Explore why not just revenue streams and business models are slowing the
demise of installed software. And see how independent software vendors and
their customers are leveraging the cloud....
Software-as-a-Service (SaaS) has arguably been around since the launch of
SalesForce.com in 1999. We could even say that it’s inception pre-dates
even this milestone, but under a different name - Application Service
Provider (ASP). Remember those?
The revenue growth rate of the SaaS market is a healthy 22%, and has grown to
around $12 billion annually. At the same time, installed software is around
$150 billion annually and still growing at about 12% per year. Why is that?
Why isn’t the traditional software market dying a quick and rapid death?
While commentators say that it’s just traditional ISV’s (Independent
Software Vendors) dragging their feet, there’s more to it than that... (more)
Reading an article by Cloud prognosticator David Linthicum, we were very
happy to see another market move aggressively towards the cloud.
According to the research collected by Markets and Markets, the cloud
computing market in the health care sector is expected to grow to $5.4
billion by 2017.
While privacy and security are still cited as reasons to be cautious, users
of the cloud are finding security models and technology that they can use
today in the cloud.
Here is the key paragraph that relates to every industry out there:
“Most IT organizations in the health care sector do... (more)
IDG just published a very concise summary of some of the myths about cloud
computing that regularly do the rounds. Written by HP and Intel, it’s a
very quick read, but useful reminder of some of the key topics related to the
adoption of cloud computing.
Here are the main points:
Myth #1: The public cloud is the most inexpensive way to procure IT services
As our own analysis has shown, when your workloads are running constantly and
you already have a private cloud or data center, you’re better sticking
with what you have than moving to the cloud. One of the key benefits of the
There’s an excellent discussion going on over on the Cloud Computing Google
Group about the pace of migration of traditional software to a SaaS model.
Here I recently went into some of the very real reasons why the migration is
slower than some would like, but didn’t really talk about the pace of
adoption. There are some numbers that make for some interesting analysis.
According to PwC, in 2009, the top 100 software vendors (traditional
non-SaaS) generated 3.7% of their revenues from SaaS in the US; and 1.1% of
their revenues from SaaS in Europe. In the same report, the US has a ... (more)
Interlaken is the name of a very picturesque town in Switzerland (pictured),
but it’s also the name of the next communications protocol that will be
driving a cloud near you! Maybe the fact that Interlaken, the town, sits
between two huge lakes in the Alps is what inspired the name of the protocol.
Think of the lakes as huge pools of data that needs to move from one lake to
another. You get the idea.
Chip-to-chip bandwidth is one of the major bottlenecks in cloud computing as
the amount of data that needs to be moved around increases incessantly. Cisco
and Cortina Systems recog... (more)