[AfrICANN-discuss] Delivering Software as a service

Dr Yassin Mshana ymshana2003 at gmail.com
Sat Jun 16 15:20:32 SAST 2007

Dear AR,

Thank you for sharing this article with us. It seems that this
diversification will benefit the Suppliers more than day-to-day users. The
main reason being the current limitations to effect payments on line by
those in remote geographical locations (non-urban users). But, hey! this
creates a business opportunity for the middle-persons  and banks to handle
the small volume of  transactions (I think so).



On 15/06/07, Anne-Rachel Inné <annerachel at gmail.com> wrote:
> The article is too long so I am attaching a PDF of it.
> Article at a glance:
> Delivering software as a service
>     * Traditionally, companies buy software and then install and
> maintain these applications on their own machines. That model is
> giving way to one where companies will buy subscriptions and access
> services over the Internet from software developers that host their
> own applications.
>     * Some applications will migrate to the new delivery model faster
> than others, but all
> software makers should begin to explore the economics and necessary
> capabilities for online delivery.
>     * Revenue models for these developers will change, since software
> as a service delivers fees over time rather than large up-front
> license purchases.
>     * Customer service and R&D capabilities will also need to adjust
> to the reality of ongoing relationships with customers rather than
> periodic upgrades.
> -------------------------------------------------------------------------------
> This article contains the following exhibits:
>     * Exhibit 1: The economics of companies that deliver software as a
> service differ from those of large software companies, though they are
> similar to those of smaller ones.
>     * Exhibit 2: Applications are likely to migrate from traditional
> delivery to software as a service at different times for enterprise
> customers vs. small and midsize businesses.
>     * Sidebar exhibit: Software as a service offers a reduction in
> total cost of ownership.
> cheers
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