Friday, March 17, 2006

What is the difference between ASP’s and SaaS?

Application Service Provider
An ASP deploys, hosts and manages access to a packaged application to multiple parties from a centrally managed facility. The applications are delivered over networks on a subscription basis. This delivery model speeds implementation, minimizes the expenses and risks incurred across the application life cycle, and overcomes the chronic shortage of qualified technical personnel available in-house.

Software as a Service
Software as a Service (SaaS) is a model of software delivery where a company adopts specific activities that provide customers access to software alleviating that customer from the maintenance and daily technical operation and support of business and/or consumer software. SaaS is a model of software delivery rather than a market segment; software can be delivered using this method to any market segment including home consumers, small business, medium and large business.

Seems to be a lot of overlap between the terms. Did we just invent the term SaaS because so many ASP’s went broke?

1 comment:

Anonymous said...

I believe yes, the world again created another term to confuse more people and get them to pay more money for the same service with a couple of new tricks