Europe is 'ready for SaaS'
News Article - Wednesday, April 9, 2008 11:30
Filed under: Hosting, Storage & Managed Services
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The European industry is ready for software-as-a-service (SaaS) and strong growth is predicting in the next two years, according to research.
Analyst firm IDC said that "positive and ambitious" spending indicators in the region has led to them forecasting growth in the hosted applications market, reports IT Pro.
Over a third of western European organisations who were surveyed said they expected to adopt some from of SaaS to replace a current enterprise resource planning system, in the next 24 months.
Bo Lykkegard, research director of IDC European Enterprise Applications and Services programme, told the website: "We were somewhat surprised that European end users are so positive when it comes to investing in business solutions delivered as a service.
"European organisations seek to leverage the SaaS delivery model to reduce risk, complexity, and upfront costs of new IT initiatives."
A further 35 per cent said they would invest in SaaS to replace customer relationship management systems, with 32 per cent wanting to substitute a new supply chain management system.
Earlier this year, it was predicted that SaaS would play a dominant role in a company's IT.
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