The document discusses the evolution of software delivery models from traditional software as a product to cloud-based software as a service (SaaS) and hybrid software-plus-services (S+S) models. It provides an overview of the advantages and challenges of SaaS, including cost savings but also concerns over data security and system performance. S+S aims to combine the benefits of locally-installed software with cloud-based services, though businesses still require an IT department. The document predicts continued growth of SaaS and convergence between the SaaS and S+S models as capabilities improve.

1. Emerging Service Technologies
Stephen Rosenfeld

2. Software as a Product
• Evolved with computers.
• Pay for one license and install on one local
machine.
• Data is transported via external memory
– Floppy disks
– USB disks
• Many license purchases means a large upfront
cost for businesses.

3. As a Product Cont.
• Majority of cost in producing a product goes
into creating the first installation.
• Difficult for new businesses to compete due to
such a large upfront cost.
– Results in industry giants.

4. Software-as-a-Service (SaaS)
• “Software as a Service (SaaS) is a software
distribution model in which applications are
hosted by a vendor or service provider and
made available to customers over a
network, typically the Internet “
– (SearchEnterpriseDesktop.com )

5. SaaS Cont.
• Gaining Popularity
– Increased availability and reliability
• Yearly licensing fees
• Hosted customers get ease of mind
– No local equipment needed (need for IT dept.).
– Service is completely supplied
• Servers
• Maintanance
• Support
• Troubleshooting

6. SaaS Advantages
• Cost Savings
• No Compatibility Issues
• Mobility
– Processing done on server.
– Anywhere access improves workflow.
• Upgrades
– Needed only on the server.
– Time & money

7. SaaS Cont.
• Data Backups
– Done in one place.
– No worries if hosted.
– Burden taken from businesses

8. SaaS Challanges
• All processing done on the server
– Too many users bog down system
• Data?
– Main concern
– Security
• Banks & Hospitals
• Sensitive and Valuable

9. SaaS Challanges
• Integration
– Clients used to rich applications.
– Applications stored on separate servers.

10. What Google Does
• Google Docs
– Instantly share documents with selected users.
– Document is updated in real time.
– Download documents in external formats

11. Google Cont.
• Google Apps
– Google Docs,
– Google Video
– Google Sites
– Email
– Calendar sharing

12. SaaS for small/medium businesses
• Lowest service level
– no hardware
– no software
– No upgrade costs
– Instant Upgrades
• Update documents online with coworkers
– Offline then upload to share

13. Software-plus-Service (S+S)
• “Software-plus-Services ….represents an industry
shift toward a design approach that is neither
exclusively software-centric nor browser-
centric. By deeply and genuinely combining the
best aspects of software with the best aspects of
cloud-based services, we can deliver more
compelling solutions for consumers, developers
and businesses.”
– http://www.microsoft.com/softwareplusservices/soft
ware-plus-services-full-story.aspx

14. S+S Advantages
• Users are not forced to upgrade.
• Functional without an internet connection.
• Share documents with others.

15. S+S Challanges
• Bussinesses are not able to alter their IT dept.
– Cannot be (fully) externally hosted.
• Where is my data being stored?
– Some data stored via services, but not all
• Device must have physical and virtual memory
• Compatiblity
• Install Permissions

16. What Microsoft Does
• Microsoft Live
– Microsoft Instant Messenger
– Mail
– Movie Maker (currently in Beta)
– Writer (for blogging)
• Microsoft Office Live
– Collaborate during development
– Single file access

17. Microsoft Cont.
• Microsoft Live Mesh
– Sync files across devices
– Notified when files are updated.
– Tool for developers to “mesh” their own applications.
• Windows Azure
– runtime environment
– “on-demand compute, storage, and automated
systems management”
http://www.microsoft.com/azure/webdev.mspx#what
is

18. Where is SaaS going?
• Internet access continues to become faster and
more reliable.
• Application integration tools (APIs) to allow
communication between multiple SaaS systems
– Convenience
• Allow users to interact with their documents
locally (much like S+S)
– Google Docs Offline
– Google Toolbar

19. Where SaaS is going.
• Google will need to find ways to attract users
to charged services.
• Offer the right services for a small amount of
money to many people.

20. Where is S+S going?
• Main Disadvantage cannot be overcome
– Businesses using S+S will still need to employ an IT
department
• Installations may not be possible due to
– permissions
– system requirements
• Low functionality web delivered apps (SaaS)

21. Leading To
• SaaS and S+S applications will begin to collide.
• S+S will offer online only services.
• SaaS will offer offline alternatives.