Cloud Service Commerce 101


What You Need to Know About the Revolution in Software Sales and Distribution

Remember when software came on CD-ROMs sold in boxes on store shelves? Times have certainly changed; today, businesses can search online for the applications they need, sign up for a subscription, and start using the software all within minutes—and without ever having to worry about maintaining the solution.

These cloud-based solutions, also called cloud services, have created a software revolution, one that is empowering small and medium-sized businesses (SMBs) with technology that is far more flexible, faster, and powerful than ever before. For service providers, cloud services—including Software-as-a-Service (SaaS) applications—represent a significant and relatively untapped source of new and recurring revenue.

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"Less than half of communication service providers currently offer public cloud applications and services. These providers are missing out on getting their share of the SaaS pie. A recent McKinsey report estimated that the SMB market for cloud-based software is currently worth $28 billion globally and is growing steadily at 20 percent per year."

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