Software MetaMORPHosis, Global Opportunities through Software as a Service

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Information about Software MetaMORPHosis, Global Opportunities through Software as a Service

Published on May 25, 2008

Author: morphlabs



The software industry is changing at an incredible pace and the Philippines has an opportunity to take advantage of this change. Business applications are evolving to become specialized and accessible to nearly every audience regardless of their size or location. The trend is to use the internet to deliver these software applications - the term is Software as a Service (SaaS).

SaaS is not a new concept in the connected world, but what makes it the technology buzzword of today? In this session, we’ll discuss how SaaS has become a pervasive concept in the connected economy, its potential to harness the global market, and how Philippine innovators can take advantage of it. We’ll also compare how different the traditional service delivery model is to SaaS, along with its other enablers like Platform as a Service (PaaS), Open Source and online communities.

Software MetaMORPHosis Global Opportunities through Software as a Service Jerome Gotangco Platform & Infrastructure Manager of Morph Labs

Shift to On-demand Services • Revolt against overly complex pricing models • Collaboration, partner-driven work environments • Economics : supply and demand

What is Software as a Service Delivery model Software is pre-installed Customers rent vs. buy Fully deployed solution

SaaS vs. Packaged Software Traditional Software Software as a Service Dedicated instance, install Architecture and manage each customer Multi-tenant as an individual Time to deploy Moderate to lengthy Instant Customer buys software Pay-as-you-go, subscription Pricing license and hardware, pays fees for maintenance fees

SaaS is a growing tech force SaaS Worldwide Revenue By 2010, at least 65% of in billions USD $15 businesses will have deployed at least one $10 SaaS app $5 “SaaS is now a basic fact $0 of life in IT and in 2008 2009 2010 2011 business” data from Gartner

Asian SaaS market heats up US$ 1.16B market in 2010 in Asia (excluding Japan), with CAGR of 66% CRM as largest SaaS app segment by revenue in Asia “SMBs in verticals like technology, trading and distribution services, software services have been early adopters of SaaS in Asia Pacific” Australia China/HK Korea data from Springboard Research India Singapore Others

Why SaaS: benefits of On-demand For the end-users For the vendors Cost advantages Ease of Ease of implementation & implementation & management management Faster time to value Focus on core Long-tail revenues competencies

Barriers to SaaS adoption Lack of awareness or understanding Resistance to paying for services and piracy Lack of trust and perceived reliability Security concerns Difficulty in integration Bandwidth issues

Agents of Change Rapid growth of consumer technology markets Platform as a Service enables SaaS Open source enables rapid application development Online communities pave the way for viral adoption

Future of IT • Emergence of micro software vendors • Aggregators become the next Google • New consumers

Thank you!

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