laitimes

Siemens, Dassault, ANSYS: Lessons from the rise of industrial software giants

author:The home of smart manufacturing

#### Industrial software: the core competitiveness of an industrial powerhouse

In the global industrial map, industrial software is an important indicator of a country's industrial strength. It is not only the core of the industrial base capability, but also the key force to promote the country's industrial progress.

Siemens, Dassault, ANSYS: Lessons from the rise of industrial software giants

Developed countries such as the United States, Germany, France, etc., have an early start in their industrial software industry, and have given birth to a number of leading industrial software companies in the world. Through their unique business models, these companies have shaped three typical development models: vertical integration, horizontal integration, and combination of software and hardware, leading the development trend of global industrial software.

#### Dassault Systèmes: The Leader in Vertical Integration

Dassault Systèmes, born out of the technological needs of the aerospace sector, has grown into a global industrial software giant with more than 20,000 employees since its founding in 1981.

Siemens, Dassault, ANSYS: Lessons from the rise of industrial software giants
  1. Founding & Early Development (1981): Dassault Systèmes was founded in 1981 as a subsidiary of Dassault Aviation with a focus on diversifying CAD/CAM technologies and solutions. At this stage, the company's main product is CATIA, a software that integrates 3D shape design, kinematics, analysis, multi-axis CNC machining, and more. During this period, Dassault Systèmes faced stiff competition from mature markets such as the United States, but through its partnership with IBM, it was able to successfully introduce its products to the global market.
  2. Globalization & Industry Expansion (Late 80's to 90's): As globalization progressed, Dassault Systèmes began to expand its business beyond aerospace, such as automotive, construction, medical, etc. During this period, the company worked closely with its customers to provide holistic business transformation solutions, not just tools and software, which led to a higher level of discussion in the customer organization.
  3. Technology Innovation & Platformization (2000s): Dassault Systèmes continued to drive technology innovation with the launch of new brands including DELMIA, SIMULIA, enhanced PLM (Product Lifecycle Management) capabilities, and began building platforms based on Windows NT and UNIX environments. In addition, the company has further expanded its presence in the mainstream market through the acquisition of companies such as SOLIDWORKS.
  4. Digital Transformation and the 3DEXPERIENCE Platform (2010s): Dassault Systèmes launched the 3DEXPERIENCE Platform, a digital collaboration platform that integrates the entire lifecycle of design, production, and operations. The launch of the platform marks the company's shift from offering a single software product to providing a comprehensive digital transformation solution. Through this platform, Dassault Systèmes helps enterprises achieve data continuity and compatibility, and promotes the upgrading of the entire industry chain.
  5. Continued Innovation and Market Expansion (2020s): Dassault Systèmes continues to innovate in the field of industrial software, expanding its technology and market reach through acquisitions and strategic partnerships. The company actively supports the digital transformation of small and medium-sized enterprises through initiatives such as the "Himalayan Plan", and lowers the entry threshold for enterprises through technologies such as cloud computing. At the same time, Dassault Systèmes has also made significant progress in the life sciences and healthcare industries, further expanding its business scope through the acquisition of companies such as Medidata.

With structural design tools as the core, the company continues to expand to the fields of system engineering, engineering simulation, process simulation, R&D management, etc., and has formed a vertically integrated industrial software supplier covering the whole process of production and manufacturing. In recent years, Dassault Systèmes has implemented a platform-based strategy, based on the 3DEXPERIENCE platform, integrating 3D modeling, social collaboration, simulation, information intelligence and other modules to create a complete product closed loop from design to management, leading the future direction of industrial software.

#### Ansys: Pioneer in horizontal penetration

Ansys, founded in 1970, has focused on CAE and has grown to become the world's largest provider of multidisciplinary and multiphysics coupled CAE through continuous technological innovation and M&A expansion.

Siemens, Dassault, ANSYS: Lessons from the rise of industrial software giants

Founding & Professional Simulation (1970-1980)

  • 1970: Dr. John A. Swanson founded ANSYS with a focus on finite element analysis software.
  • 1971: Launch of ANSYS 1.0, the first commercial finite element analysis software.

Product Expansion and Market Growth (1981-2000)

  • 1980s: ANSYS expands its product line to include fluid dynamics and electromagnetic field analysis.
  • 1990s: The company goes public and shares are traded on the NASDAQ.

Globalization and Strategic Cooperation (2001-2010)

  • 2000s: ANSYS globalization strategy is implemented to expand international market share.
  • 2006: Acquisition of Flomerics, strengthening of fluid dynamics solutions.

Innovation-driven and future outlook (2011-present)

  • 2012: Introduced ANSYS 16.0 to introduce more advanced simulation technologies.
  • 2018: Acquired Optis to enhance optical simulation capabilities.
  • The 2020s: Continued innovation in simulation technology to revolutionize engineering.

Ansys' product line covers structural, fluid, electromagnetic and other fields, and its solutions are widely used in aerospace, automotive, energy and other industries. Through capital means, the company has promoted the enrichment and integration of solutions in the CAE field, and formed a comprehensive engineering simulation technology system.

#### Siemens: An innovative model of hardware and software integration

Siemens, a leading company in the field of industrial automation and digitalization, has developed a comprehensive portfolio of industrial software products through acquisitions and internal developments.

Siemens, Dassault, ANSYS: Lessons from the rise of industrial software giants

Founding and Technological Innovation (1847-1900)

  • 1847: Werner von Siemens founded Siemens AG to focus on electrical engineering.
  • 1866: The invention of the self-excited DC generator promoted the development of the electric power industry.
  • 1890: The company expands to the transmission and distribution of electricity.

Globalization and Diversification (1901-1960)

  • 1920: Siemens begins its global expansion, entering several international markets.
  • 1950: The company diversifies into the fields of transportation and medical technology.

Digitalization & Market Leadership (1961-2000)

  • 1970s: Siemens introduces the first digitally controlled machine tool.
  • 1990s: The company strengthens R&D in the fields of information technology and automation to promote digital transformation.

Global Leadership and Sustainability (2001-Present)

  • 2007: Siemens proposes the "Vision 2020" strategy to accelerate digital transformation.
  • 2014: Launch of MindSphere, the Industrial Internet of Things (IIoT) platform.
  • 2020s: Siemens is committed to achieving carbon neutrality and promoting sustainable technologies.

Siemens' Digital Industry Software division provides digital tools and system solutions for a wide range of industries, from product design to development, production and after-sales service. Launched in 2019, the Xcelerator platform realizes an integrated platform solution for the design, manufacturing, simulation, and experiment of products and production lines, and promotes the development of industrial software to horizontal and vertical.

#### Common factors for successful businesses

From the development history of these industrial software giants, we can summarize some common factors. First of all, high-end demand has given birth to product innovation in these companies. Secondly, the traction effect of practical application is crucial to the maturity of the product. Thirdly, commercial development provides enterprises with the necessary capital and user base. Finally, the support of the capital market provides the impetus for the continued growth of enterprises. These four links promote each other and together constitute the successful model of industrial software enterprises.

On the whole, the development model of industrial software enterprises reflects the process from high-end demand incubation, application traction growth, commercialization promotion and development to capital market support and growth. In order to cultivate successful industrial software enterprises, it is necessary to systematically plan from these four aspects, continuously accelerate the speed of development, gather resources, cultivate high-quality enterprises, and realize the sustainable and healthy development of industrial software enterprises. The success of these companies not only sets an example for the development of global industrial software, but also provides valuable experience and inspiration for the digital transformation of other industries. Industrial software will continue to play a vital role in the future industrial revolution, driving global industry towards a more efficient, intelligent and sustainable direction.

Read on