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Gartner expects enterprise software-as-a-service revenue (SaaS) to more than double by 2012.

There has been a 27 percent increase in SaaS revenue this year, up to $6.4 billion. “The popularity of the on-demand deployment model has increased significantly within the last four years. Initial concerns over security, response time, and service availability have diminished for many organizations as SaaS business and computing models have matured and adoption has become pervasive,” said Sharon Mertz, research director at Gartner.

The advantages of SaaS are IT affordability, shorter implementation cycle, reduction of IT costs, and scalability.

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enterprise2.0 saas gartner prediction adoption growth kimindfr

Gartner expects enterprise software-as-a-service revenue (SaaS) to more than double by 2012.

There has been a 27 percent increase in SaaS revenue this year, up to $6.4 billion. “The popularity of the on-demand deployment model has increased significantly within the last four years. Initial concerns over security, response time, and service availability have diminished for many organizations as SaaS business and computing models have matured and adoption has become pervasive,” said Sharon Mertz, research director at Gartner.

The advantages of SaaS are IT affordability, shorter implementation cycle, reduction of IT costs, and scalability.