AppStore will be the one-stop shopping place for on-demand software, starting in Q1 of 2007.
But rather than sell the software outright, NetSuite distributes its software via subscription, a model known as on-demand software.
But Mr Kagermann questions whether on-demand software is as customisable or as reliable as the traditional kind.
Instead, he was eager to discuss larger companies like Microsoft and SAP, and he said their moves to on-demand software are a testament to Salesforce's success.
Companies using on-demand software manage their business functions over the Internet using a Web browser rather than running programs on their own servers.
This may signal a shift in the nascent market for on-demand software, away from single functions such as customer-relationship management (CRM), and towards integrated suites.
On-demand software generated revenues of about $3.7 billion in 2006, with sales projected to rise about 32percentt annually for the next few years, according to the research firm IDC.
Do their offerings, known as "on-demand software" or "software as a service", justify such figures?For years, sceptics said that concerns over security and reliability would stifle demand for software delivered using the internet.
Tagline: Your on-demand software engineering team.
You'll also see software companies emerge with on-demand software, and new companies that provide some kind of value.
Rainforest QA, an on-demand software QA service, announced a $25 million Series B investment today.
