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Procurement Market Intelligence Report

Virtual Machine Software
Sourcing Guide & Market Trends

Comprehensive intelligence for making smart purchasing decisions

Learn about actual and potential costs

How much should I pay for Virtual Machine Software?

What is the average price of Virtual Machine Software?

This procurement report includes pricing information to help you purchase Virtual Machine Software. Our analysts provide a benchmark price and a price range based on key pricing factors to help you understand what you should be paying for this specific product or service. To see the average price for this and hundreds of other products and services, subscribe to ProcurementIQ.

Has the price of Virtual Machine Software been rising or falling?

Analysts look at market data from the previous three years to determine an overall price trend. You can use the recent price trends to help you understand price volatility and plan your budget.

I’m not ready to purchase Virtual Machine Software yet. Will I pay more if I wait too long?

We forecast the next three years of price movements by looking at factors likely to affect the market's supply chain, such as inputs, demand and competition. You can then use the price forecast to figure out the best time to purchase.

What other costs are associated with purchasing Virtual Machine Software?

Our analysts calculate the total cost of ownership and assign a level of low, moderate or high, depending on things like customization, integration and installation. Use this information to budget for Virtual Machine Software with a reduced risk of unexpected costs.

See how we display average pricing information, trends and market data.

Find the vendor to meet your needs

Where can I purchase ?

The virtual machine software market is highly concentrated. The top four largest vendors include VMWare Inc., Microsoft Corporation, IBM and Oracle Corporation, and they account for more than 50.0% of total market revenue. As of 2021, there are estimated to be about 500 suppliers of virtual machine software. The market... Subscribe to learn more.

Questions to ask potential suppliers

How can I gain leverage during negotiations?

Experience and Expertise

How long have you provided these products to your longest-tenured client?

What qualifications does your staff have and what measures do you take to keep those qualifications up to date?

What industry do you most commonly supply this product for?

To what extent will ordering multiple products from your firm allow me to save on costs?

What is your repeat business rate for businesses in my industry and how does that compare to your overall rates?

Supply Chain Risk

Over the past three years, what percentage of your revenue has been dedicated to raw input materials? How has that changed?

Has the availability of raw materials tightened due to the coronavirus outbreak?

Over the past three years, what percentage of your revenue has been dedicated to labor?

How have fluctuations in input prices affected the prices of your products during the past three years?

How do you mitigate sudden price increases in raw materials?

When input prices rise, how much of the cost is absorbed by you and how much is passed onto buyers?

How, if at all, has your supply chain been affected by import tariffs levied in 2018?

Regulation

How do you manage regulatory change? Do you have regulation advisers or methods to track regulation?

How have changing regulations influenced your pricing now and how will the changes affect prices over the life our proposed agreement?

What ongoing training procedures do you provide for your staff?

Have you ever been found to be noncompliant with regulatory frameworks?

Amid widespread health concerns during the COVID-19 pandemic, what contingency plans are in place to mitigate risk to your clients and employees? Do you offer clients any flexible exceptions, such as contract suspensions?

Expertise

How long has your firm been providing virtual machine software?

Do you offer case studies or testimonials from past clients?

Do you specialize in providing virtual machine software for a specific market?

How does your company stay up to date with the latest trends in virtual machine technology?

Value

How does your virtual machine software help reduce costs across a buyer's servers, operating systems and storage infrastructure?

Do you offer value-added services to help buyers maintain performance or optimize their virtualized infrastructure?

How do you assist buyers in determining the total cost of ownership and return on investment throughout the purchasing process?

Does your company provide on-site support when required?

External Drivers

Do you track private investment in computers and software? How has it trended recently? How has this affected your firm?

Have changes in corporate profit affected how your clients spend on services during the past three years?

How has your company capitalized on the growth of internet traffic? How do you intend on meeting demand as this figure grows over the next three years?

How have you changed your business model during the past three years as cloud computing and virtualization have become increasingly interconnected?

Cost Structure

How much of your revenue is set aside for ongoing research and development? Has this investment increased or decreased in recent years?

Do you regularly use automation in your services? How has this boosted profitability? How can this benefit buyers?

Do you have access to skilled employees and developers? What measures do you take to recruit and retain these employees?

Do you have preferred third-party service providers that you partner with? How do they help you save on costs?

Do you source materials with high exposure to market disruptions resulting from the coronavirus pandemic? How are you coping with these disruptions?

How diversified is your supplier base for inputs? Do you source from multiple suppliers in different global regions?

Competition

Do you offer a free version of your virtual machine software? Has the free version of your product significantly cannibalized the sales of your paid product?

Have you encountered any legal disputes with other software publishers? How did you handle it?

How is your virtual machine software different from other providers'?

Has your firm completed any acquisitions during the past three years? If so, how did this expansion affect your business model?

Are you experiencing fluctuations in demand as a result of the coronavirus outbreak? What measures are you taking to handle increased/reduced demand?

Amidst widespread health concerns, what contingency plans are in place to mitigate risk to your clients and employees? Do you offer clients any flexible exceptions, such as contract suspensions?

Software Performance

Do you offer any accuracy or performance guarantees? How do you handle potential problems with your virtual machine software?

What security measures do you have in place to protect data and ensure its preservation?

What new features or functionality have you recently added to your software products?

What controls do you have in place to ensure that your virtual machine software is intuitive and easy to use?

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Key elements for every RFP

What should my RFP include?

Project Budget

Buyers should specify the total budget for their virtual machine software.

Buyers should include details about license usage expectations and limitations.

Buyers should request detailed information about vendor's virtual machine software capabilities and capacity to determine if they can meet the budget expectations.

Selection Criteria

Buyers should look for providers that can offer virtual machine software that meet the specifications outlined in the RFP.

Buyers should give preference to providers that can meet the budget requirements in the RFP.

Buyers should look for providers that have a reputation for reliable virtual machine software.

For a detailed list of key selection criteria, buyers should reference the Buying-Decision Scorecard section of this report.

Project Schedule

Buyers need to include the date when proposals are due.

Buyers should indicate the date by which the virtual machine software will need to be implemented.

Buyers should indicate how they want the virtual machine software to be integrated into existing systems and how long it is expected to take.

Evaluate major factors to mitigate risk

How risky is the supply chain?

Buyers do not face significant risk from the supply chain when purchasing virtual machine software. Suppliers rely heavily on labor to develop the software, so the impact upstream suppliers have on virtual machine software vendors is limited. Upstream suppliers provide operating systems and database software, computer hardware, intellectual property licensing... Subscribe to learn more.

HIGH

MEDIUM

LOW