Redshift (theory) - Traditional Computing Markets (Blueshifting)

Traditional Computing Markets (Blueshifting)

Redshift theory suggests that traditional computing markets, such as those serving Enterprise Resource Planning (ERP) or Customer Relationship Management (CRM) applications, have reached relative saturation in industrialized nations. Thereafter, proponents argue further market growth will closely follow Gross Domestic Product (GDP) growth, which typically remains under 10% for most countries annually. Given that Moore's Law continues to predict accurately the rate of computing transistor growth, which roughly translates into computing power doubling every two years, the Redshift theory suggests that traditional computing markets will ultimately contract as a percentage of computing expenditures over time.

Functionally, this means “Blueshifting” customers can satisfy computing requirement growth by swapping in faster processors without increasing the absolute number of computing systems.

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