As the global business climate drives the need for increased flexibility in IT services, it will become increasingly important for SPs to dynamically deliver services to their business clients. This Software-as-a-Service (SaaS) business model will provide business customers with the ability to purchase and pay for services on an as-needed basis. To support the SaaS model, SPs will have to create a software layer which sits on top of the CPE and manages the applications and services which are currently being delivered by the SP. This layer will support dynamic, end-user provisioning and will monitor the hardware in the business customer’s environment to ensure resources are available to support the end-user’s processing needs. This will also provide the Service Provider with a source of business intelligence as their sales force will now be able to clearly identify when a customer’s hardware must be upgraded to meet their business needs. By delivering SaaS, the SPs will take a large step in meeting the needs of IT managers trying to stay in front of their company’s constantly changing business needs. Ultimately, I believe it will drive business customers to view SPs as a true partner versus simply a provider of bandwidth.