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On Demand and On Premise inch closer to each other

In apps, on demand, on premise by satya

While I struggle through a upgrade of my laptop from Windows XP to 7 (more on that in a later post), I found this very interesting analysis by Paul Greenberg over at the Social CRM blog. This is an area that I am fascinated by due to its intersection between SAP’s On Premise applications (which I am very familiar with) and newer On Demand apps from other vendors (an area I am exploring in a lot of detail now) . A quote from the post :

This is probably a bigger step forward for salesforce.com than it is for SAP though I won’t underestimate the value of it for SAP either.  I don’t know what salesforce.com expects of this partner -driven move. Perhaps there have “devious” reasons for liking this – visibility and penetration into the SAP customer ecosystem which could line up potential customers.  I wouldn’t doubt that and its not unusual behavior, nor particularly bad or good. What I think makes this important for salesforce.com is that it both dovetails with their strategy to go upmarket – which is where most of SAP’s customers are and it provides an important step forward in the evolution of the cloud – via recognition that on premise applications are not going away any time soon and represent a serious investment for companies – a legacy investment they are not going to scrap wholesale to replace it with pure cloud based services.blogs.zdnet.com, Social CRM: The Conversation, Apr 2010

Though the post is a couple of weeks old, it is worth a read.