Web-delivered IT solutions such as software as a service (SaaS) are on the move in corporate IT departments and have the numbers to prove it, according to the latest figures released by research firm Gartner.

The technology is on course to rake in approximately $12.1 billion for 2011, a 20.7 per cent increase from the $10 billion total logged in 2010.

"Increasing familiarity with the model, continued oversight on IT budgets, and the growth of platform as a service (PaaS) developer communities and interest in cloud computing are now driving adoption forward," research director Sharon Mertz said.

The research firm projected that North American users will account for nearly two thirds of the global total for 2011, but that all regions have elevated interests in SaaS. What differs is what issues businesses seek to address when deploying the technology.

"Usage varies within markets, regions and countries, and the reasons for adopting SaaS vary by region," Mertz said. "Total cost of ownership (TCO) is a primary driver in Europe, Middle East and Africa (EMEA), while ease and speed of deployment is the key reason for choosing SaaS in Asia/Pacific and North America."

In Europe, the UK leads the way in SaaS deployment, along with neighbours Ireland, the Netherlands and several Nordic countries.

"This is due to a culturally open outlook toward technology adoption, well-established and generally good Internet infrastructure within these countries, and English being the primary business language," Mertz said.

Sharing the language with North America also allows companies breaking ground across the Atlantic to move overseas more easily, Mertz said.

Written by Jason Morton
 

Gartner says SaaS earns $12.1 billion annually