Overview and revenue model
AVEVA is an industrial design and management software company. It was founded in 1967 as a government-funded research institute created by the then UK Ministry of Technology at the University of Cambridge. The Company’s original mission, to develop computer-aided design techniques for use by British industry, has been achieved and indeed greatly exceeded.
The Group now operates in more than 30 countries across the globe and provides the design technology that has created some of the world’s largest and most complex engineering assets.
Growth opportunities today are as exciting as they have ever been, as industries look to drive efficiencies by adopting a Digital Asset approach throughout the life cycle of physical assets. Our vision is of constantly-evolving digital assets enabling our customers to manage continual change as they design, build and operate some of the world’s most complex physical assets.
Customers license our software for a specified number of users by paying an initial licence fee followed by an obligatory annual fee or by paying a rental fee over a fixed period of time. In both cases, the customer has to continue to pay a fee in order to use the software. This model
provides a strong recurring revenue base for AVEVA which allows us to invest in a future roadmap of our products.
At the core of AVEVA’s business is the intellectual property in our software products. AVEVA has a 50 year track record of developing industry-leading products, including the world’s first 3D plant design system. We have over 600 highly skilled research and development staff, primarily based in our core Cambridge and Hyderabad centres. We spent £31.9m on research and development in the financial year ending March 2017.
Customer and markets
Our products are most applicable in industries where scale and complexity are the greatest challenge. These include: Oil & Gas, Marine, Power, Petrochemical & Chemical, and other markets such as AEC Fabrication, Paper & Pulp, Mining and Pharmaceuticals. We have over 4,000 customers including many of the world’s leading Owner Operators, EPCs, shipbuilders and industrial conglomerates. Many of these customers have relied on our technology for decades.
We have a global network of 50 offices in 30 countries, meaning that we can provide customers with local sales and support in all of the world’s major economies.
AVEVA’s innovation means that our customers can make informed, confident decisions at every stage of the project life cycle with our Digital Asset approach. Every step of an asset’s life cycle is an opportunity to work faster, act smarter, reduce risk and save costs.