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Growth in the software industry has slowed so much that many small and midsize companies will need to reconsider their long-term prospects. As customers curb their appetite for software and large developers grow larger, smaller ones will need to reassess the threats and opportunities they face.
This article is part of a McKinsey Quarterly package on restructuring in high-tech industries. To read another article from the package, please select from the following. High-tech mergers take shape Economic pressures to restructure high-tech industries will eventually become irresistible. Executives should prepare themselves for more—and more hostile—acquisitions. Not by M&A alone Sometimes alliances make more sense than mergers or acquisitions.
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