The evolution of SaaS

Saas or Software-as-a-service is a service distribution model in which applications are hosted by a vendor or service provider and made available to customers over a network, typically the internet. Now, the obvious question is how is it different from other models? For this, we first need to know what those models are, and compare them with SaaS.

IaaS

Infrastructure as a service is a model where service providers offer pools of abstract IT infrastructure resources like servers, storage, and network components to customers on a pay-per-usage model. The service provider owns the equipment and is responsible for housing, cooling, operation, and maintenance.

PaaS

Platform as a service is a model where service providers provision fully-functioning computing and solution stacks on which applications are deployed. The provider provides the networks, servers, storage for the environment, as well as manages varying levels of scalability and maintenance.

In IaaS, the client typically pays on a per-use basis. In PaaS, the client typically pays for the services used. Seen from the point of view of value visibility to end users, IaaS serves network architects and application developers, PaaS serves application developers, while SaaS reaches the end users.

Evolution of SaaS

As companies looked to reduce costs, Application service providers offered businesses the service of hosting and managing specialized business applications with the goal of reducing costs through central administration and the solution provider’s specialization in a particular business application.

Software-as-a-service essentially extends the idea of the ASP model. The term Software-as-a-service (SaaS) however, is more commonly used in specific settings. Most early application service providers focussed on managing and hosting third-party independent software vendors’ software. As of now, SaaS vendors typically develop and manage their own software.

Now, it’s important to know that they require only an internet vendor to use. Initial application service providers offered more traditional client-server applications requiring installation of software on users’ personal computers. Contemporary Software-as-a-service relies predominantly on the web and only requires an internet browser to use.