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Pandemic may force consolidation in SaaS industry: Zoho’s Sridhar Vembu

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What kind of changes will SaaS companies witness due to the covid crisis?The worldwide SaaS industry was already overcrowded and ripe for consolidation.

That was also true in India. The pandemic may force that consolidation wave. Secondly, venture capital (VC) funding becomes tighter, as VCs become much more cautious.

These trends mean that SaaS companies should be very prudent, watch their costs carefully and manage their business so as to not need external funding.

That is a big change for most companies used to easy financing terms.What are the measures taken by Zoho keep costs in control?In the short term, we have put a freeze on hiring and are cutting marketing budget to brace for tough times.

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