It's no party like 1999, but still welcome news to enterprise system vendors. In another sign of a turnaround, AMR Research is projecting a 3% increase sales of enterprise systems this year, to $36.9 billion, to be followed by a 5.9% increase in 2004. The research firm sees the fastest growing segments as CRM (9% growth) and supply chain management (5.6% growth). AMR attributes the optimistic outlook to an improving economic climate, pent up demand for new systems, and increased penetration of ERP vendors in markets such as supply chain management and CRM.

The San Jose Mercury News has a summary of the report.