For years, enterprise customers have complained about the difficulty of deployment, the operational complexity and the expense of network and systems management software from the big four - Hewlett-Packard, IBM, CA Inc and BMC Software. In the meantime, software vendors in other spaces, such as Salesforce.com, made use of the software-as-a-service (SaaS) model to simplify deployment, to make operation easier and to cut costs, or at least capital costs. Now we have begun to see a number of new and established vendors making network and systems management available on the SaaS model.

The products we've come across are all designed to deploy quickly - often within an hour - and provide Web-based access for users. The management analytics, data storage, reporting and alarming are generally centralized in a vendor datacenter. Some of the products concentrate on application management, while others concentrate only on network and systems management. All offer monthly subscriptions, typically with sizable discounts for large numbers of managed devices or processes.

The products differ somewhat in architecture. Klir Technologies' offering involves installing a downloadable 'connector' on the customer premises. This SNMP proxy polls the devices on the network and forwards data to the analytic engine in the vendor datacenter. Jumpnode Systems has a small dedicated appliance that needs no software installation - only an Ethernet connection, a phone line and AC power. The appliance polls devices and forwards data to the datacenter facilities. Netreo downloads a VPN client, which connects over a tunnel to the datacenter server, which polls devices on the customer network from the datacenter. Hyperic HQ Enterprise uses a downloadable software agent as the source for data that is processed in the datacenter. FiveRuns needs a downloadable client on each managed device.

SaaS has implications beyond pricing and ease of use for network and systems management. Most significantly, dividing up the separate elements of management lends support to service-oriented architecture (SOA) applications. For example, connecting management tools to protocol analyzers could be simplified significantly.

Main changes to the market expected in 2007

• SaaS pricing and architecture are suddenly appearing in network and systems management settings.
• These new products have the potential to displace traditional network and systems management platforms, particularly in SMEs.
• SaaS is typically SOA-friendly, which could simplify integration efforts with other network management tools and even application software.
• Management vendors may find it necessary to rethink their pricing strategies, or even devise SaaS offerings of their own.

Companies at the forefront of disruption

• Klir Technologies - aside from SaaS features, Klir has rolled out Web 2.0 elements, including a website where users can collaborate and share templates and best practices.
• Jumpnode - has two datacenters to provide redundancy. It also has very aggressive pricing.
• Netreo - in business since 2000, Netreo recently began offering OmniCenter OnDemand alongside its successful OmniCenter product. The company provides device management as well as fault and performance management.
• Hyperic - the company's products are open source, as well as available via an SaaS plan that provides support and user indemnification.
• FiveRuns - the company's emphasis is on server hardware and software. Servers in multiple locations can be managed by a single system.

For more predictions in the coming year see (Registration Required):  2007 preview – Networks

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