Virtualization will drive SaaS Adoption

Growth in virtualization has increased adoption of the Software-as-a-Service (SaaS) model, with “three-quarters of organizations” believing that “server virtualization will drive adoption of Software-as-a-Service (SaaS)” in the future. This according to survey of 100 IT directors commissioned from Vanson Bourne by web hosting firm Hostway.

The study found that the lack of available virtualization technologies had held back the uptake of SaaS products. Prior to the emergence of virtualization technologies, service providers faced a number of difficulties around offering SaaS affordably and reliably as an outsourced business service.

“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 IT directors is you will see more SaaS-enable your applications on the market. Neil Barton, director at Hostway, said: “Companies are certain that SaaS will make their application usage more cost-effective because of the reduction in software management costs, and the ability to eliminate buying too many or too few software licenses.”

Posted under Cloud Computing, SaaS, Virtualization Strategies

This post was written by admin on October 6, 2008

Tags: , , , , ,

Leave a Comment

You must be logged in to post a comment.

More Blog Post