Microsoft Wants To Have Its SaaS Cake...And Eat It, Too - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

IoT
IoT
Mobile // Mobile Applications
Commentary
11/7/2006
12:43 PM
50%
50%

Microsoft Wants To Have Its SaaS Cake...And Eat It, Too

Microsoft wasn't about to get one-upped by Dave Duffield. As the PeopleSoft founder was answering questions yesterday about Workday, his new software-as-a-service company, Bill Gates was expounding on his SaaS vision at a conference in Munich.

Microsoft wasn't about to get one-upped by Dave Duffield. As the PeopleSoft founder was answering questions yesterday about Workday, his new software-as-a-service company, Bill Gates was expounding on his SaaS vision at a conference in Munich.Microsoft is now offering to its channel partners a subscription licensing model for the Microsoft Dynamics line of ERP applications. The new model is intended to get partners offering Microsoft apps via a hosted service.

But will businesses buy into this idea of Microsoft as both a purveyor of hosted apps and the developer of the big, hefty software that sits on our servers and desktops? Yesterday's subdued announcement didn't have 1/10th the noise we'll get with the upcoming deliveries of Vista, Exchange, and Office 2007. In the SaaS market, Microsoft faces Salesforce.com and now Workday, which don't have big software baggage.

No question that the SaaS sweet spot is small and midsized businesses--companies that don't want to deal with software and likely have a skeletal (or no) IT department. Still, it's a big market. But Microsoft as a hosted software vendor, let alone an ERP vendor? I'm thinking it'll be a tough sell. And I'm not the only one predicting problems.

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
News
Top 10 Data and Analytics Trends for 2021
Jessica Davis, Senior Editor, Enterprise Apps,  11/13/2020
Commentary
Where Cloud Spending Might Grow in 2021 and Post-Pandemic
Joao-Pierre S. Ruth, Senior Writer,  11/19/2020
Slideshows
The Ever-Expanding List of C-Level Technology Positions
Cynthia Harvey, Freelance Journalist, InformationWeek,  11/10/2020
White Papers
Register for InformationWeek Newsletters
Video
Current Issue
Why Chatbots Are So Popular Right Now
In this IT Trend Report, you will learn more about why chatbots are gaining traction within businesses, particularly while a pandemic is impacting the world.
Slideshows
Flash Poll