Why on-premises software still matters in the age of SaaS

In recent years, the enterprise software market has seen a remarkable shift towards the adoption of Software as a Service (SaaS). According to Gartner, global spending on SaaS is projected to mark a nearly 50% increase in 2023 compared to the expenditure in 2018, whereas a 7% decline in spending on on-premise solutions by 2024 is anticipated.

This trend can also be witnessed in the Digital Asset Management (DAM) industry. Vendors are moving to a cloud only strategy in order to reduce development costs. A SaaS solution also comes with many benefits for users, such as lower hardware and maintenance costs, faster access to new features and product updates, or more flexibility and scalability, and is, therefore, a future-proof and attractive choice. This translates to market growth for SaaS DAM platforms of up to 20% per annum while the demand for on-premises DAM solutions is stagnating (IDC).

Why on-premises software matters

So, why does Fotoware hold on to supporting on-premises solutions while other vendors decide to phase out theirs? The answer is simple: There is still a need for it.

It's important to note that there are companies that, for various reasons, cannot make the shift to a cloud strategy as of yet. For businesses that have not yet adopted cloud solutions, on-premises options remain essential.

Are you planning to purchase a DAM? Make an informed decision with the DAM Buyer's Guide!

We also recognize the distinct needs of organizations in different industries. Those with critical functions for society, such as healthcare, law enforcement, or telecommunication, are often governed by strict laws and regulations to ensure the security and integrity of their networks. These industries, in particular, demand complete control over all aspects of their digital ecosystem, and hosting their DAM in-house might be the only viable option. By offering on-premises deployment, we address the specific policies of organizations in terms of data security, compliance, and control over their digital assets. We therefore develop our Fotoware solutions as both, SaaS and on-premises, to keep providing vitally important institutions with a platform that helps them to fulfill their purpose.

READ MORE: How 4 UK Police Forces Centralized their Digital Evidence Management

READ MORE: DAM for the Healthcare Sector 

Conclusion

While the enterprise software market is undoubtedly moving towards SaaS solutions only, it's crucial to remember that every organization has unique needs. For some industries, the availability of an on-premises solution, whether it is DAM or any other, remains essential. Our commitment to providing this option reflects our dedication to supporting organizations with requirements that can’t be fulfilled by a public cloud. When others are phasing out their on-premises products, we stand firm, ensuring that there is a reliable and secure on-premises solution for those who need it.