About SaaS

Software as a Service (SaaS) is an emerging and high growth market estimated in 2009 to be a $10 billion dollar market growing at over 40% a year (source: IDC). Salesforce.com (CRM) and WebEx (web conferencing) are examples of market leaders in the SaaS space. The primary difference between SaaS and traditional software is that the software is delivered and consumed on a subscription basis, on demand, over the Internet, rather than run locally and is priced on a per-user basis.

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TRADITIONAL SOFTWARE	SOFTWARE as a SERVICE (SaaS)
Capital expense	Operating expense
Higher upfront cost	Lower upfront cost
Standard time to value	Faster time to value
Complex deployment	Easy deployment
Difficult maintenance	No maintenance
High risk	Low risk