The Future and the Risks

Software-as-a-service (SaaS) describes Web-hosted application software that users access over the Internet. Businesses don't have to install hardware or application software in their data centers and their users don't have to load the software on their PCs. SaaS use is already widespread in management software such as Salesforce.com, SharePoint or Google Apps.

How it works

Using SaaS is as easy as logging into your email. Most applications follow this basic process:

• Log into a secure portal hosted by the software vendor.
• Enter a page or group of pages that can be customized by company or user.
• Run the software, save changes and manage applications as if the software was downloaded on each individual's computer.

Cost reduction

Alongside simplicity, cost reduction is the key advantage of SaaS. With these applications, you can expect to:

• Reduce hardware costs, training costs, and additional charges as employee levels fluctuate.
• Reduce costs from downtime and support calls as proactive providers will solve problems before they're realized by most users.

Security risks

However, there is a threat when companies provide their users the convenience of logging on any place they can access a Web browser while only using a username and password to access the application and the data residing there. Login credentials can fall into the wrong hands and expose sensitive customer information.

As the amount of sensitive information on SaaS applications increases – in tandem with an increasing body of organizations adopting these applications – hacking threats will continue to grow. While this information is generally secure, the risk of stolen trade secrets or personal information remains evident.

Arcot offers an On-Demand solution that solves the problem of weak username/password authentication enabling SaaS to grow as the superior alternative for most organizations.. The Arcot A-OK On-Demand service provides strong, two-factor authentication that protects the user login process in SaaS applications while retaining the familiar username/password access interface. The service is hosted in Arcot's SAS 70, PCI DSS-compliant data center.

To learn more about Arcot's products, visit www.arcot.com/products or call 1-866-99-ARCOT.