What is the difference between SAAS and ISV?

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SaaS (Software as a Service) and ISV (Independent Software Vendor) are both services that enable users to access certain software. However, they are fundamentally different in their function.

An ISV is an organization that creates, publishes, and sells software. They usually use the cloud as a means of delivering this software to the users hence using the SaaS method.

SaaS is the method through which vendors share their products with the market. It is one of the most popular services in the world right now. According to BMC, 99% of the organizations will be using at least one SaaS solution by the end of 2021.

SaaS allows users to access the software via the internet as a service by using a subscription model. It eliminates the need to install and maintain software locally hence liberating the users from managing complex hardware and software. This is where SaaS development services come into play, providing businesses with tailored, scalable solutions that can be accessed from anywhere, enabling them to meet customer demands effectively and streamline operations.

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What Are ISV Companies?

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As our modern business landscape continues to become more digital-software focused, the presence of Independent Software Vendors (ISV) is becoming more and more prevalent. An ISV is defined as a company or software publisher that specializes in the creation and distribution of software by licensing agreements with organizations and individual users. However, the ISV retains ownership of all licensed property.

The ISV industry is expected to reach a market value of approximately $408.15 million by 2026. Large organizations such as Microsoft, Apple, IBM, Google, and Oracle that create these platforms provide support and encouragement to ISV companies through specialized ISV partnership programs.

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