SaaS revenues growing at steady, rapid pace
23 September 2011 15:13:28
While various cloud computing products have experienced much success since the advent of the new IT technology, Software-as-a-Service has been among the fastest trending technology in recent history. A recent article in eWeek reported that industry firm Gartner published a report projecting SaaS revenue to reach $12 billion worldwide this year, a 20.7 percent increase from 2010.
According to the website, Gartner's report explained that North America will likely account for 63.6 percent of all SaaS revenue, totalling $7.7 billion by year's end. The firm asserts, SaaS revenue in North America is projected to approach $13 billion by 2015.
"Increasing familiarity with the model, continued oversight on IT budgets and the growth of Platform-as-a-Service developer communities and interest in cloud computing are now driving adoption forward," Sharon Mertz, research director at Gartner, said in the report. "Usage varies within markets, regions and countries, and the reasons for adopting SaaS vary by region."
The website noted that SaaS revenue in Western Europe will likely reach $2.7 billion by the end of this year.
Improvements to security will likely fuel growth in the cloud industry, as the Cloud Security Alliance announced this summer it would release the Security, Trust and Assurance Registry to improve the reputability and accountability of the technology.
-McAfee Cloud Security
