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Platform as a service set for strategic growth

Platform as a service (PaaS) is a core layer of the cloud computing architecture, and its evolution will affect the future of most users and vendors in enterprise software markets, according to Gartner, Inc.


Date: 20 Mar 2012

With large and growing vendor investment in PaaS, the market is on the cusp of several years of strategic growth, leading to innovation and likely breakthroughs in technology and business use of all of cloud computing,” said Yefim Natis, vice president and distinguished analyst at Gartner. “Users and vendors of enterprise IT software solutions that are not yet engaged with PaaS must begin building expertise in PaaS or face tough challenges from competitors in the coming years.”

PaaS is a common reference to the layer of cloud technology architecture that contains all application infrastructure services, which are also known as “middleware” in other contexts. PaaS is the middle layer of the end-to-end software stack in the cloud. It is the technology that intermediates between the underlying system infrastructure (operating systems, networks, virtualization, storage, etc.) and overlaying application software. The technology services that are part of a full-scope comprehensive PaaS include functionality of application containers (servers), application development tools, database management systems, integration middleware, portal products, business process management suites and others — all offered as a service.

In the Gartner Special Report, “PaaS 2012: Tactical Risks and Strategic Rewards”, Gartner analysts said 2011 was a pivotal year for the PaaS market. As Gartner predicted last year in the report “PaaS Road Map: A Continent Emerging”, the broad vendor adoption in 2011 amounted to a sound industry endorsement of PaaS as an alternative to the traditional middleware deployment models.
In 2012, the PaaS market is at its early stage of growth and does not yet have well-established leaders, best use or business practices or dedicated standards. The adoption of PaaS offerings is still associated with some degree of uncertainty and risk. “However, PaaS products are likely to evolve into a major component of the overall cloud computing market, just as the middleware products — including application servers, database management systems (DBMSs), integration middleware and portal platforms — are the core foundation of the traditional software industry,” Mr. Natis said. “The tension between the short-term risk and the long-term strategic imperative of PaaS will define the key developments in the PaaS market during the next two to three years.”

Some of the newly announced PaaS offerings will reach general availability late in 2012, and by the end of 2013, all major software vendors will have competitive production offerings in the PaaS market. By 2016, competition among the PaaS vendors will produce new programming models, new standards and new software market leaders. However, until then, users will continue to experience architectural changes to technologies, business models and vendor alignments in the PaaS market. As vendors continue to invest in PaaS services, and the major software vendors look to deliver comprehensive PaaS service portfolios, activity in all segments of PaaS will accelerate and the fast pace of growth and change in the PaaS market will create confusion, making user adoption decisions more difficult.

“While there are clear risks associated with the use of services in the new and largely immature PaaS market, the risk of avoiding the PaaS market is equally high,” said Mr. Natis. “The right strategy for most mainstream IT organizations and software vendors is to begin building familiarity with the new cloud computing opportunities by adopting some PaaS services now, albeit with the understanding of their limitations and with the expectation of ongoing change in the market offerings and use patterns.”

Additional information is available in the Gartner Special Report “PaaS 2012 — Tactical Risks and Strategic Rewards.” The special report includes video commentary from Mr. Natis, as well as links to more than 30 related reports about the PaaS market.


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