Publicly Traded SaaS Companies

Software-as-a-Service (SaaS) continues to be a hot area in the technology world. Partly because it has only really started to flourish in the past five years and partly because it is more geared towards SMB companies with a lower ticket price therefore requiring to sign many thousands of clients to reach scale, there aren’t very many publicly traded SaaS companies. SaaS companies are characterized by great recurring revenue, gross margins, predictability, and growth. Here are a few publicly traded SaaS companies and information about them as of December 12, 2010:

• salesforce.com (NYSE:CRM) – customer relationship management SaaS and cloud computing company. They are the largest SaaS company and the first to reach $1 billion in recurring revenue.
  Market cap: $19.53 billion
  Last reported quarter’s revenues: $429.09 million
  Employees: 4,758
• NetSuite (NYSE:N) – enterprise resource planning (accounting, inventory, etc) SaaS company.
  Market cap: $1.66 billion
  Last reported quarter’s revenues: $49.74 million
  Employees:  1,022
• Constant Contact (NASDAQ:CTCT) – email marketing for small business SaaS company.
  Market cap: $872.21 million
  Last reported quarter’s revenues: $44.83 million
  Employees: 625
• SuccessFactors (NASDAQ:SFSF) – human resources SaaS company.
  Market cap: $2.36 billion
  Last reported quarter’s revenues: $51.54 million
  Employees: 967
• Taleo (NASDAQ:TLEO) – human resources SaaS company.
  Market cap: $1.29 billion
  Last reported quarter’s revenues: $58.74 million
  Employees: 916
• LogMeIn (NASDAQ:LOGM) – remote machine access SaaS company.
  Market cap: $1.11 billion
  Last reported quarter’s revenues: $25.35 million
  Employees: 387
• LivePerson (NASDAQ:LPSN) – live chat SaaS company.
  Market cap: $524.75 million
  Last reported quarter’s revenues: $28.22 million
  Employees: 349

Personally, I’m a big proponent of SaaS and am very optimistic about the future. It should be an interesting market to watch.

What else? What other publicly traded SaaS companies would you add to the list?