When it comes to software as a service’s potential, is the glass half full or half empty? Before you answer consider that MSPmentor’s SaaS 20 Stock Index is now down 50.42 percent from January through Nov. 14, 2008.
Even worse: The poster child for SaaS — Salesforce.com (CRM) — has seen its shares fall nearly 60 percent this year. Plus, five companies in our index have seen their shares plummet more than 70 percent this year. And investment firm Global Equities Research predicts SaaS and open source companies will suffer greatly amid the current economic turmoil.
Why are some people so down on SaaS? And why do I remain upbeat about the long-term promise of SaaS? Here are four quick observations.





