Content area
Full Text
Events of the last year have reshaped the library technology industry. Previous rounds of acquisitions pale in comparison to the acquisition of ProQuest by Clarivate, which has propelled the leading library technology provider into the broader commercial sector of scholarly communications. This deal signals that the gap in size among vendors is widening, as ProQuest businesses Ex Libris and Innovative Interfaces also join Clarivate.
The emergence of such a large business at the top of the industry has accelerated consolidation among mid-level players that aim to increase scale and efficiency to remain competitive. This was a banner year for consolidation of midsize competitors, with more acquisitions than any prior year.
These deals raise concerns about weakened competition, but they may also enable new industry dynamics that will spark innovation and synergy within the broader research and education landscape. Small companies with visions for innovation often lack the resources to deliver, which larger companies can provide. Increased investor and stockholder involvement, however, translates into pressure to maximize profits and growth. The way these competing dynamics play out has important implications for libraries.
Bucking the trends
Certain events in 2021 challenged established trends. For instance, Follett Corporation took a step away from the pattern of family-owned companies retaining businesses i ndefinitely, divesting Follett School Solutions and Baker & Taylor. The FOLIO project aims to slow the momentum of Alma's charge through academic libraries, inviting the question: Can a newcomer disrupt the success of a proven solution that has more than a decade of continuous development?
Some disruptions happen more gradually. Library management systems based on open source software show steady growth. Koha, especially when supported by ByWater Solutions, continues to make inroads among US public and academic libraries.
The high-stakes changes in academic libraries contrast sharply with the public library technology sector, where products offer only slight differentiation. Integrated library system (ILS) products serving public libraries tend to evolve rather than transform, with institutions layering on additional products to modernize customer interfaces and build channels for enhanced patron engagement.
Smaller libraries are well served by companies offering affordable, increasingly sophisticated systems. These businesses add important texture to the industry, addressing niche areas ignored by the larger players and delivering systems and services to libraries with modest budgets....