Businesses told to assess software needs
Software as a service (SaaS) may not have followed through with early promises, which will impact its position in the future of IT.

Software as a service (SaaS) will play a role in the future of IT, but it won't be as key as originally thought and businesses have been told to
re-evaluate their software needs as a result.
So claims a report issued by analyst Gartner, which claims an estimated 90 per cent of all current SaaS deployments are not pay-per-use.
"SaaS changes the role of IT from implementing its own operations to inspecting a vendor's operations," said David Cearly, vice president and fellow at Gartner, in a statement.
In 2009, Saas represented 3.4 per cent of total spending within enterprise applications, a slight increase from 2.8 per cent in 2008, the report said.
The same practices, which occurred with on-premises software, are now being used within SaaS.
The report said the biggest example is shelfware, a service where software subscription is paid for but not accessed by an end user.
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"This most commonly occurs in large organisations, but it could happen to any company, especially those that have downsized their workforce, or one that has oversubscribed to trigger a volume discount," Cearly added.
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