Organizations often prefer XaaS because the as-service model can reduce costs and simplify IT deployment. With all the additional cloud service, the organization can unload pieces of its in-house IT infrastructure, resulting in fewer servers, hard drives, network switches, software deployment and more. According to Gartner, Software as a service (SaaS) will remain the largest market segment, which is forecast to grow to $116 billion next year due to the scalability of subscription-based software.

What is XaaS?

XaaS is a general, collective term that refers to the delivery of anything as a service. It recognizes the vast number of products, tools and technologies that vendors now deliver to users as a service over a network — typically the internet — rather than provide locally or on-site within an enterprise.
There are countless examples of XaaS, but the most common encompass the three general cloud computing models: Software as a Service (SaaS), Platform as a Service (PaaS) and Infrastructure as a Service (IaaS).

Challenges In XaaS

XaaS offerings sometimes contend with issues of resilience and internet reliability. Some enterprises also want more visibility into their service provider’s environment and infrastructure so they can better gauge service health and assume a more proactive role. In addition, a service provider that goes out of business, gets acquired, discontinues a service or alters its feature roadmap can have a profound impact on XaaS users.

Xaas Future Market

The combination of cloud computing and ubiquitous, high bandwidth, global internet access provides a fertile ground for XaaS growth.
Many organizations have been committed to adopting XaaS due to security, compliance and business management issues. XaaS service providers are gaining a lot of importance as they do all the maintenance related work, which allows the companies to focus on the work that they do best.

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