After the launch of Force.com platform, Salesforce.com's CEO, Marc Benioff told Tim O'Reilly that traditional enterprise models supported by SAP and Oracle are mature and dying. He was reacting to Oracle's Larry Ellison remark bashing SaaS.
In my opinion the recent launch and announcement by Microsoft of Azure Web applications is one strong signal suggesting the enterprise software terrain is definitely changing in favour of the SaaS model.
The SaaS model of software solution delivery enjoys prominent advantages compared to the traditional model; especially in these tough economic times. In my opinion, this economic meltdown is going to help accentuate the benefits of SaaS model more than ever before.
In the next few posts I plan on collating some relevant data to make my point that the SaaS model is better than traditional software model during these tough times.
Here is a 4+ minute long video introducing Force.com.