Open source key to SaaS future

Open source software will be key to the adoption of software as a service (SaaS) over the next few years to keep costs down and make sharing of applications easier.

By 2010, around 90 per cent of SaaS providers will be using open source within their technology 'stacks' - operating systems, application servers and databases - according to analyst house Gartner.

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Open source will make up at least 30 per cent of each individual SaaS application provided by vendors by 2010, according to Gartner.

The analyst predicts users will increasingly turn to 'application platform as a service' providers to bring in open source to help share software applications.

Robert DeSisto, analyst at Gartner, said as more SaaS vendors use open source in their product line, software acquisition costs should be reduced.

But he warned users should not assume prices will fall as vendors may choose to improve profitability or increase spending on research and development.

He added as more businesses adopt SaaS applications the applications exchange will continue to grow.