A recent PC World article outlines a research report from Saugatuck Technology that predicts the increasing complexity of integrating Software as a Service offerings into legacy desktop software.
While there are obviously challenges integrating Web-based software with client-server software, this report is short-sighted. There are three main issues:
1. Integrating two client-server software products is already a huge challenge.
The multi-Billion software and services market for integrating legacy apps exists for good reason. 18 month implementations in enterprise software are not uncommon. The challenge of integrating SaaS applications into client-server applications is not going to add complexity to deployments - it is going to drive businesses to adopt SaaS faster. Further, integrating a SaaS application with a good API/SDK (which most have) is easier than integrating two legacy applications that were not designed for a world of open standards and Web Services API's.
2. There is no such thing as "offline applications" anymore.
Today's enterprises all have multiple offices, remote workers, VPNs, and broadband connections. Corporate users demand anywhere, anytime access. Therefore, it is inaccurate to talk about security of offline applications. The Internet is already the conduit for access to corporate applications. The only question is whether the application itself sits behind the firewall, or in the cloud. Companies that specialize in providing SaaS applications, and have dedicated 24x7 security teams are much more likely to have more sophisticated protection than your average mid-market or enterprise firm.
3. The SaaS vendors will make integration a competitive advantage.
The IT staff at each individual corporation will not have to do the heavy lifting. SaaS companies will increasingly realize that by exposing more and more interface options to a company's data and applications, they will increase the appeal of their own applications. SaaS vendors will work together to develop a single integration between platforms (a la Google and Salesforce.com's rumored partnership), enabling thousands of companies to integrate with a single click.
Every major ISV is racing toward a SaaS offering right now. In the process they will blow open what were previously closed-wall platforms. The smartest ones will make integration extremely easy, and build their businesses in the process.
- David Koretz
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