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SaaS: Big Enterprises Say 'Yes'
SaaS runs counter to software strategies of large companies? That may have been the case, but that view is changing quickly. 73 percent of large companies now say that they currently use or plan to adopt SaaS over the next 18 months. Those are the results of a Kelton Research survey.
- Executives like the idea of software by subscription. Only 21 percent said that they favored the traditional approach of paying a lump sum upfront for software that is depreciated over time, compared to the pay-as-you-go style of SaaS services.
- Even though the model is different, executives are still planning to keep their software budgets constant after adopting SaaS. 55 percent expected to see no change in budgets.
- Many executives feel a certain sense of liberation with SaaS, with little or no dependence from their local IT department. But 35 percent worry that IT will veto their SaaS choice should they find out about it.
Large company executives are not without concerns, and many of those are the same ones that have plagued SaaS from day one:
- 62 percent of executives worry about keeping sensitive company data outside of the company firewall
- 56 percent worry that SaaS systems will not easily integrate with other company-wide IT initiatives and program
