This paper describes the results from an empirical study of the Austrian software industry, comprising the following areas: market structure and segments, external and internal environmental analysis. With the aid of a questionnaire a random sample of key executives in 174 Austrian software enterprises were interviewed. Data was analysed using descriptive, bi- and multi-variate statistical techniques. The results shown in particular include supplier structures and the relative relevance attached to certain product segments. The external environmental analysis comprises the identification of exogenous growth barriers, the internal analysis shows endogenous deficiencies and strengths. Therefore internal success factors, business process and product characteristics such as the rate of certified companies with respect to industry process quality standards (ISO, CMM) and key figures were analysed. Differences between micro, small, medium and large enterprises were also detailed in regard to all investigated research areas.