Construction Vertical Represents Upcoming Growth Opportunity for Technology Vendors Reports In-Stat/MDR

Business Wire, May 26, 2004

Business Editors

SCOTTSDALE, Ariz.--(BUSINESS WIRE)--May 26, 2004

With an expected growth in wireless data adoption and growing demand for technology applications in the field, the construction vertical is an upcoming opportunity for telecom, IT and network services vendors, according to In-Stat/MDR (http://www.instat.com). The high-tech market research firm finds that this industry is transitioning from a low-tech industry to one that is adopting wireless, the Internet, and collaboration tools to improve efficiencies, communications and overall project management.

"This vertical, while not highly targeted in the near-term, is expected to be a great opportunity for technology vendors looking to expand their vertical market program over the next several years or down the road," said Stephanie Atkinson, a senior analyst with In-Stat/MDR. "The major opportunities lie around wireless data, Internet portal services, and remote access to applications and project scheduling programs at the main headquarters." However, the construction industry will require cost justification and return on investment on technology purchases because of shifting priorities stemming from the sluggish recovery. According to Atkinson, in targeting this specific vertical, telecom and IT vendors must first understand the various parties involved in major construction projects, then understand the various operational and planning activities that are required, and last be able to adapt solutions to meet the varying challenges the construction industry is faced with on a day-to-day basis.

A recent report by In-Stat/MDR also finds that:

-- By year's end, the U.S. construction market is expected to

support roughly 1.4 million firms and 6.5 million employees.

-- The most robust employment growth is expected to occur in

smaller firms.

-- For the most part, decision-makers in the construction

industry are fairly optimistic about this year, in terms of

economic performance. In a recent In-Stat/MDR survey, 61% of

the decision-makers surveyed working for construction

providers indicated that they were either "very positive" or

"somewhat positive" regarding their expectations for the

economy in 2004.

The report, "State of the Industry: Market Size and Forecasts of the US Construction Sector" (#IN0401593DDCN), is the first report published from In-Stat/MDR's new Vertical Market Deep Dives practice, which provides the information needed to carry out successful vertical marketing strategies by exploring the specific needs of key verticals. The report provides current and forecast demographic data such as number of employees and number of firms for the construction industry. This is also broken down by size of construction business such as SOHO, Small Business, Middle-Market, and Enterprise. Construction industry subsegments are also detailed in the study, along with construction market trends, technology trends, applications driving spending, and the overall opportunities for technology vendors in the construction vertical. To purchase this report, or for more information, please visit: http://www.instat.com/catalog/Ecatalogue.asp?id=220 or contact Courtney McEuen at 281-246-4668; cmceuen@reedbusiness.com. The report price is $3,495.

About In-Stat/MDR

In-Stat/MDR (http://www.instat.com) offers a broad range of information resources and analytical assets to technology vendors, service providers, technology professionals, and market specialists worldwide. The company stands alone in its ability to integrate both supply-side and demand-side research methodologies into a single comprehensive view of technology markets and products. This capability relies on a unique ability to cover the entire value chain from engineering-level technology, through equipment, infrastructure, services and end users.

In-Stat/MDR is part of the Reed Electronics Group, a division of Reed Elsevier (www.reedelsevier.com), a world-leading publisher and information provider. With more than 38,000 employees worldwide, Reed Elsevier operates in the science & medical, legal, education and business-to-business industry sectors, providing high value and flexible information solutions to professional end users, with increasing emphasis on the Internet.