Market for SaaS is forecast to reach $US8b in 2009 up from $US6.6b last year.
It is also expected to double to $US16b by 2013.
Hot areas are –
– horizontals with common processes among distributed virtual workforce teams and web 2.0 initiatives.
– office suites and digital content creation
– enterprise resource planning and supply chain management
– human capital management and procurement
– customer relationship management (now at 18%!)
Key drivers were –
– rapid deployment
– rapid return on investment
– less upfront capital
– decreased reliance on limited implementation resources
– greater competition
– increased focus by mega vendors giving legitimacy to the space
Secondary benefits of a SaaS strategy were –
– backups outsourced
– updates and maintenance outsourced
– resourcing and operations outsourced
Thanks to Gartner Research and The Rust Report. Quality reporting as usual.