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Q: Learning Management Systems Market Analysis ( Answered,   1 Comment )
Subject: Learning Management Systems Market Analysis
Category: Business and Money
Asked by: fireman233-ga
List Price: $2.00
Posted: 15 Mar 2006 05:33 PST
Expires: 14 Apr 2006 06:33 PDT
Question ID: 707524
I am interested in finding out the market size and forecast for the
sale and implementation of Learning Management Systems (LMSs)
Subject: Re: Learning Management Systems Market Analysis
Answered By: czh-ga on 21 Mar 2006 13:52 PST
Hello fireman233-ga,

As antontodorov-ga said in his comment, the Bersin & Associates report
on ?Learning Management Systems 2006? is the best source for detailed
information about the LMS market. According to this report the current
value of the LMS market is approximately $480 million. This report
costs $595 according to the Bersin website. I?ve found several press
releases and articles that give you a sampling of the information
contained in this expensive report. In addition, I?ve also found some
recent information about the educational LMS market.

Best wishes for your project.

~ czh ~
Survey: LMS Market Sees 28 Percent Growth in 2005 
Oakland, Calif. -- Jan. 12 

Bersin & Associates, a research and advisory firm focused on
enterprise learning and its organizational impact, announced the
availability of its newest research study, ?Learning Management
Systems 2006: Facts, Practical Analysis, Trends and Vendor Profiles.?
The 145-page report analyzes the LMS market from multiple
perspectives, such as market size by segment, market growth,
penetration rate by segment and vendor market share by revenue and
license revenue. The report also details key technology trends and
features, implementation best practices, benchmark costs of
implementation and support, the role of e-learning suites and LCMS
solutions and the growing role of performance and talent management.

Following are representative findings from the report: 

The overall LMS market is now at approximately $480 million, a 26
percent increase in size since Bersin & Associates? last LMS study
published in June 2004. Growth is driven by the availability of proven
technology, continued growth in e-learning (a 2005 Bersin & Associates
survey of U.S. organizations finds 28 percent of training hours are
now delivered online), and recognition that learning management
systems do facilitate training effectiveness and efficiencies.

Still No Leader in the LMS Market
Bersin & Associates publish new LMS market research

Oakland, February 2006 ? "The Learning Management Systems (LMS) market
is growing very significantly. In 2005 we believe it grew at 26%, and
it's close to a 500 million dollar market for software and services",
analyst Josh Bersin said, presenting his new market research "Learning
Management Systems 2006". The potential market he enumerated was over
3 billon dollar.

The Corporate Learning Factbook®

eLearning giants to merge 
Blackboard, WebCT union would hold 83 percent of market share for higher ed

November 1, 2005?The top two providers of learning management system
(LMS) software and services for higher education, Blackboard Inc. and
WebCT Inc., have announced an agreement to merge. The merger would
leave the combined entity with more than 80 percent of the LMS market
share in higher education, which includes the software platforms that
drive online learning.

According to Blackboard, more than 3,700 higher-education, K-12,
corporate, government, and commercial academic institutions use
solutions offered by the two organizations. A survey done by Market
Data Retrieval (MDR), a provider of education market research, found
that Blackboard and WebCT held the top two slots in the LMS market for
U.S. colleges and universities in 2005. Blackboard held 51 percent of
that market, while WebCT held 32 percent.
Another education market research firm, Eduventures Inc., estimates
the 2005 eLearning platform market in higher education will reach
$220.7 million, a growth rate of 17.9 percent. Eduventures also
estimates the 2005 market for K-12 schools to be $136 million, with an
expected annual growth rate of 5 percent over the next two years.

Blackboard's WebCT Deal Spurs Antitrust Questioning

Blackboard and WebCT may have 80 to 90% of the LMS market in higher
education, but less than 16% of the LMS market according to a 2003
Bersin & Associates report.

The key point to remember is higher education is still less than
one-fifth of the market for postsecondary education and training.

lms market share
Subject: Re: Learning Management Systems Market Analysis
From: antontodorov-ga on 21 Mar 2006 10:33 PST
Bersin & Associates, the only research and advisory firm solely
focused on enterprise learning and its organizational impact.
On 21 March 2006 the company announced the availability of its
research study, "The Corporate Learning Factbook: Benchmarks and
Analysis of U.S. Corporate Learning and Development."
Tthe value of the U.S. corporate training market is estimated  to be
approximately $46.6B. Approximately $14.8B is marked for external
spending on technologies, products, and services.
LMS spending is typically 3 to 7% of an organization's total training
expenditures. Consolidation of LMSs is a significant trend, with 26%
of large enterprises consolidating or reducing the number of LMSs
within their organizations over the last year. One-third plan to
consolidate in the next 12 months.The adoption of virtual classroom
technology is high in most sectors. The study found that 60% of
respondents are now using virtual classes as part of corporate
A study of the same company, published in January 2006 stated that the
overall LMS market stood at approximately $480M, a 26% increase in
size since Bersin & Associates' last LMS study published in June 2004.

37% of all implemented LMSs are hosted by LMS vendors or third parties. 
The greatest growth appears in the mid-market segment (companies with
1,000 to 10,000 employees). The report estimates that this segment
grew by 40% over the last year in the United States. Vendors such as
CornerstoneOnDemand, GeoLearning, and have developed focused
strategies to penetrate this market

Hope this helps


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