Defining everyday terms and sorting the difference between terms like S+S and SaaS, really is a battle of religions. But – however – Software+Services is a strategy that now iimplies to run every application through a browser (a rather dull experience in my mind), by embrace the marvel of using applications as an experience over many devices.
I would like to give a real example on why I am so found of the S+S business model. Just released (if you fell the bits and bytes – you would tell that they are still hot ;)), download the Wikipedia Explorer. Based on an Azure services, with and Windows Presentation Foundation client (WPF) – an really fun and exciting experience burst, when browsing through the libraries of Wikipedia. Go try for yourself – and realize the full potential of S+S.