Pacific (APAC) is also growing, driven by growing publisher revenues, cloud-based deployments, and aggressive global expansion by publishers.

- The SLM market continues to have fewer than 10 key vendors, although the closely related area of SaaS billing is seeing a more dynamic shift in competitive landscape and new entrants. Revenue in 2015 narrowly exceeded $ million; the forecasted CAGR from 2015 to 2022 is %
Note: Product cover images may vary from those shown

A selection of companies mentioned in this report includes:

- Agilis
- Aria Systems
- Arxan Technologies
- byteshield
- Cemalto
- Concept Software SoftwareKey
- Cryptex
- Cryptex
- Digital River
- Excel Software Quicklicence
- Feitian
- Flexera
- Gemalto
- Inishtech
- InstallAware
- jProductivity
- Labs64
- Labs64 Netlicensing
- LCTechnology
- Microcosm
- Mirrasoft
- Moduslink OCS
- Nalpeiron
- Netlicensing
- Oreans Technologies
- Pace
- Reprise
- Secutech
- Secutech Unikey
- SimpleMode Technologies
- SoftActivate
- Soraco
- Star-force
- Stongbit
- V.i. Labs
- Wibu
- Wyday LimeLM
- Yummy Interactive SoftwareShield
- Zuora

Note: Product cover images may vary from those shown