Chris Andersen writes:
The old commercial software model was, like so many others, largely hit-driven. Software companies developed bloated one-size-fits-all software applications for big markets, and then left the customizing of that software to IT consultants or the users themselves. As Joe put it, “the traditional focus has been on dozens of markets of millions instead of millions of markets of dozens.”
Now that’s changing. Joe [Kraus] started the new model with Jotspot, which focuses on the “millions of markets of dozens” by using the Wiki approach to let individuals build custom apps easily. Salesforce’s AppExchange takes that one step further by creating a marketplace of such small, niche applications (everything from market research to health care management) that run on the hosted Salesforce platform. And others, such as SAP, are preparing to launch similar aggregators of Long Tail software based on their own platforms.