Relation Between SaaS and Telecom Sector

The telecom industry has long been in the business of offering quality network connectivity to Small and Medium Enterprises (SMEs), as well as providing billing and security services. Since a few years telecommunication companies are offering through cloud services computing power and data storage. In 2011 telecom provider started to extend their offering by climbing up the IT stack and becoming software as a service provider and are building SaaS business application marketplaces. The telecom industry has long been in the business of offering quality network connectivity to Small and Medium Enterprises (SMEs), as well as providing billing and security services. Since a few years telecommunication companies are offering through cloud services computing power and data storage. In 2011 telecom provider started to extend their offering by climbing up the IT stack and becoming software as a service (SaaS) provider and are building SaaS business application marketplaces. These marketplaces are mainly focused on the SME market as these examples show: myBusiness App for your Business by SingTel -MTS cloud computing business application store by Mobile TeleSystems. Le Cloud Pro from Orange for SMEs clients -App Store for business solution by Bell Canada. SME Business Box by Swisscom The SaaS model provides economies of scale and delivery model that are perfectly suitable for the telecommunication industry. Telecom companies help SaaS provider to improve the service quality and give customer support to the end users. For telecom providers the profitable differentiation lies in securing seamless access to enterprises' (SMEs') digital assets, not just SaaS resale. Now the industry has to prove that they are able to execute this new strategy and penetrate this new market.