Gartner: Software as a Service To See Continued Strong Growth

by Bill Harrison on December 15, 2008

More and more, I like the concept of software as a service, and so do a lot of industry leaders. The marketing research firm Gartner is bullish on the Software as a Service (SaaS) market, as Amy Schurr wrote in a recent article in Network World: "IT leaders in need of updated applications but can't swing the capital investment may wish to consider software-as-a-service. A new report from Gartner forecasts the worldwide enterprise SaaS market will surpass $6.4 billion this year, up 27% from 2007."

And despite (or perhaps because of) the economic downturn, SaaS is expected to see continued growth: "In fact, Gartner forecasts the SaaS market to hit $14.8 billion in 2012. What’s driving deployment are the tough economy, better broadband, and a need to rapidly deploy software to meet a specific business need." (emphasis added)

For quite a while we have thought SaaS is bound to grow because it just makes good common sense. I’m glad to see that Gartner’s take on the market supports that view.

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Bill Harrison
VP of Products and Technology at W-Systems
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