Software as a service is a somewhat new business tool that it is changing the software industry in a rapid and increasingly way. Renting the software instead of own it has many advantages, for example: you do not need to install all the applications that come with the software into your computer, saving you space and giving you a high level of customization. With a little to invest and maintain, the SaaS model is one of the best options to a company that could be new to business in the web.
We believe that SaaS is going to have a major impact on the software industry, because software as a service will change the way people build, sell, buy, and use software. Hotmail is a good example that comes to mind when you think about SaaS, it meets all of the basic criteria: a vendor hosts all of the program logic and data, and provides end users with access to this data over the public Internet, through a Web-based user interface ( Frederick Chong and Gianpaolo Carraro, Microsoft Corporation, April 2006, Para 1).
Another example is, ford when their cars are out of warranty, and the vehicle needs an upgrade they charge about $50 to $95 dollars to install an upgrade on the cars computer and fix any issue that the car may have, in others words they are providing a software as a service, on a need bases. If they could offer this upgrade online, for a less rate, it would simplify the process, improved costumer trust in the brand and it would drive more costumers to the dealers to buy cars and to get help from professionals to fix their cars. Other examples are my complab, blackboard, avg back up, facebook, and oracle.
With the software-as-a-product model providing the context for the software market, the idea of software as a service can feel somewhat alien: instead of "owning" important software outright, customers are told, they can pay for a subscription to software running on someone else's servers, software that goes away if they stop subscribing. It is therefore especially important that the prospective customer understand how SaaS provides a direct and quantifiable economic benefit over the traditional model (Frederick Chong and Gianpaolo Carraro, Microsoft Corporation, April 2006, Para 21).
With this, the organizations can take advantage of SaaS and offer inexpensive alternative to costumers, opening a wide market opportunity. Using this model will prove more effective ways to reach users, offering a unique product, affordable, and ready to fit each user needs.
In a decentralized authentication system, the tenant deploys a federation service that interfaces with the tenant's own user directory service. When an end user attempts to access the application, the federation service authenticates the user locally and issues a security token, which the SaaS provider's authentication system accepts and allows the user to access the application( Frederick Chong and Gianpaolo Carraro, Microsoft Corporation, April 2006, Para 26).
Reference list:
Building Distributed Applications Architecture Strategies for Catching the Long Tail Frederick Chong and Gianpaolo Carraro, Microsoft Corporation, April 2006.
