Software as a Service has three critical elements that differentiate it from other types of software. Those elements define how the software is licensed, deployed, and most important, architected.
Licensing model: Customers pay to access the software on a subscription or consumption basis
Deployment: The software is owned, delivered, and managed in the cloud and by a third-party
Architecture: The software is uniquely designed to deliver new value through multi-tenancy and non-relational databases
SaaS has been around for nearly two decades, but more recently adoption has accelerated to become standard across all industries and most business functions. For example, SaaS represents over 80 percent of customer relationship management (CRM), over 70 percent of human capital management (HCM), and nearly half of enterprise resource planning (ERP) software by revenue.
For more information about SaaS and new SaaS offerings from PTC, please refer to this list of frequently asked questions.
To shed light on this trend, specifically as it relates to product development organizations, PTC conducted a survey of 150 leaders of engineering design, manufacturing design, and product lifecycle management. The results paint a clear view of SaaS that for product development, the tipping point is here. Our key findings include:
- of key business drivers, including TCO and collaboration, can be delivered by more capable SaaS solutions
- expressed that the COVID-19 crisis has increased their interest in adopting SaaS solutions
- of respondents perceive security as the greatest hurdle of adopting SaaS solutions
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Explore perspectives on Software as a Service from the PTC Executive Team
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