Microsoft: SaaS Growth Expected in SMB Market

SaaS adoption among SMBs is on the rise.  That's the latest from Microsoft in a recent article in PC World. 

According to a recent survey conducted my Microsoft, 86% of the 600+ small to medium sized businesses that participated in the survey said they expected to deploy SaaS in their organization over the next year.  Further, 55% of the survey participants indicated that they were planning to spend the same or even more on IT over the next year. 

This is a great sign considering the current economic climate.  It not only shows that SMBs are still looking to spend, but that they're looking to spend on SaaS applications.  Why?  Eduardo Rosini, corporate vice president for Microsoft's worldwide small and midmarket solutions and partners group, says in the article that it's because SMBs are "interested in 'doing more with less' and optimizing the IT resources they already have. SaaS allows SMBs to do that while also letting them embrace new technologies they might not otherwise afford, since they don't have to deploy new IT infrastructure to deploy new software."

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[4gb micro sd]

An increasing number of telcos are launching services focusing on SMBs' local needs. Telstra, for example, launched its SaaS proposition in April, with offerings including Workforce Guardian, an HR service that helps SMBs in Australia to create compliant employment contracts. It has now announced Xero, a hosted accounting tool that provides SMBs with access to bank transactions, invoicing reports and tax data. In both cases, applications will run based on local requirements.

[business invoicing software]

IDC predicts that while SMB IT spending will recover, the impact of the recession will linger, impacting spending. The conference call provided insights into how SMB spending on IT is changing by company size, by geography, and by technology.

-kim