PLM or ALM, who will grow faster?
Embedded systems are one of the fastest growing technology areas in the world today. Cars, aircrafts, medical devices are equipped with software applications, providing more features for comfort and safety.
A significant part of these applications are mission critical, especially in healthcare and aviation industries. Software for industrial products require even more complexity, the increasing demand for complex embedded systems is why Application Lifecycle Management (ALM) market is growing dynamically. The ALM market although is still small in comparison to the PLM market, with a market size of just $4B vs. $20B per year of the PLM market. At the same time, the ALM market has a far higher growth rate at +8% per year.
The automotive industry is a good example, since cars are equipped with robust software. When we buy a new car, usually we upgrade to a more intelligent and more “connected” car. We expect support for navigation, infotainment, built-in communication, safety systems, etc. Simply think of high-end technology cars, in which now, there are more than 100 million lines of software code* running. This is more code than what is installed to a Boeing 787 aircraft, even if that is bigger and more safety critical.
All car makers are now using PLM solutions. Many manufacturers are also realizing that they need ALM to manage their application development lifecycle. To ensure competitiveness they need to provide reliable software systems, less failure and more features.
Do they need ALM to provide better software for cars? Yes.
In addition, we are not talking about only built-in software. „Our surrounding is the interface” to connect to the internet. Our devices at home can already connect to the internet; our cars are also able to connect. The demand for new software applications in this space is growing fast.
There are still issues to resolve, for example PLM and ALM interoperability. There are a few close to standard ways for integration. OSLC – Open Services for Lifecycle Collaboration – gives a few answers.