Are SaaS Valuations Sustainable? MGI Research Announces Breakthrough SaaS Valuation Report

FOR IMMEDIATE RELEASE
(Free-Press-Release.com) March 22, 2011 -- Are SaaS Valuations Sustainable? MGI Research Announces Breakthrough SaaS Valuation Report

March 22nd, 2011 - San Francisco, CA - Today MGI Research LLC announced the latest update to its widely popular "SaaS Valuation - What Price is Right?" research report. With data on more than 100 SaaS and Enterprise Software companies, this in-depth analysis addresses many of the questions facing technology executives, investors, and entrepreneurs.

"The question is - are we at the peak of inflated expectations for SaaS or are we in in the very early stages of what can be potentially a $50Bil+ market?" said Igor Stenmark, Managing Director of MGI Research. "Software-as-a-Service (SaaS) has become the dominant deployment architecture and business model for software, and valuation multiples of SaaS companies are near all-time highs. Yet, our field research shows that production adoption of SaaS solutions amongst large organizations still represents only a small fraction of their application portfolio." he continued.

The new MGI Research report provides an in-depth analysis of what drives valuation multiples and market performance for SaaS companies and provides a simple formula for estiamting valuation of SaaS companies. The report examines the following key questions:

How do SaaS and Enterprise Software firms compare in terms of valuation and performance?
What is the valuation outlook for SaaS companies?
Should SaaS companies be focused on growth or profitability?
Does size matter for SaaS valuation?
Are current SaaS valuation multiples sustainable?

Which companies and segments of the SaaS sector are under/over valued, and why?
The report contains data on software firms such as Salesforce, SuccessFactors, Taleo, Concur, Intuit, and many others.

This research report is available immediately to MGI Research subscribers. Individual copies may be purchased in the MGI Research Store. For additional information, visit www.mgiresearch.com

About MGI Research LLC

MGI Research specializes in quantitative research and benchmark data and provides clients with confidential, partner-only strategic advisory services. Founded in 2008, MGI Research counts some of the largest and smallest tech companies, institutional investors, and Fortune 500 CIOs among its clientele.

Contact:

Andrew Dailey, Managing Director, MGI Research, LLC

O +1 415 381-1042
M +1 415 419-6253
adailey@mgiresearch.com

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