On Software as a Service (SaaS)

November 14, 2007

By Steve Keifer, Vice President, Global Marketing, and Mark Morley, Industry Marketing Director, GXS

Industry analysts, software vendors, technology press and even the investment community are all talking about Software as a Service or SaaS. But what is SaaS? And how is it different from traditional software approaches? More importantly, how is it relevant for your business? The concept behind Software as a Service (SaaS) is very simple. Instead of licensing a perpetual software license, SaaS users subscribe to an application for an ongoing monthly recurring service fee. The SaaS vendor hosts the application in its own data center providing all the maintenance, upgrades and support activities. This, of course, differs from the traditional software model in which a corporation customizes, manages and operates the software themselves.

SAS model
How do SaaS Environments Work?
Introducing SaaS 2.0

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