With the IBN, we offer an On-Demand option for companies and organizations that don’t have the IT resources or infrastructure to host their own IBN environment.  This essentially follows the Software as a Service model, or SaaS, a growing trend in the software industry.

SaaS offers numerous advantages to traditional software offerings.  On the customer side, they don’t have to worry about setup, installation, and maintenance in-house, making SaaS an attractive business option for cost-conscious customers, businesses, and organizations.  They will access their applications through a standard web browser such as Firefox or Internet Explorer.  In addition, since the application is web-based, it makes collaboration easier.  Files and documents are stored in a centralized database, rather than a local machine, eliminating the need to send files back and forth, as long as the application supports file sharing.  Google Docs and Zoho Office are two prominent examples of effective online content creation and Web 2.0-style sharing and collaboration. Lastly, SaaS fits in common Web 2.0 trends, including social networking and rich Internet applications filled with AJAX-y goodness.

Zoli Erdos offers additional insight on the SaaS model and where software distribution may be heading if the Zohos of the world gain ground on traditional client-based software.  Software margins may shrink drastically for major companies such as Microsoft, but the demand for cheaper (or free), lighter, collaborative options will be too hard to ignore.