Software as a Service (SaaS) Will Impact Partnering Landscape, According to a New IDC Study

FRAMINGHAM, MA – December 10, 2007 – A recent IDC survey offers clear indications that partners believe Software as a Service (SaaS) is a key area of opportunity with the potential to dramatically change the partnering landscape. Survey respondents identified perceived revenue annuity as the factor making SaaS a particularly attractive long-term strategy.

"In 2008 we expect several major vendors and their respective partner ecosystems to become more engaged in the SaaS market," said Stephen Graham, group vice president of Software Business Strategies at IDC. "The survey results clearly show that partners are very optimistic about the potential opportunity that lies ahead and that they expect to link with other firms to realize this potential."

The IDC-ITPartner.net survey was conducted in September 2007 with members of the International Association of Microsoft Certified Partners (IAMCP) and a community of large IT distributors. The survey was designed to assess SaaS partner business activities, partner perceptions of SaaS, and the business impact of SaaS and partnering.

Among the key results from the survey are the following:

* 76% of partner respondents believe SaaS will dramatically impact the partnering landscape

* More than 70% of partner respondents view SaaS as an opportunity

* Many of the surveyed firms are already engaged in SaaS-related activities

* Implementation services and business services related to SaaS deployments are considered the most profitable opportunities associated with SaaS

* In order to be successful, organizations must effectively target their partner messaging

The forthcoming IDC study, The Channel View: SaaS Capabilities and Opportunities, assesses current perceptions of the IAMCP partner community regarding SaaS impact and opportunities for their firms. Also included is information regarding core messages to partners, how to build the SaaS value chain, and overall essential guidance.

For more information or to purchase the report, please contact your IDC Account Manager or email sales@idc.com.

About IDC

IDC is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. IDC helps IT professionals, business executives, and the investment community make fact-based decisions on technology purchases and business strategy. More than 900 IDC analysts provide global, regional, and local expertise on technology and industry opportunities and trends in over 90 countries worldwide. For more than 43 years, IDC has provided strategic insights to help our clients achieve their key business objectives. IDC is a subsidiary of IDG, the world's leading technology media, research, and events company. You can learn more about IDC by visiting www.idc.com.

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