Don’t buy it, rent it
Due to the almost-universal availability of fast internet access, the software market is changing rapidly.
Until the mid-1980s it was usual to lease a mini-computer the size of a fridge and lease the software to run on it as well. The packaged retail software market developed as desktop PCs came along; Microsoft spotted a gap in the market and, especially with the early versions of Microsoft Office, it became usual to buy a box with a CD of software and install it to your own PC.
Things are changing again. More and more businesses are moving towards a hosted solution model – where applications are delivered over the internet on a pay-as-you-go basis. Often known as Software as a Service (SaaS) or Software plus Services (S+S) you will usually rent the application for a variable number of users on a monthly basis and, subject to your contract, can change the number of users as your business changes.
Weighing up the pros and cons
There are a number of benefits of running business applications this way – particularly in the reduced overheads of managing servers and applications on premise.
It’s not a step to take lightly and isn’t suitable for all business models - the most obvious question is “where does my data go and who owns it” – but we can guide you through the benefits, drawbacks, and costs of renting rather than buying.
