Microsoft has reemphasised its US$6 billion commitment to delivering software as a service (SaaS) and has outlined bold plans for a partner programme as well as explaining why the hosted model need not be bad news for its traditional channel.
To drive entrepreneurship on the software-as-a-service (SaaS) model, Salesforce.com will set up AppExchange "incubators" for software developers in yet-unspecified locations around the world by next year, says chief executive officer Marc Benioff.
Salesforce.com's US$25 million venture capital fund is great for developers, say analysts -- as long as providing support costs to a global market doesn't kill the start-ups.
Salesforce.com is trying to persuade its customers to use its hosting platform, called force.com, to serve up their online applications, but even the company's leaders admit that most people still view it simply as a hosted CRM platform. Will its rebranding and development strategies help it to turn the corner?
SAP's on-demand suite Business ByDesign is more evidence of the growing thirst for hosted applications, but some analysts warn there is a catch to variable pricing: the only way is up.
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