SaaS Going More Open SourceSaaS Going More Open Source

The vast majority of software-as-a-service (SaaS) providers will rely on open source software in order to save money, according to Gartner, but end users aren't likely to get reduced prices out of it.Gartner predicts that 90 percent of all SaaS providers will be using open source technology by 2010, primarily at the operating system, application server, and database levels. The driving force will be keeping costs down: "The name of the game with software-as-a-service providers is dialing down your software acquisition costs," wrote Gartner analyst Robert Desisto. "It's really economics-driven." He said that the cost savings would probably be used to increase the providers' profits or for further research and development rather than to cut prices for customers.

While much of the core software may be open source, vendors such as Salesforce.com also allow developers to create extensions to the vendors' applications, and those could be developed for profit. The potential for mixing open source software with proprietary code means that customers will need to be extra careful to avoid infringing patents, Desisto warned.Computerworld UK, Onestopclick