Thursday, June 26, 2008

Why SaaS

Yesterday, I gave a general overview and opinions on Software as a Service (SaaS) and how it pertains to the IdM space.

Today I wanted to speak about why SaaS might make sense for the IdM world.

First of all there's a definite possibility of reducing cost. If the applications are hosted elsewhere local costs (hardware, power, manpower, network bandwidth, etc) can all be reduced. From discussions here at Catalyst savings of up to 80% have been realized in some SaaS efforts. (In the spirit of full disclosure not all of these are IdM related)

Next, there's reduced support costs. Upgrades can be executed on site at the data center, travel and other consulting costs go way down. On the implementers side, efficiencies rise as engineers can easily work on multiple projects, implement updates, react to crises and have easier access to peers for support and escalation.

So basically SaaS gives us the opportunity to achieve economies of scale that allow customers and application providers to best provide service and reliability.
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