dcsimg

Worldwide Software as a Service Revenue Expected to Reach $14.5 Billion in 2012

  • Worldwide Software as a Service Revenue Expected to Reach $14.5 Billion in 2012-

    SaaS revenue in Asia/Pacific is on pace to reach $934.1 million in 2012, up from $730.9 million in 2011. Overall, SaaS adoption in Asia/Pacific has been fragmented. Asia/Pacific (excluding Japan) is a combination of mature markets, such as Australia, New Zealand, Hong Kong, Singapore, South Korea and Taiwan, and emerging markets, including China, India, Malaysia, Thailand, Indonesia, Vietnam and the Philippines. SaaS financial (accounting) applications are most popular, particularly in China and India. The next-highest SaaS usage is for ERP functions — such as expense management and employee performance management — followed by office suites, email and the CRM sales function.

1 | 2 | 3 | 4 | 5 | 6 | 7

Worldwide Software as a Service Revenue Expected to Reach $14.5 Billion in 2012

  • 1 | 2 | 3 | 4 | 5 | 6 | 7
  • Worldwide Software as a Service Revenue Expected to Reach $14.5 Billion in 2012-4

    SaaS revenue in Asia/Pacific is on pace to reach $934.1 million in 2012, up from $730.9 million in 2011. Overall, SaaS adoption in Asia/Pacific has been fragmented. Asia/Pacific (excluding Japan) is a combination of mature markets, such as Australia, New Zealand, Hong Kong, Singapore, South Korea and Taiwan, and emerging markets, including China, India, Malaysia, Thailand, Indonesia, Vietnam and the Philippines. SaaS financial (accounting) applications are most popular, particularly in China and India. The next-highest SaaS usage is for ERP functions — such as expense management and employee performance management — followed by office suites, email and the CRM sales function.

Worldwide software as a service (SaaS) revenue is forecast to reach $14.5 billion in 2012, a 17.9 percent increase from 2011 revenue of $12.3 billion, according to Gartner, Inc. SaaS-based delivery will experience healthy growth through 2015, when worldwide revenue is projected to reach $22.1 billion.

"After more than a decade of use, adoption of SaaS continues to grow and evolve regionally within the enterprise application markets," said Sharon Mertz, research director at Gartner. "Increasing familiarity with the SaaS model, continued oversight on IT budgets, the growth of platform as a service (PaaS) developer communities and interest in cloud computing are now driving adoption forward."

Although growing interest has been observed in vertical-specific software, the most widespread use is still characterized by horizontal applications with common processes, among distributed virtual workforces and within Web 2.0 activities.

"The top issues encountered when deploying SaaS vary by region," Ms. Mertz said. "Limited flexibility of customization and limited integration to existing systems are the primary reasons in North America. In EMEA, network instability is the issue most frequently encountered, whereas longer-than-expected deployments are the top issue in Asia/Pacific. Vendors are more aggressively pursuing SaaS buyers outside traditional markets by offering local-language availability, forming alliances and constructing data centers to accommodate local requirements."

More Slideshows:

Getting Consensus on Business Requirements: Tips and Traps The toughest job in the requirements definition stage is to get stakeholder agreement as a systematic, expected deliverable in the project cycle.

Six Reasons Windows 8 Could Be a Threat to the iPad Reasons why Windows 8 is fierce competition.

Top 10 Highest Paying Cities for Technology Jobs Big cities reign supreme for high paying technical positions.