Category Archives: SaaS

Businesses believe Virtualization will Drive SaaS Adoption

According to new research by web hosting firm Hostway, over three quarters of organisations believe that server virtualization will drive adoption of Software as a Service (SaaS).

More than 60 percent of respondents said that they play to adopt SaaS in some form within the net five years. About 45 percent of those surveyed believe that the technology has not taken off until recently because of a lack of available virtualization technologies.

Before server virtualization, SaaS providers found it difficult to reliably offer software on demand, according to the research.

“Without virtualization the business model for SaaS would not be viable,” said Hostway director Neil Barton.

“The business model for SaaS means you need to get a high level of utilization from the servers that the applications in the cloud sit on. Virtualization enables this. The message to application vendors is that you need to either SaaS-enable your applications yourself, or partner with people who can allow your applications to be offered as a service.”

Software as a Service is a model of software deployment whereby n application is hosted as a service provided to customers across the internet. This means the customer does not need to install and run the application on the customers own computer, thus removing the need for maintenance, and support.

The advantage of SaaS is that payment for a specific application can be spread out rather than a single expense at the point of purchase.

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