Microsoft, Salesforce Dominating SaaS Market, Report Finds

The software-as-a-service (SaaS) market is more mature than other cloud computing services, but it still grew in the fourth quarter of 2016, pulling in $13 billion in global revenue, according to a new report from Synergy Research Group.

While Salesforce has helped define the SaaS market for years with its CRM offerings, it’s actually Microsoft that is now dominating the market, with its own combination of collaboration, CRM and enterprise application software, such as Office 365, the March 9 report found.

Other top players in the SaaS market include SAP, Adobe, ADP, IBM, Workday, Intuit and Cisco.

Oracle and Google showed the most growth during the quarter, with Google benefiting from its G Suite apps offering, and the company spent a good deal of time at its Cloud Next ’17 conference this week talking up improvements to its suite. (See Google Takes Fight to Amazon, Microsoft Cisco.)

Overall, the global SaaS market grew 32% from the fourth quarter of 2015 to the fourth quarter of 2016, Synergy found. While that growth is less than the infrastructure-as-a-service (IaaS) and platform-as-a-service (PaaS), the report predicts SaaS offerings will double in the next three

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