Analysts assess sector trends, create segment taxonomies, size markets, prepare forecasts, and develop industry models.
The IIAR provides this official definition:[1] An information and communications technology (ICT) industry analyst is a person, working individually or within a firm, whose business model incorporates creating and publishing research about, and advising on how, why and where ICT-related products and services can be procured, deployed and used.
Most analyst firms focus on one or more market segments, such as cloud computing, wireless communications, audit services, or pharmaceutical industry safety monitoring.
Computer Review is the oldest analyst firm that has been in continuous operation since its inception in 1959, as Adams Associates.
International Data Corp has been providing industry analyst and publishing services since 1964, and continues to be operated as a private company by its founder, Patrick Joseph McGovern.
The "traditional" business model, based on continuous information services (CIS, aka subscriptions) where analysts author reports that are then sold to many clients is under pressure.
Industry analysts provide a combination of syndicated and client-sponsored (bespoke) market research, competitive intelligence, and management consulting services.
Increasingly, analyst firms and their subcontractors employ online survey tools and offshoring to reduce research costs and turnaround time.
In some cases, analyst firms are mining new sources of information from research partners, like consumer cell phone bills, RFID-enabled point of sale data, and analytics on Web traffic.
Companies participating in the industry analyst profession have not adopted universal standards for employee education, skills, or professional conduct.
In short, analyst firms often rely heavily on revenues from the technology providers they cover (e.g., Darwin magazine, March 2001).
This occurs when licensing research or performing advisory work, or when conducting detailed briefings in advance of announcements.
Burton Research, for example, enforces a cap of 20% of revenues to be derived from product vendors or service providers.
Real Story Group is a small boutique firm that performs research on products and publishes evaluations.