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Salesforce.com Makes Acquisition, Announces Results

The SaaS juggernaut did pretty well revenue-wise, but an acquisition spooked investors a bit and sent the company's stock tumbling this week.

And while we're on the topic of SaaS, David writes from Australia that Google's recent blip is nothing to worry about:

"SaaS is here to stay, and will take over the world. A little outage like that can happen to anyone that has not spent a fortune on IT. Of the 2 million businesses in Australia, there would only be a couple hundred who could claim this would never happen to them with in-house servers. This is still a five-9s standard and will suit 99.999 percent of business users."

Thanks, David. We agree that SaaS is here to stay. Will it take over the world? Maybe...eventually. For now, though, there are still some psychological (and maybe a few practical) barriers that folks face before adopting it. It's all about control, really -- control of data and control of the situation when a system does go down. Some IT folks like to have both, even if it costs more. Still, we're bullish on SaaS. Don't get us wrong on that front.

Posted by Lee Pender on August 21, 2008 at 11:54 AM


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