Salesforce reports confidence

November 28, 2008, 10:55 AM — 

It's always educational to see who is making money when everybody else is not. In the retail business for example, dollar stores and discounters are raking it in. Bill collectors are going great guns in the down economy, and purveyors of get-rich-quick schemes are probably doing a little more business than usual these days. Detroit car companies aren't selling many SUVs, but they've got their hands out for a little corporate welfare, so they'll do okay too, at least for the time being.

But in the tech business, who's making money and who's not may well influence the future of the industry. Salesforce.com is among those who are, and are by all accounts confident about the future. For the last quarter, their income was reported at eight cents per share, compared to five cents for the year-ago quarter. The eight cents even beat the expectations of Wall Street, which had predicted seven cents. The cmpany had record revenues fror the quarter, and all of the financial metrics are up for this powerhouse company. The company is also issuing positive guidance for next quarter and next fiscal year, expecting continuing good performance.

There's a striking contrast between companies like Salesforce, which offer software-as-a-service solutions, and traditional enterprise software companies. Implementing Salesforce, as is the case with most SaaS offerings, requires a lot less in upfront expenditures, while enterprise software calls for a large capital investment--and that makes a big difference in a recession. SaaS has a lot of momentum to begin with, and the current recession may well give it the extra push it needs to put this technology on top.

I like it!
Post a comment
The content of this field is kept private and will not be shown publicly.
  • Allowed HTML tags: <a> <em> <strong> <cite> <code> <ul> <ol> <li> <dl> <dt> <dd>
  • Lines and paragraphs break automatically.
Free books

Build your tech library with our book giveaways.

Hacking Exposed, Sixth Edition
By Stuart McClure, Joel Scambray, George Kurtz; Published by McGraw-Hill/Osborne

The original Hacking Exposed authors rejoin forces on this tenth anniversary edition to offer completely up-to-date coverage of today's most devastating hacks and how to prevent them. Using their proven methodology, the authors reveal how to locate and patch system vulnerabilities. The book includes new coverage of ISO images, wireless and RFID attacks, Web 2.0 vulnerabilities, anonymous hacking tools, Ubuntu, Windows Server 2008, mobile devices, and more. Enter now!

Featured Sponsor

AISO founders envisioned a Web hosting company that was environmentally friendly. While the company employed energy-efficient innovations like solar panels, its infrastructure produced unacceptable power and cooling requirements. Find out how AISO leveraged AMD technology to overcome their challenge in this case study white paper.

In this whitepaper, Scalar explores the opportunity to change the landscape with respect to mission critical databases built around Oracle. Leveraging technologies such as Linux, high-end commodity processing power and Oracle RAC technology to architect, design, build and maintain database infrastructure that delivers maximum availability, reliability and performance at a fraction of traditional cost.

On a typical day, weather.com, the Web site for The Weather Channel in Atlanta, serves up between 15 million and 20 million page views. But in September 2004, when back-to-back hurricanes ransacked Florida, the peak traffic on one day more than tripled: over 70 million page views by more than 7 million unique visitors. Read the full success story now.

Marketplace