In our work as software investors, we think a lot about where we are in the adoption cycle for the current generation of software-as-service (SaaS). We know quantitatively and qualitatively that the opportunity to bring productivity and enterprise functions to the cloud is huge, but at the same time, we worry about investing into a valuation bubble or over-funded market. Here in Silicon Valley, SaaS boosters love to say that “we’re just in the early innings of SaaS”. But how do we know that? And how long is the game going to be? Now that we’re deep into the baseball postseason, let me try to put some perspective, and a few data points, around these questions.

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