Siebel Systems will partner with IBM to deliver Siebel CRM solutions in a hosted IBM OnDemand platform.
OnDemand, which targets both small to medium-sized businesses and divisions within larger companies, will cost $70 per user, per month.
Although the hosted market is still "small in the scheme of things", Siebel Systems executive vice-president David Schmaier said that hosting enterprise applications is now a legitimate market, adding that "the big deals have gone away".
However, the Siebel executive also warned that as a company grows to about 200 users they should and will consider an on-premises solution.
If you believe IT is a competitive advantage Schmaier said, the on-premises solution is the better choice. On the other hand, he added, if a company agrees with the recent Harvard Business Review analysis that IT doesn’t matter, a hosted solution will suffice.
Looking ahead, Schmaier noted four major Siebel growth opportunities for the company, including development of its UAN (Universal Application Network), which he said will become four to five times larger than the CRM business.
Other areas Siebel will focus on are CRM analytics, OnDemand, and an increased focus on new vertical markets.
Ephraim Schwartz writes for InfoWorld