A Few Steps Forward (for us), A Few Steps Back (for them)

We are pleased to report that Exalead was named to Gartner’s 2008 Magic Quadrant for Information Access Technology, receiving high marks for “completeness of vision.” In fact, Exalead is one of only two Visionary companies in this year’s quadrant, as changes to the inclusion criteria eliminated several previous members.

An interesting point is that several of our key competitors in the space took a few steps backwards between now and 2007. Endeca, Google and Autonomy all took hits on the “ability to execute” scale, Microsoft FAST lost some ground on vision. We don’t want to speculate about why exactly this is, but it does seem to indicate that the demands of the space is shifting as it grows (Gartner estimated that globally the total 2007 software revenue in the enterprise search market neared $860.3 million and is expected to grow to $1.5 billion by 2012), and that perhaps it is time for a new breed of search vendor to take the lead.

According to the report, “Visionaries demonstrate imaginative and insightful approaches to the information access technology market… and possess architectural flexibility and creative means of establishing relevancy.” Of course, we don’t wear blinders ; we know Gartner thinks that we need to establish more traction and financial resources to make the jump to the Leaders quadrant, but with 170 customers worldwide and 100 million unique viewers a month we feel we are in a position to do this.

Additionally, we just found out we received a high ranking on this year’s Software 500 list (with a 310.8% growth rate); in fact, from 2007, our rank jumped by more than 70 points. We were also named one of the Top 10 companies in the $10-30 Million revenue range as well as one of the “Top 10 Leaders in Software Revenue Growth Overall.

With these numbers and our recent expansion into the U.S., the Leaders quadrant could be just around the corner….