Who Started SaaS? A Look into the Origins of Software as a Service

Discover the history and pioneers behind the Software as a Service (SaaS) model, how it evolved, and why it revolutionized the tech industry and sales strategies today.

Who Started SaaS? A Look into the Origins of Software as a Service

Who Started SaaS? A Look into the Origins of Software as a Service

Software as a Service, or SaaS, has completely transformed how businesses operate by providing flexible, cloud-based software solutions. But who started SaaS, and how did it become such a huge part of the software industry?

Understanding SaaS

  • What is SaaS? SaaS is a software delivery model where applications are hosted by a service provider and made available over the internet.
  • Why SaaS? It lowers costs, simplifies deployment, and makes software accessible from anywhere.

The Early Beginnings of SaaS

  • 1960s - Time-Sharing Systems: The concept dates back to the 1960s with time-sharing, where multiple users accessed a single mainframe computer.

  • 1990s - Application Service Providers (ASPs): ASPs offered specialized applications remotely, a direct precursor to SaaS. However, limitations in internet speed and technology held back mass adoption.

Pioneers Behind SaaS

  • Marc Benioff – Salesforce.com: Often credited as the true father of modern SaaS, Marc Benioff launched Salesforce in 1999. This company popularized the delivery of CRM software through the cloud, making SaaS widely viable.

  • Other Key Players: Companies like NetSuite and Concur also helped push SaaS forward in the early 2000s.

How SaaS Changed Sales and Negotiation

  • SaaS platforms enable businesses to:

    • Access powerful tools without upfront costs
    • Scale services as needed
    • Utilize data-driven insights to enhance sales negotiation strategies
  • Integrating AI in SaaS today further amplifies negotiation capabilities, helping businesses close more deals efficiently.

Why SaaS Matters for Your Business

  • Lower barriers to access sophisticated software tools
  • Continual updates and improvements without disruption
  • Ability to negotiate and sell better with AI-powered negotiation SaaS platforms

Conclusion

The origins of SaaS trace back to early computer sharing models but truly took off thanks to visionaries like Marc Benioff. Today, SaaS combined with AI technology is not just software delivery—it's a powerful tool that revolutionizes how businesses negotiate and close sales.

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