Comments on: On-Demand Software is Not Just a Lease (Where’s My Upgraded Lexus…)

By: Common Sense IT

Common Sense IT — Wed, 31 Aug 2005 16:37:48 +0000

CRM – The On Demand or On Premise Question

Much has been written about CRM On Demand versus the traditional CRM packaged applications that are hosted on your own servers. The arguments are really about using On Demand (hosted externally) or On Premise (hosted within your data center), and how …

By: Anonymous

Anonymous — Tue, 30 Aug 2005 21:19:09 +0000

Well, this is funny, just as I wrote the pevious comment, I read a post from Jeff Nolan:

“ … the simple fact of the matter is that open source and subscription licensing, two completely separate trends that often get lumped together, are not silver bullets for emerging companies “

Great minds …

By: Anonymous

Anonymous — Tue, 30 Aug 2005 20:58:49 +0000

“make decisions based on real pros and cons rather than media hype.” Chris, I absolutely agree. Hype-based decisions are not particularly good ones:-)) Talk about hype: I’m in a position to hear startup pitches nowadays, and it’s amazing how often the entrepreneurs try to throw in “On-Demand” and “Open-Source” in the same sentence….

By: Anonymous

Anonymous — Tue, 30 Aug 2005 20:35:38 +0000

All great points Zoli – and I fully agree it’s not as simple as ‘lease vs. buy’. Hosted solutions are a great idea – Salesforce’s valuation just (as you say) got a bit ahead of itself – my point was that much of this was driven by the tech and business media only looking at the positives and not the negatives (there are some) of hosted solutions.

If you look at the AMR report you see that hosted solutions still make up a very small percentage of the market. That is and will continue to increase, but in any case it will be better for everyone if we can make decisions based on real pros and cons rather than media hype.