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The SaaS vs. On Premise TCO Calculator

Total Cost of Ownership is a key metric for maintaining software solutions. This simple calculator presents rough TCO calculations for both Software-as-a-Service and on-premise application implementations.


242 KB | 3 files | null DOC,null ODF,null XLS

The purpose of this calculator is to let you quickly compare the total cost of ownership (TCO) of a software-as-a-service (SaaS) solution to the TCO of an on-premise solution. The values this calculator provides are approximations, and can in no way obviate the need for a careful cost/benefit analysis. But they can serve as a first step in determining whether the potential delta between the two approaches is large enough to warrant further investigation.

The calculator presents two results: TCO, and annual costs, which is the sum of the annual licensing/subscription fees, annual management costs, and the total cost of start-up and upgrades amortized over the number of years in the calculation.

The attached Zip file includes:

  • Intro Page.doc
  • SasS-vs-OnPremise1.2.xls
  • SasS-vs-OnPremise1.2.ods