Essentially SaaS generically applies to three types of services: SaaS,Platform as a Service and Infrastructure as a service. SaaS involves renting application functionality rather than buying the software. Salesforce.com is one such example which offers a complete application suite. There are services like Message Lab which tailor their offerings according to your operational infrastructure.
Platform as a Service is all about providing a platform for applications to be developed upon. Microsoft Azure and Amazon are some of the platforms that exist in this space. Database management, security and workflow management are some of the facilities which are provided. Infrastructure as a service involves the offering of storage space and processing power on demand.
The SaaS makes use of the concept of virtualization in the context of server partitioning. The SaaS web apps market has grown considerably in recent years with cloud computing cited as the preferred means of IT setup and configuration for many mid-sized companies. SaaS is expected to cover 25% of the overall business software delivery market. There are some offshore companies who provide expert advice and implementation solutions to ward off the impediments during the transition.
A recent Springboard research survey revealed that out of the total audience which included Asia-Pacific SaaS users more than 35 percent of them were interested in using SaaS based ERP solutions for their organizations in 12 months. About 20% of them used SaaS ERP solutions. The research included an audience of 530 CIO and decision makers of various industries.
The SaaS based ERP market and SaaS web apps market is predicted and projected to rise from US$35 million in 2008 to US$193 million this year too. Most analysts predict that the SaaS market will grow faster in Asia especially in India and China. Most small and medium-sized businesses in US are leaning towards SaaS solutions and this is true for all mid-sized companies which comprise about fifty employees and are wary of spending on licensed software.
Custom SaaS application development involves low investment and this has proved favorable for different companies since they now have the liberty to try out newer applications without having to invest in infrastructure and resources. In most countries, diverse industrial companies and IT organizations are already accepting SaaS as their business delivery model so that there are no legacy issues. Already, adoption of SaaS and cloud computing is critical to more than 11% of the government agencies, as revealed by a survey conducted by Science Logic LLC which included many government employees. The percentage of users is expected to double up this year.
The majority of deployments involving SaaS web apps continue to be used in small initiatives except in small and medium size businesses. In small and medium size businesses, there are trends wherein vendors are providing diverse SaaS capabilities to support more technological processes, including integration with different applications and third-party apps especially for large projects. For tailor-made solutions catering to particular company needs, custom SaaS Application Development services are required. It is essential to opt for a platform, infrastructure or software solution as a service as required from vendors offering expert solutions.