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Coghead wants ISVs with ideas for “killer apps” to design, build and deliver applications to customers via a new SAAS platform.

The platform offers a simple way for ISVs to launch a custom application business and provide those applications using a software as a service model to generate recurring revenue, said Paul Salazar, vice president of community and partner development at Coghead.

The Coghead Affiliate Program, accepting a limited number of charter members and going live in the first quarter of 2008, is easier to get up and running than traditional Web-based application platforms, he said.

Applications are currently developed using one of two models, Salazar said. The first model is usually based on a large ISV’s generic interpretation of industry needs, such as that of Oracle or SAP, and may not be a “one-size-fits-all solution,” he said. The other model offers completely customized applications, which are expensive and complex to build and once developed, are completely proprietary.

Coghead aims to bridge the gap between these two models by offering a basic development platform from which resellers can quickly develop customized applications for their customers. “We aren’t replacing highly skilled programmers, but there are huge quantities of users who need simple tools to configure a solution,” Salazar said.

Affiliates use their own unique development language, market area and industry expertise to develop custom applications based on the Coghead platform and then sell to and manage the applications for their customers, Salazar explained. Affiliates can also generate revenue by selling additional services, such as development and customization services, implementation, training and ongoing support, the company said.

Because affiliates customize applications based on their own areas of expertise, the Coghead platform is ideal for ISVs serving vertical markets such as education, financial services, manufacturing and health care, Salazar said.

“We are a full-fledged service infrastructure platform that turns to our partners for the specialized applications that only they know how to build,” he said.

The Coghead platform is priced for resellers at $10 per user per month, though they receive a 15 percent discount, Salazar said. Affiliates can create their own margins and sell the applications they build to customers at whatever price they choose. Currently, Coghead has 10 charter affiliates and is planning for a total of 50 by the end of the first quarter of 2008.

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