Enterprise software is huge and there is no denying the fact. According to a 2011 Gartner report, the worldwide enterprise application software market generated $115.1B in revenue, and is projected to grow to $157.6B by 2016, attaining a 6.5% CAGR. And that’s just enterprise application software. IDG is projecting that enterprise cloud application revenues will reach $67.3B by 2016, up from reached $22.9B in 2011. Taking these trends into account, we wrote about why 2013 can be the year of enterprise software and rise of startups in this field. Pervazive is one such Bangalore based startup that was founded in 2010 and provides on-demand, end-to-end solutions to help their customers (telecom operators) achieve operational efficiencies. Their flagship product is called pTOM – pervazive Telecom Operations Management.
Founded by Avinash Ambale, Pervazive is a team of 12 in Bangalore with affiliate offices in the UK and US. Prior to Pervazive, Avinash has been co-founder, investor and member of executive team at four technology companies across three continents. He was a key member of the executive team at Intertec Communications Limited in leading the company to an IPO. With a strong team with him, Pervazive targets communication service providers. Not exactly, but one can think of it as a management system for telecom guys. The Vodafone’s and the Airtel’s of the world but IT software from companies and Pervazive can help them in cutting down this acquisition cost. “We can slash this cost by a fourth and also help in reducing operational cost by 30-40%,” says Avinash. In the longer run, Pervazive wants to change the buying habits of of telecoms from buying services towards buying products.
Pervazive also has pTOM-ServAssure; a solution that proactively monitors network faults and automatically fixes them before consumers experience degradation in Quality of Service (QoS). Talking about the revenue model, Avinash says, “Our revenue model so far has been through channel partnerships with equipment vendors, ISVs (Independent Software Vendors) that embed our solutions on their private cloud to drive annual subscription revenues to Pervazive.” Pervazive has achieved traction with Tier 1 enterprises and currently focuses on India markets. Having put in his own money, Avinash has been able to build a cash positive company but to take it to the next level, he is currently seeking funds.
Concluding with their expansion plans, Avinash says, “We are shortly launching on the public cloud to target small to medium CSPs with contextual pricing models.” Making inroads in the enterprise sector has always been tricky and a matter of debate but with a cartload of experience behind their back, Pervazive has a good chance of sailing the tides.