Too many extolling the virtues of cloud computing are ignoring many of its most transformational benefits
The last two months have presented several large “black eyes” for cloud computing. As a result, cloud computing pundits have questioned the readiness of cloud computing for the enterprise. In response, cloud computing advocates have highlighted reliability metrics far better than those of any enterprise. Who is right and who is wrong in this argument? They both are.
Businesses and consumers love the flexibility of SaaS. However, this flexibility brings a “dark” side: less predictability – and ultimately – less control. Four SaaS pricing models address this challenge, in different ways – and for very different markets.
Pricing software has always been an interesting exercise. The marginal cost to copy and provide software is virtually zero. However, the cost to develop it—and the value of the intellectual property that goes into its creation—is far greater. These two tensions have created a range of models that vendors use to price software. This post evaluates several of these, highlighting ideal (and non-ideal) markets for each.