Software-As-A-Service name started when luddites started to argue the importance of the system. Since it had been presented to the market, its growth had been consistently growing, and various companies such as SAP, Oracle and Microsoft have been doing their best to adjust with the market.
Since 2004, the year when the IPO of Salesforce started the SaaS titan, companies which are offering SaaS have already contributed over $200Bn in the public market value. This huge input had created a major help with the frothiness of private markets. And what’s more to note is that the market is just starting. In a report published by IT leaders last August 31 of this year, States and Localities are just starting to consider SaaS as the next big thing about security. Consumers are very quick to embrace the socials such as Facebook and Twitter, cloud and mobile, but the enterprises are still slow to move. But to assure everyone, they are catching up as fast as they can.
In one of Forrester’s research, it had been noted that SaaS will continue to generate higher annual revenues and is expected to reach $150B or more in the year 2020. Further analysis had also seen a $300B increase in the coming 2025 – values that every private market would wish to have. New York City is not an exemption with that. The blossoming of SaaS in NYC can now be seen and some say that the city can be a potential leader in the enterprise transformation. With the rapid growth of SaaS activities in NYC, Bay Area is being challenged for the market leadership.
As of today, Bay Area still has a bigger revenue than that with NYC when it comes to SaaS. But certain research is showing that the growth is faster in NYC than Bay. This is one of the reasons why Bay is being threatened with NYC’s SaaS market and investments. They may not be near today, but if this trend continues, Bay will surely find their name second to NYC in terms of the SaaS industry. With all the other companies that have been turned to SaaS, and others that are possible to grow with the help of the market, NYC will surely have great possibility as the center for Software-As-A-Service.
If ever you have questions about SaaS companies being founded in NYC, the answer is NO. At least, not now. But soon enough, with the fast changing trends in IT in the city, SaaS companies will surely multiply in NYC. With all the web and mobile users today that turn online data access and other mobile technology features and functions, enterprises will surely turn to SaaS and will demand more providers to cater each and every business needs.