Network Quality Even More Critical with SaaS

Data compiled by IDC shows that small and medium-sized businesses (SMB) are increasingly pursuing hosted applications — Software as a Service, or SaaS — which places even more emphasis on network quality.

IDC says its most recent survey on regarding SaaS has 9.1 percent of medium-sized businesses and 3.2 percent of small businesses already using SaaS. Those planning to implement SaaS within a year include nearly 16 percent medium-sized and 3.2 percent of small businesses.

About 60 percent of the SMBs surveyed are using SaaS for email, and 15 percent use it for VoIP solution. “IDC research shows that over two thirds of U.S. SMBs have expressed some level of interest in videoconferencing services and that 15 percent have described videoconferencing as important or essential to their business,” according to IDC. Some 27 percent were using videoconferencing at the end of 2008, and the number was expected to reach 35 percent by the end of 2009.

“Less than 15 percent of SMBs currently use an online storage service, but IDC research indicates that storage — that increases capability or improves management — is a top IT priority for SMBs,” the report states. “IDC expects increased adoption over the next 12 months.”

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