Spending on collaboration software rocketed during the Covid-19 pandemic as remote work became the norm for many businesses, and investments are set remain high even as offices begin to reopen.
Global collaboration software spending reached $22.6 billion in 2020, according to an IDC report, an increase of 32.9% compared to 2019. It was the fourth successive year of double-digit, year-on-year growth, according to IDC.
The five largest collaboration software vendors by revenue – Microsoft, Google, Zoom, Cisco and Slack – accounted for 64.2% of the market, up 4% from the previous year. The top 20 vendors saw 40% annual revenue growth, on average, during the year, though Zoom outpaced the market with a 227.1% increase.