2011 EMBEDDED SOFTWARE STRATEGIC MARKET INTELLIGENCE PROGRAM

M A Y 20 1 1

Embedded Software & Tools Practice Steve Balacco – Practice Director Christopher Rommel – Senior Analyst Jared Weiner –Analyst

TA B L E O F CO N TE NT S & LI ST O F E X HI B IT S

Android & Linux in the Embedded Systems Market Volume 2 | Track 1: Embedded Software Engineering Market Technologies & Statistics

2011 EMBEDDED SOFTWARE STRATEGIC MARKET INTELLIGENCE PROGRAM TRACK 1: EMBEDDED SOFTWARE ENGINEERING MARKET TECHNOLOGIES & STATISTICS VOLUME 2: ANDROID & LINUX IN THE EMBEDDED SYSTEMS MARKET

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679 Worcester Road | Suite 2 | Natick, MA 01760 508.653.9000

For more information about this research product, please contact: Steve Balacco – Practice Director, 508.653.9000 x124, sbalacco@vdcresearch Christopher Rommel – Senior Analyst, 508.653.9000 x123, [email protected] Jared Weiner – Analyst, 508.653.9000 x143, [email protected], or visit our website at: vdcresearch.com.

ABOUT THIS DOCUMENT This document presents the Table of Contents and List of Exhibits from: Android & Linux in the Embedded Systems Market part of VDC Research Group’s 2011 Embedded Software Strategic Market Intelligence Program. The full report is specifically designed to serve as a valuable decision support tool for any company operating in, or targeting the Embedded Software & Tools market. Our market intelligence helps senior executives and their teams define and respond to critical strategic and tactical questions.

ABOUT VDC RESEARCH VDC Research Group (VDC) provides exceptionally detailed direct-contact primary market research and consulting services to many of the world's largest technology suppliers, innovative start-ups and leading investors. The firm is organized around six practices, each with its own focused area of coverage. Our clients rely on us for highly segmented research and analysis which is derived from our unwavering commitment to the idea that all markets are collections of smaller market segments and that winning companies must develop and execute strategies that are segment-specific.

VDC Research Group, Inc. | © Copyright 2011

TABLE OF CONTENTS Executive Summary Page 8

Android & Linux in the embedded systems market

Page 9

Android & Linux in the embedded systems market

Page 10

Android & Linux in the embedded systems market

Scope & Methodology Page 12

Scope of VDC’s research

Page 13

Scope

Page 14

Scope

Page 15

Methodology

Page 16

Definitions

Page 17

Definitions

Page 18

Definitions

Page 19

Definitions

Market Overview Page 21

Open source platforms continue to gain market share

Page 22

Economic recovery helping to drive revenue growth

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2011 EMBEDDED SOFTWARE STRATEGIC MARKET INTELLIGENCE PROGRAM TRACK 1: EMBEDDED SOFTWARE ENGINEERING MARKET TECHNOLOGIES & STATISTICS VOLUME 2: ANDROID & LINUX IN THE EMBEDDED SYSTEMS MARKET

Strategic Issues, Trends & Market Drivers Page 24

Use of open source platforms expected to increase

Page 25

Android central to the increased use of open source platforms

Page 26

New use-cases expected to drive future use of Android

Page 27

Potential cost savings promoting use of publicly obtained open source OSs

Page 28

Cost reduction requirements impact OS selection for users of open source platforms

Page 29

Collaborative nature of Linux and the open source community driving interest in open source platforms

Page 30

Value proposition of commercial Linux suppliers helps drive OS reselection

Page 31

Increasing adoption of open source platforms driving use of Eclipse SDK

Page 32

Gaps remain between functionality of publicly available open source tools and commercial solutions

Page 33

Android ~ what is the appeal?

Page 34

Android ~ where does its future lie and where are the commercial opportunities?

Page 35

Drivers / inhibitors to commercial market for embedded Linux and Android solutions

Market Segmentation, Estimates & Forecasts Page 37

Communication and graphics requirements driving the use of Linux and Android in embedded systems

Page 38

Multicore and virtualization expected to further enable the use of Linux in embedded systems

Page 39

Demand for professional services and development tools driving market for Android solutions

Page 40

Demand for professional services expected to continue driving market growth

Page 41

Tools vendors’ increasing Linux focus stimulating perpetual licensing growth

Page 42

Market share for the Americas continues to decline

Page 43

Demand for Android support and services anticipated to drive Asia-Pacific growth

Page 44

GENIVI Alliance expected to impact the adoption of Linux within the automotive industry

Page 45

Mobile phones and consumer electronics projected to benefit from the momentum behind Android

Page 46

Growth in telecom/datacom slowing as market matures

Competitive Analysis & Position Page 48

Wind River extends its market lead

Page 49

Traditional Linux solutions providers maintain their leadership positions

Page 50

Wind River gains an early lead in the market for Android-related software solutions

Page 51

Wind River widens its lead in the commercial Linux market

Page 52

Tools vendors seeking to capitalize on the momentum behind Android

Page 53

Mentor Graphics gaining momentum in the Linux market

Page 54

Complexities around Android development driving growth strategies for tools vendors

Page 55

Embedded software vendors expanding business to include Linux solutions

Summaries & Observations Page 57

Professional services can help build brand loyalty

Page 58

Android, Android, Android!

Page 59

Android’s long term impact on the commercial landscape

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2011 EMBEDDED SOFTWARE STRATEGIC MARKET INTELLIGENCE PROGRAM TRACK 1: EMBEDDED SOFTWARE ENGINEERING MARKET TECHNOLOGIES & STATISTICS VOLUME 2: ANDROID & LINUX IN THE EMBEDDED SYSTEMS MARKET

LIST OF EXHIBITS Exhibit III-1

Percentage Embedded/mobile Devices/systems Shipped at Respondents' Organizations in 2009 and 2010 by OS Type (Average of Respondents)

Exhibit III-2

Policy towards the use of Open Source Software at Respondents' Organizations (Percent of Respondents, N = 342)

Exhibit IV-1

Type of Operating System(s) Used on Target Embedded System on Previous Project, Current Project, & Expected to be Used on Next Project (Percent of Respondents, N = 344)

Exhibit IV-2

Type of Operating System(s) Used on Target Embedded System on Current Project, Segmented by Total Company Engineers (Percent of Respondents)

Exhibit IV-3

Commercially or Consortia-obtained Open Source Operating Systems Used on Current Project (Percent of Respondents, N = 61)

Exhibit IV-4

Publicly Obtained Open Source Operating Systems Used on Current Project (Percent of Respondents, N = 54)

Exhibit IV-5

Importance of Embedded Operating System Characteristics during OS Selection for Current Project (Percent of Respondents, N = 311)

Exhibit IV-6

Importance of Embedded Operating System Characteristics during OS Selection for Current Project by Users of Open Source Platforms (Percent of Respondents, N = 107)

Exhibit IV-7

Operating System Supplier Brand Used on Current Project (Percent of Respondents)

Exhibit IV-8

IDE(s) Used for Current Project Development (Percent of Respondents, N = 274)

Exhibit IV-9

IDE(s) Used for Current Project Development, Segmented by Engineers Using Open Source Platforms (Percent of Respondents, N = 56)

Exhibit IV-10

Android Projects by Design Type (Percent of Respondents, N = 13)

Exhibit V-1

Worldwide Shipments of Android & Linux Related Embedded Software and Services Through 2013 (Millions of Dollars)

Exhibit V-2

Worldwide Shipments of Linux Related Embedded Software and Services Through 2013 (Millions of Dollars)

Exhibit V-3

Worldwide Shipments of Android Related Embedded Software and Services Through 2013 (Millions of Dollars)

Exhibit V-4

Worldwide Shipments of Android & Linux Related Embedded Software and Services, Segmented by Product Category (Percent of Dollars)

Exhibit V-5

Worldwide Shipments of Android & Linux Related Embedded Software and Services, Segmented by Product Category; 20102013 (Millions of Dollars)

Exhibit V-6

Worldwide Shipments of Android & Linux Related Embedded Software and Services, Segmented by Geographic Region (Percent of Dollars)

Exhibit V-7

Worldwide Shipments of Android & Linux Related Embedded Software and Services, Segmented by Geographic Region;

Exhibit V-8

Worldwide Shipments of Android & Linux Related Embedded Software and Services, Segmented by Vertical Market (Percent

2010-2013 (Millions of Dollars)

of Dollars) Exhibit V-9

Worldwide Shipments of Android & Linux Related Embedded Software and Services, Segmented by Vertical Market; 2010-2013 (Millions of Dollars)

Exhibit VI-1

Worldwide Shipments of Android & Linux Related Embedded Software and Services, Segmented by Leading Vendors (Percent of Dollars)

Exhibit VI-2

Worldwide Shipments of Linux Related Embedded Software and Services, Segmented by Leading Vendors (Percent of Dollars)

Exhibit VI-3

Worldwide Shipments of Android Related Embedded Software and Services, Segmented by Leading Vendors (Percent of Dollars)

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2011 EMBEDDED SOFTWARE STRATEGIC MARKET INTELLIGENCE PROGRAM TRACK 1: EMBEDDED SOFTWARE ENGINEERING MARKET TECHNOLOGIES & STATISTICS VOLUME 2: ANDROID & LINUX IN THE EMBEDDED SYSTEMS MARKET

VENDOR PROFILES ARM LAUTERBACH MENTOR GRAPHICS MONTAVISTA SOFTWARE (CAVIUM NETWORKS) SYSGO TIMESYS CORPORATION VIOSOFT WIND RIVER

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