Software and optical disc business outlook in 2009

by Raj Barman

It's interesting how dynamically the software world is changing - both in the digital download space and the retail space. Someone at lunch asked me today if I thought the optical disc (i.e. CDs, DVDs, etc.) business is going to fizzle out soon. I believe that on the retail entertainment side, it will probably slow down a bit because of the economic conditions and because of the prevalence of digital downloads especially for music; but on the software side,

I think we will see a surge - especially in the area of "fix it", "anti-spyware", "internet security" utility software. I know that with the current economic conditions, I and a lot of my friends are not going to be upgrading our PCs anytime soon; so we will need to buy software to keep our PCs running in tip-top shape. The next couple of years should be very good for software companies in this space. We saw a huge surge in our back-up CD business last year - in fact, while the rest of the market was seeing a bad Q4, we had the best Q4 in our 17 year history! No joke! There were lots of people downloading software and we were publishing and fulfilling lots of back-up CD orders. Moreover, we added several new e-commerce partners that help software firms monetize their software titles via digital downloads and back-up CDs. The most recent of these is a company called PayPro Global - see the press release at If you want to learn more about how the back-up CD concept for software titles can provide a new and substantial revenue stream, check our podcast #2 at 2009 should be a good year for software companies! That's my story and I sticking to it. Until next time...