What Is SaaS (Software as a Service)?

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What Is SaaS (Software as a Service)?

A cloud-based distribution model where software applications are hosted by a software or a cloud provider.

SaaS Definition

Short Definition:
SaaS is a type of software distribution in which applications are hosted and provided to customers over the internet. This model can be used by an independent software vendor who contracts a cloud provider to host their application, or larger companies like Microsoft, who act as both the software vendor and cloud provider.


Extended Definition:
Software as a Service (SaaS) is a cloud-based delivery model in which software applications are hosted by a software provider or a cloud provider, and are made available to users over a network connection, usually via web browsers. The provider is responsible for hosting the application, managing the related data, and providing the computing and networking resources necessary to run the application. Users can access the application from any device with a network connection.

It is also worth mentioning that Software as a Service is one of the three main types of cloud computing, along with Infrastructure as a Service (IaaS) and Platform as a Service (PaaS). Many IT professionals, business and individual users rely on SaaS applications, ranging from entertainment products, such as Netflix, to sophisticated IT tools. Unlike IaaS and PaaS, SaaS products are commonly marketed to both B2B and B2C customers.

For more definitions, check out our dedicated Definitions List.

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