The Future Of SaaS Businesses and Blockchain
With rapid modernization and development in technology, human civilization is moving towards a higher level of advancement. In the past decade, we have been introduced to concepts like quantum computing, SaaS, blockchain, etc. These technologies are believed to have a promising future.
Especially technologies like SaaS and Blockchain have got extremely popular in the past few years. Within just a few years they have been able to capture a large market. The market size of SaaS as of 2020 was around $225.6 billion. And the market size of Blockchain as of 2021 was around $4.9 Billion. Their market size is enough to prove their prominence and future.
Before discussing the future of both of these technologies, first, we must understand what SaaS and Blockchain are?
SaaS is a software distribution model in which a cloud provider hosts programmes and makes them available to end customers via the internet. An independent software vendor (ISV) may hire a third-party cloud provider to host the application in this manner. Or, in the case of larger corporations like Microsoft, the cloud provider may also be the software supplier.
Whereas, blockchain is a decentralized database that is shared among computer network nodes. A blockchain acts as a database, storing information in a digital format. Blockchains are well known for their critical role in keeping a secure and decentralized record of transactions in cryptocurrency systems like Bitcoin.
Blockchain is a game-changing technique to securely store data and information, and everybody working in SaaS should be aware of blockchain’s impact on the industry. Although SaaS is only a few years old, it has grown at an exponential rate since its inception. SaaS is suited for the deployment of blockchain technology because it is a continually changing sector.
Blockchain is also a relatively new technology that will continue to have an impact on the SaaS sector in the near future. What began as a technology solely for cryptocurrencies, such as Bitcoin, has evolved into a fascinating option for a variety of sectors.
Let us now have a look at the possible future trends and changes of SaaS and Blockchain.
Future of SaaS
Ever-growing trend of AI in SaaS
AI has seen a recent boom in recent years. Businesses across industries are somehow or the other using AI for various reasons. Some are using it for eliminating human errors and increasing efficiency, while others are using it for data analysis and decision making.
Artificial Intelligence is quickly becoming a standard feature in the SaaS market. Every other software uses AI in every way possible – you will see AI in the most basic software in the most basic forms. Chatbots, face recognition, voice recognition, etc., are just a few widely used examples of AI that we unconsciously use in our daily lives.
Businesses across industries are using autonomous technologies to personalize their products, services, and content while getting a more in-depth, data-driven understanding of their customer’s demands.
Artificial Intelligence will most certainly disrupt the SaaS environment in a variety of ways, enhancing the SaaS model’s essential features across the board. When SaaS and AI capabilities are coupled, businesses can get more value out of their data, automate and personalize services, increase security, and supplement human capacity. The built-in self-recovery feature of AI also aids in troubleshooting. It also improves human capacities by increasing total responsiveness through rapid forecasting. The global AI market is estimated to reach a value of $171.02 billion by 2025.
Vertical SaaS focuses further on the potential of targeting clients through customization within certain supply chains and industries, whereas Horizontal SaaS was focused on clients.
Vertical SaaS is customizable, allowing clients in specific industries and supply chains to be targeted. Vertical SaaS is a cost-effective, industry-specific alternative for companies wishing to benefit from expertise. It allows them to refine the personalization of certain aspects.
Vertical SaaS providers have the ability to alter features based on client demand and industry, allowing them to efficiently meet consumer needs within their specialization. This gives them more options for upselling and lowers their customer acquisition costs.
Vertical Saas integrates a slew of data governance procedures for greater transparency by effortlessly integrating industry-specific compliances. Its pre-defined KPIs and measurements provide information that firms can use to access long-term projects.
Low Code Capabilities
SaaS models have evolved to ‘low code’ architectures, allowing companies to bring their SaaS products to life with no technical knowledge. The low-code framework will not eliminate the need for developers, but it will make the incorporation of new technologies easier, allowing the technical brains to focus on driving innovation.
Future of BlockChain
As you may be aware, blockchain is rapidly gaining popularity. In recent years, blockchain technology has advanced significantly in terms of development and general usage, with no signs of slowing down. The potential of blockchain technology is virtually limitless, and recent advancements have brought us closer to a decentralized, trustless internet, transaction transparency, and more.
Blockchain Application and Financial services
Blockchain will undoubtedly have a substantial impact on the finance department, and most firms will adopt the technology over time as they foresee a new financial operating model. In its application, it followed a variety of trends. Existing financial systems will eventually be able to connect to blockchains.
Change In Governance Model
The radically changing scenario of blockchain is giving birth to high demand for a new governance model. The new governance models will undoubtedly be the future of blockchain technology, by maintaining the standardization of data from multiple sources. The new governance models may aid in the collection of new and more durable data sets.
Integration of Blockchain and Other Technologies
Combining blockchain with other technologies can help us achieve a number of significant goals. Blockchain can provide reliable data that can be used to inform and strengthen the underlying algorithms of other technologies. Furthermore, blockchain could assure data security as well as a thorough audit of each step in the decision-making process. Blockchain can also empower smart devices to execute automated micro-transactions with greater speeds and cost-efficiency.
SaaS and Blockchain undoubtedly have a promising future. The time isn’t far away when every other aspect of our life will be connected to them. Let us know in the comments what you think about the future of BlockChain and SaaS.
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