Asia/Pacific (Excluding Japan) Software-as-a-Service Market Highlights, 2H08

This IDC Update is a summary of activities and announcements in the Asia/Pacific (excluding Japan) or APEJ software-as-a-service (SaaS) market. It encapsulates the events that shaped the SaaS market in the APEJ region during 2H08. The key insights generated by this update include:

• The SaaS vendors are focusing greatly on the small and medium-sized businesses (SMBs) under the current economic crisis. They are also collaborating with partners and coming up with innovative products and initiatives to reach the target market segment.
• Customized packages that consist of a combination of products and services, as well as other integrated solutions are being rendered in order to boost revenue. Many alliances and partnerships were established in the second half of the year and is an indication of the vendors' desideratum to reach to their customers by broadening their scope.
• Vendors are opening up offices in Asia/Pacific, especially in countries like China and Hong Kong to be closer to their customers and to enhance their relationship with their clients and increase their market share. Consequently, this move has paid off for some vendors, with the acquisition of new subscribers. Furthermore, global vendors are striking up with local partners and establishing their operations locally in order to increase their business.