paasTalk: Platform as a Service news for ISVs
While writing the ISV Survival blog, I became interested in the technology ISVs use to build and deploy SaaS applications. This resonated with me as many of my development tool customers were ISVs building vertical enterprise applications.
I launched the (now retired) paasTalk blog in March 2008 to share my thoughts on Platform as a Service (PaaS). In particular, what PaaS will mean to ISVs on how they build and deploy applications. I also wanted to focus on ISVs selling into the European market.
Platforms used to matter
Development platform choice was always a strategic issue for ISVs; they invested much time and effort selecting the right tools and platforms to use. This decision had long-term implications; ISVs never changed to a new tool or technology lightly.
ISVs needed to support customers across different platforms; a driver for cross-platform support in development tools. Easily integrating with existing applications drove the move from proprietary interfaces to open systems.
When evaluating applications, buyers were aware of the technology ISV’s used; this is changing with the move to SaaS. Buyers are not running the application on-premise; they no longer care how ISVs write the application. The market is relegating what was a key competitive differentiator for ISVs to a mere internal technical detail.
ISVs (finally) get to choose
SaaS ISVs can now select the solution which meets their needs; they only have one deployment environment to worry about. What is more, they get to make the choice. Which platform, language, framework and other technologies they decide to use is solely a matter for them.
They can select the best solution to their specific problem: cost-effectively building and deploying for SaaS. End customers no longer know or care about the ISV’s technology. They are happy as long as the ISV is providing the application service as contracted.
Technology no longer a competitive differentiator
ISVs are no longer able to base their value proposition around technology choices. What was part of justifying premium prices has now become a purely internal cost. ISVs must bear the full cost of technology choices; they cannot offload this to customers. This is great news for customers, but is a whole new world for the ISVs.
Choosing the right development and deployment platform is now more about cost-effectiveness than in the past. The focus is on keeping costs low. Which specific technical solution they use will not help ISVs win more business. Technology as a competitive differentiator is disappearing quickly, and will eventually disappear altogether for SaaS ISVs.
Development languages, frameworks and their deployment environments will become commodities; the platform just another service the ISV can buy. We are already seeing this in the market with Google’s Application Engine and other PaaS offers. The days of ISVs building and maintaining their own large and complicated platforms are on their way out. In a few short years then will have gone for ever.
Why paasTalk?
The name paasTalk seemed apt for a blog talking about PaaS. The tagline “Platform as a Service news for European ISVs” reflects the complications for ISVs selling in Europe. Here in Europe we have different attitudes to privacy, data protection and the our legal systems also differ. ISVs selling SaaS throughout Europe faces more challenges than their colleagues selling SaaS in the USA.
