Microsoft has announced the debut of two initiatives designed to decrease the cost associated with deploying hosted applications for Independent Software Vendors under the Software-as-aService Promise. Via the SaaS Incubation Center and SaaS On-Ramp Programs, ISVs adopting the SaaS business model will be able to access technical guidance and consultancy, reduced licensing and hosting channels.

"Microsoft recognises that many ISVs are hindered in delivering SaaS offerings because they lack the necessary tools and resources," said Michael Korbacher, director, EMEA Web and Application Hosting, Microsoft Communications Sector. "Microsoft can help all types of ISVs enter this industry by reducing the cost and complexity of delivering hosted software and crucially, by connecting ISVs with key distribution and operational channels such as telecoms operators and hosting providers."

Software as a service is on an ascendant trend in the detriment of pre-paid, packaged applications; ISVs will tap not only the consulting resources made available by the Redmond Company, but also the infrastructure of the Microsoft Solution for Windows-based Hosting for Applications platform. The SaaS Incubation Center Program will enable ISVs to complement the online service delivery with service level agreements.

The SaaS On-Ramp Program will debut on November 2006 and will end on April 2008. Via this Microsoft initiative, ISVs will be able to acquire licenses for Windows Server and Microsoft SQL server for up to eight and two, respectively CPUs at discounted prices.