 Software
Publishing
 Industry
Overview
All organizations today rely on computer and information technology to
conduct business and operate more efficiently. Computer software is
needed to run and protect computer systems and networks. Some 10,000
establishments are engaged primarily in computer software publishing or
publishing and reproduction. Software publishing establishments carry
out the functions necessary for producing and distributing computer
software, such as designing, providing documentation, assisting in
installation, and providing support services to software purchasers. The
term publishing often implies the production and distribution of
information in printed form. The software publishing industry also
produces and distributes information, but usually it "publishes" or
distributes its information by other methods, such as by CD-ROM's, the
sale of new computers already preloaded with software, or through
distribution over the Internet, rather than in printed form. These
establishments may design, develop, and publish, or publish only.
Establishments providing access to software for clients from a central
host site, designing custom software to meet the needs of specific
users, or involved in mass duplication of software are classified
elsewhere.
 Software
publishing establishments that design and publish prepackaged software
may develop operating system software as well as word processing and
spreadsheet packages, games and graphics packages, data storage
software, and Internet-related software tools such as search engines and
Web browsers--the software that permits browsing, retrieval, and viewing
of content from the Internet. Some establishments may install the
software package on a user's system and provide customer support.
Software is often
divided into two main categories --applications software and systems
software. Applications software includes individual programs for
computer users -- such as programs for word processing or for developing
and maintaining spreadsheets and databases. Systems software, on the
other hand, includes the operating system and all of the related
programs that enable the computer to function. The Internet has vastly
altered the complexion of the software industry over the last decade.
Much applications and system software is developed for use on the
Internet and for connections to the Internet.
 Organizations
are constantly seeking to implement technologies which will improve
efficiency. Enterprise resource planning (ERP) software is such an
example. ERP consists of cross-industry applications that automate a
firm's business processes. Common applications include human resources,
manufacturing, and financial management software. Examples of more
recent applications are software to manage customer relations and a
firm's sources of supply, known as customer relationship management
(CRM) and supply-chain management software. Enterprise resource planning
software has traditionally been implemented by large organizations with
vast computer networks.
Electronic business (e-business) is any process that a business
organization conducts over a computer network. Electronic commerce
(e-commerce) is that part of e-business that involves the buying and
selling of goods and services. With the growth of the Internet and the
expansion of e-commerce, there is significant demand for e-commerce
software that enables businesses to become as efficient as possible.
 This
widespread use of the Internet and intranets also has led to greater
focus on the need for computer security. The robust growth of e-commerce
increases this concern, as firms seek to attract as many potential
customers as possible to their Web sites. Security threats range from
damaging computer viruses to online credit card fraud. As a result,
organizations and individual computer users are demanding software, such
as firewalls and antivirus software, that secures their computer
networks or individual computer environments.
Working
Environment
 Most
workers in this industry work in clean, quiet offices. Given the
technology available today, however, more work can be done from remote
locations using modems, fax machines, e-mail, and especially the
Internet.
About 2 percent of the
workers in software publishing firms work part time, compared with 16
percent of workers throughout all industries. For some professionals,
evening or weekend work may be necessary to meet deadlines or solve
problems. Professionals working for large establishments may have less
freedom in planning their schedule than do consultants for very small
firms, whose work may be more varied.
Employees who work at
video terminals for extended periods may experience musculoskeletal
strain, eye problems, stress, or repetitive motion illnesses, such as
carpal tunnel syndrome.
Employment
 In
2004, there were about 239,000 wage and salary jobs in the industry.
While the industry has both large and small firms, the average
establishment in software publishing is relatively small; over half of
the establishments employed fewer than 5 workers. About 75 percent of
jobs, however, are found in a small number of establishments that employ
50 or more workers. Many small establishments in the industry are
startup firms that hope to capitalize on a market niche.
Relative to the rest
of the economy, there are significantly fewer workers 45 years of age
and older in software publishing establishments; this industry's
workforce remains younger than most, with large proportions of workers
in the 25-to-44 age range. This reflects the industry's explosive growth
in employment since the early 1980s. The huge increase in employment
afforded numerous opportunities to younger workers possessing the latest
technical skills.
Degree
Paths into this Industry
 Providing
a wide array of information services to clients requires a diverse and
well-educated workforce. The majority of workers in the software
publishing industry are professional and related workers, such as
computer software engineers and computer programmers. This major
occupational group accounts for 60 percent of the jobs in the industry,
reflecting the emphasis on high-level technical skills and creativity.
By 2014, the employment share of professional and related occupations is
expected to be even greater, while the employment share of office and
administrative support jobs, currently accounting for 11 percent of
industry employment, is projected to fall.
Programmers write,
test, and maintain the detailed instructions, called programs or
software, that computers must follow to perform their functions. These
programs tell the computer what to do -- which information to identify
and access, how to process it, and what equipment to use. Programmers
write these commands by breaking down each operation into a logical
sequence of steps, converting the instructions for those steps into a
language that the computer understands. While some still work with
traditional programming languages like COBOL, object-oriented
programming languages such as C++ and Java, computer-aided software
engineering (CASE) tools, and artificial intelligence tools now are
being used to create and maintain programs. These languages and tools
allow portions of code to be reused in programs that require similar
routines. Many programmers also customize purchased software or create
better software to meet a client's specific needs.
 Computer
software engineers design, develop, test, and evaluate software programs
and systems. Although programmers write and support programs in new
languages, much of the design and development now is the responsibility
of software engineers or software developers. Software engineers must
possess strong programming skills, but are more concerned with
developing algorithms and analyzing and solving programming problems
than with actually writing code. These professionals develop many types
of software, including operating systems software, network distribution
software, and a variety of applications software. Computer systems
software engineers coordinate the construction and maintenance of a
company's computer systems, and plan their future growth. They develop
software systems for control and automation in manufacturing, business,
and other areas. They research, design, and test operating system
software, compilers -- software that converts programs for faster
processing -- and network distribution software. Computer applications
software engineers analyze users' needs and design, create, and modify
general computer applications software or specialized utility programs.
They develop software solutions. For example, video game programmers are
software engineers who plan and write video game software.
 Computer
support specialists provide technical assistance, support, and advice to
customers and users. This group of occupations includes workers with a
variety of titles, such as technical support specialists and help-desk
technicians. These troubleshooters interpret problems and provide
technical support for software and systems. Support specialists may work
either within a company or other organization or directly for a computer
software vendor. They answer telephone calls, analyze problems using
automated diagnostic programs, and resolve difficulties encountered by
users.
Other computer
specialists include a wide range of professionals who specialize in
operation, analysis, education, application, or design for a
particular piece of the
system. Many are involved in the design, testing, and evaluation of
network systems such as local area networks (LAN), wide area networks
(WAN), the Internet, and other data communications systems. Specialty
occupations reflect an emphasis on client-server applications and
end-user support; however, occupational titles shift rapidly to reflect
new developments in technology.
Industry
Forecast
 Employment
in the software publishing industry has more than doubled since 1990. As
firms continue to invest heavily in information technology and demand
for specialized software rises, software publishing is projected to be
the third fastest growing industry in the U.S. economy over the next
decade. Wage and salary employment is expected to increase by 68 percent
between 2004 and 2014, almost five times the 14 percent growth projected
for all industries combined. Even in difficult economic times,
organizations continue to make investments in software. Software boosts
productivity, increases efficiency, and, in some cases, reduces the need
for workers. Growth will not be as rapid as it was during the technology
boom of the 1990s, however, as the software industry begins to mature
and as routine work is increasingly outsourced overseas.
An increasing reliance
on information technology, combined with falling prices of computers and
related hardware, means that individuals and organizations will continue
to invest in applications and systems software to maximize the return on
their investments in equipment and to fulfill their growing computing
needs. Such needs include the expansion of electronic commerce, a
growing reliance on the Internet, faster and more efficient and secure
internal and external communication, and the development of new
technologies and applications. Given the rate at which the software
publishing industry is expected to grow, and the increasing integration
and application of software in all sectors of the economy, job
opportunities should be excellent for most workers. Professional workers
should enjoy the best opportunities, reflecting employers' continuing
demand for higher level skills to keep up with changes in technology.
However, employment growth may be tempered somewhat by offshore
outsourcing, as companies contract out more of the routine tasks to
foreign countries, where labor costs are lower, in an attempt to remain
competitive.
 Today,
there is demand for software products ranging from educational software
to assist people learning a new language to home networking software and
firewalls to maintain security. Yet, new growth areas will continue to
arise from rapidly evolving technologies and business forces. The
increasing uses of the Internet, the proliferation of Web sites, and
mobile technology such as the wireless Internet have created demand for
a wide variety of new software. The market for educational software and
entertainment software, which includes video games, is also expected to
experience robust growth over the next decade.
The way the Internet
is used is constantly changing, and so is the software required to run
the new and emerging computer applications. Expanding electronic
commerce, for example, has changed the way companies transact business.
Business-to-business commerce is automating many steps in the
transaction of business between companies, allowing many firms to
operate more efficiently. Businesses are moving their supply networks
online and participating in and developing online marketplaces. The
sustained growth of electronic commerce as well as the growing uses of
intranets and extranets will drive demand for increasingly sophisticated
software tools geared towards these technologies. And, as the amount of
electronic information stored and accessed continues to grow, new
applications and security needs will increase demand for database
software. Demand for an even wider array of software applications also
should increase as companies continue to expand their capabilities,
integrate new technologies, and develop new applications.
 One
significant factor contributing to growth in software is computer
security. Organizations invest heavily in software to protect their
information and secure their systems from attack. And, as more
individuals and organizations are conducting business electronically,
the importance of maintaining computer system and network security will
increase, leading to greater demand for security software.
Given the increasingly
widespread use of information technologies and the overall rate of
growth expected for the software publishing industry, most occupations
should grow very rapidly, although some faster than others. The most
rapid job increases will occur among computer specialists such as
computer software engineers, as firms continue to install sophisticated
computer networks, set up Internet and intranet sites, and engage in
electronic commerce, and as consumers continue to explore and use vast
amounts of applications software.
Related
Degree Fields
Professional
Associations/Resources
Note: Some resources in this section are provided by the US Department
of Labor, Bureau of Labor Statistics.
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