SaaS Just a Sliver of a Splinter of IT Spend
Dennis Byron submits: I posted recently about how the concepts enterprise software market, software as a service (SaaS), public cloud computing and open source are so often mixed up and treated as though they are different IT investment opportunities. When the post appeared on seekingalpha.com -- as some of my posts do -- Kevin Dobbs posted a reply saying that SaaS was different. I repeat his comment and my reply below on how I think they are linked. But in thinking about my reply to Kevin, it dawned on me that my analysis that SaaS is only 5% or so of enterprise software spend, is misleading. Given that SaaS subscription fees also cover a CIO's personnel costs and hardware costs, as well as software license and maintenance (content update) costs, the better way to analyze it is to look at SaaS as a percentage of overall IT spend--which could be somewhere north of $10 trillion depending on what you include.Complete Story » seekingalpha.com |
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