Is On-Premise Software Dead? Why So Many Companies are Moving to SaaS


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When evaluating software, it’s easy to fall back on what you’ve done in the past. Your work computer likely has Windows and the Office suite installed directly on the machine, so why shouldn’t you have software for sales, customer support, marketing, or other industries right alongside it?

To answer this question, there are some instances where an on-premise install, or having software physically installed at your location makes total sense…

You’re holding top secret data that nobody can and should access, closely guarded by a fancy security system

And, outside of maybe a handful of other situations, that’s about it. In modern business, SaaS (Software-as-a-Service), or “cloud”, solutions are now strongly preferred for almost all industries and companies. Here are a few reasons why so many companies have made the switch to SaaS…

It’s accessible anywhere, anytime – One of the best parts of SaaS is that it’s accessible wherever and whenever you want. Employees from all over the world can access SaaS solutions easily, both from their work computers and their phones, and be more efficient working on the go.

Minimized risk of physical data loss – With an on-premise install, you’re relying on physical backups that can and will fail. SaaS solutions create data backups in real-time and, should they fail, you almost always lose at most minutes of data instead of hours (or even days) with a physical tape.

Browser based system decreases operating issues – When dealing with on-premise software installs, there can be lots of installation and upkeep headaches. Joe from accounting has a Mac, while Gabriella in IT needs to run on a Linux machine. Chances are the on-premise software won’t work for them. But, if it does, both employees not only need custom installs of the software but also specific security and product updates to be installed by a specialist. Unlike an on-premise software solution built specifically for one operating system, SaaS solutions can work will with a wide array of operating systems. All you need is a web browser!

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Increased collaboration – With so many fewer hurdles to get a SaaS solution up and running compared to on-premise, the last reason why so many companies are moving to SaaS is because it greatly increases collaboration. The modern business world is moving more towards online conversation and data-driven decisions, both of which fit perfectly into SaaS solutions.

Instead, the wide and numerous benefits of SaaS are far outweighing the very unique and specialized need for an on-premise solution. Companies experience better collaboration, less operational issues, and increased accessibility to their system by leveraging SaaS technology. In the future, expect SaaS solutions to not only be adopted more frequently but also to evolve and becoming an even more integral part of business operations.So, is on-premise software dead? Not necessarily, but it’s become a very niche solution instead of the standard way of doing business. A SaaS solution won’t be as secure as the very best on-premise solution – but let’s be real for a second – only a very, very small number of companies require that level of data security for their business.



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