TECH, SOFTWARE, SAAS MARKET INSIGHTS
- SaaS market segment is expected to grow to $120.9B in 2021 as the shift to cloud-based infrastructure continues
- Increased usage of SaaS platforms by small and midsize businesses (“SMBs”) provided additional fuel for growth in 2020
- Special Purpose Acquisition Companies (“SPACs”) and reverse mergers provided an alternative to IPO’s for access to public
The change to cloud-based infrastructure and applications will continue to accelerate as businesses look to stay competitive and productive in a changing environment.
The 12 SaaS companies that went public in 2020 experienced an average IPO “pop” (IPO issue price vs. close price on IPO date) of 73%. Five out of twelve companies popped over 100% and only one company (Palantir) had a first day closing price below the IPO issue price.
APIs are a key engine of growth; acting as the scalable, digital connective tissue that allows enterprises to quickly leverage the power of dedicated platforms; boosting operational efficiency and enabling enterprises to focus on delivering value to their customers.