Software industry ‘needs mergers’

NEARLY 70% of Irish software companies have annual revenues below €1 million and may have to merge or be bought out to survive, according to a new report.

The venture capital group HotOrigin said that most Irish companies are still finding it’s hard to break the €10 million plus revenue range which is seen as vital for long-term success.

“While the sector continues to grow, the majority of companies are still too small to effectively enter international markets. Mergers or acquisitions could help to address this,” HotOrigin chief executive David Dalton said.