Cloud computing is impacting every segment of the technology industry and ISVs are no exception. With more companies preferring to use Software as a Service applications rather than deal with the time and expense of implementing and maintaining on premise software, ISVs are transitioning from delivering packaged software to SaaS.

While the projections for the growth of the enterprise software market is in single digits per year, SaaS is forecasted to grow at 19% per year. In many application scenarios, new companies are entering the market offering only cloud-based applications. Established vendors see an opportunity to expand their business by adding SaaS delivery of their applications to their product offerings, enabling customers to choose what works best for their business.