> But generally speaking, it seems that software vendors are getting a little bit more (per user) from SaaS then the installed equivalent when they do get paid.

> But generally speaking, it seems that software vendors are getting a little bit more (per user) from SaaS then the installed equivalent when they do get paid. Maybe, but there are economies of scale with SaaS. User's don't want to worry about servers, hosting, data centers, backups etc - I see this even with large corporates that already run their own significant infrastructure (e.g. Banks). These companies want to exit being IT shops. Then there are companies that never had this as a core competency in the first place (e.g. No blanket rule - But probably a lot of primary industries, manufacturing, logistics). In many cases... Even if the software cost was all equal, SaaS can still offer a service cheaper than the user running it themselves.