Software on Demand - Catching up these days. Pay-as-you-go pricing. All new jargons.
Three to four years back, Application Service Provider was the buzzword. I dont think there is any big difference in the concept. But probably it was much ahead of its time. It failed miserably.
Now biggies such as IBM have put thier weight behind this. The basic concept - Conversion of fixed costs to variable costs. Companies dont have to invest in high priced enterprise software at one shot, but they use pay-as-you-go pricing model. All of a sudden, the IT capital expenditure of an enterprise shifts from Fixed to Variable. Gives more chance of streamlining cash flows over the year rather than one big chunk.