Survey Identifies Cloud Speed as the Primary Business Driver for Integration Platform as a Service (iPaaS)

SAN MATEO, Calif. — April 17, 2014 — SnapLogic, the Elastic Integration™ company, today announced new findings from a joint survey with TechValidate which focused on the business and technical drivers and barriers for software-as-a-service (SaaS) application and cloud analytics adoption in the enterprise. The survey queried more than 100 U.S. companies with revenues greater than $500 million. Highlighting the demand for the right approach to integrating disparate SaaS applications, 72% of the survey respondents indicated that they have an active cloud application or data integration project. A modern, scalable architecture was recognized as the primary technical requirement for a cloud integration platform, and speed or time to value was the primary business driver.

Data Privacy and Integration Continue to be SaaS Adoption Barriers

• 56% of survey respondents are running four or more SaaS applications.
• 22% said that 25-50% of their business applications will be delivered as a cloud service by 2015.
• 47% noted data privacy concerns as a barrier to SaaS application adoption in their companies, while 43% prioritized application and data integration challenges.

Modern Cloud Integration Platforms Gaining Traction in the Enterprise

• 59% of survey respondents listed speed or time to value as the primary business driver for a cloud integration service. 53% identified flexibility and agility in response to requests and changes and 27% prioritized the SaaS subscription model (operational vs. capital expense).
• In terms of iPaaS technical requirements, 52% said a modern and scalable architecture was the primary requirement, while 41% prioritized the ability to seamlessly handle cloud constructs such as JSON, REST and APIs.
• When asked about the challenges of relying upon legacy on-premises integration tools for cloud integration, 43% took issue with the requirement for costly hardware purchases and software installation and configuration. 37% found on-premise integration tools to be too expensive due to the perpetual licensing model and 35% noted that change management is painful where end point changes mean integration re-work.

Cloud Analytics Demand Increasing but Privacy and Security Remain a Concern

• Just under 50% of respondents listed: Speed or time-to-value, flexibility and agility and easy access to business information as the top business drivers for cloud-based analytics.
• 57% said that data security and privacy concerns remain a barrier to cloud analytics adoption in their companies. 38% noted the inability for cloud-based business intelligence (BI) tools to handle a large variety of data sources as an adoption barrier.

“The results of this TechValidate survey are in line with the conversations we’re having with our customers, partners and prospects,“ said Darren Cunningham, vice president of marketing at SnapLogic. “As SaaS application, analytics and API adoption grows in the enterprise, the ability to connect with other systems is the essential ingredient to long-term customer success. Integration should be a cloud accelerator not a bottleneck, which is why increasingly companies of all sizes are looking for modern, elastic integration alternatives to power their cloud services initiatives.”

“Companies are recognizing the complexities of integration in the face of data sources and initiatives that are evolving at a rapid pace,” said James Haight, research analyst at Blue Hill Research. “Rigid integration solutions have the inherent risk of making integration undertakings a reoccurring holdup. The TechValidate results point out the necessity of future proofing initiatives through choosing solutions that emphasize flexibility and are designed to handle the increasing presence of cloud applications and analytics.”

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About TechValidate

TechValidate is a trusted third-party research organization that directly interfaces with business and technology end users to collect and validate information about their deployments. More information is available at www.techvalidate.com.

About SnapLogic

SnapLogic is the leader in Elastic Integration, helping companies connect enterprise applications in the cloud and on-premise for improved business agility and faster decision-making. With the award-winning SnapLogic Integration Cloud, organizations can more quickly and affordably achieve data and application integration and improve the timeliness of their information flow. SnapLogic offers a scalable, elastic integration platform as a service (iPaaS) and a rich library of intelligent connectors called Snaps. Funded by leading venture investors, including Andreessen Horowitz and Ignition Partners, SnapLogic is used by prominent companies in the Global 2000.

For more information, call +1.888.494.1570 or visit www.SnapLogic.com.

Press contact
Dana Dye for SnapLogic
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415-928-1310