SaaS and Cloud Terminology

December 14, 2009
By manchester

Today, we noticed an interesting blurb from a lead analyst at a well known research company. The note appeared in an article about SAP’s hybrid approach to ERP.

Before I get started, I need to point out that I’m using the word “cloud” as a synonym for software as a service (SaaS) and/or on demand, rather than jumping from one term to another

Uh, oh. The author had good reasons for doing this (SAP’s on-demand software is different from their on-premise software), but the idea of internal and external clouds should be maintained. SaaS and on-demand software runs on external clouds by definition. Licensed software can be deployed on an internal or external cloud.

In this blog we separate cloud and SaaS categories – maybe we have to merge them?

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One Response to “ SaaS and Cloud Terminology ”

  1. Kevin on December 22, 2009 at 11:32 am

    I’m a former Product Manager at WorldCom, in 2000 we offered a suite of services that were SaaS accessed via the net, back then the term was ASP, but we referred to offering our services via the cloud because our network diagrams all showed the servers and functionality in the cloud. So I’m not an IT professional but my experience would agree with this definition. I often wrestle with the definition of SaaS and cloud because of the service I market we are a hybrid SaaS Service Bureau offering and have to use the buzzwords even though there are misconceptions about the definitions.

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