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Byline: J. BONASIA
Amid the recession and corporate financial scandals, only five software firms had the nerve to go public last year.
But 2004 could see a return of software initial public offerings, say analysts.
Software companies Salesforce.-com Inc. and Motive Inc. filed IPO papers in December. And Salesforce rival Netsuite Inc. says it definitely plans to go public by year's end.
At the same time, Electronic Data Systems Corp. and Chinadotcom Corp. late last year revealed plans to spin off software units they might then take public.
On top of this, the tech IPO market may get a big jolt early this year. Search engine Google Inc. -- which could be considered a software company -- stands to raise billions of dollars in an IPO expected this spring. But some say that deal might be called off or delayed.
Still, "the market is less twitchy," said David Menlow, president of IPOfinancial.com, a Web site that tracks stock offerings. "Investors are willing to take a different outlook. There's a sense that the shakiness in the economy may be mostly behind them."