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What is SaaS (Software as a Service)?

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3 Answers

  1. In the early 2000s, the first generation of SaaS solutions was siloed, inflexible, and designed to solve a single business problem. Since then, SaaS has evolved dramatically. Today, modern cloud applications can span—and connect—everything from financials, human resources, procurement, and supply-chain processes to commerce, marketing, sales, and service solutions.

    Software as a service (SaaS) is a cloud-based software delivery model in which the cloud provider develops and maintains cloud application software, provides automatic software updates, and makes software available to its customers via the internet on a pay-as-you-go basis. The public cloud provider manages all the hardware and traditional software, including middleware, application software, and security. So SaaS customers can dramatically lower costs; deploy, scale, and upgrade business solutions more quickly than maintaining on-premises systems and software; and predict total cost of ownership with greater accuracy.

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  2. Hostory Of SaaS :

    With the advent of the internet in the 1990s, providers began hosting software and making it available to customers via the internet. This forerunner of SaaS, called the application service provider (ASP) model, had serious limitations, however. For example, each customer required their own version of the software, which meant they had to install some software on users’ computers. Configuration was costly and time-consuming. And, finally, ASP solutions typically didn’t offer a way to collect and aggregate data efficiently.

    The first SaaS solutions emerged in the late 1990s, when the term SaaS was originally coined. This new model delivered much greater efficiencies than the ASP model. A single instance of the application could serve multiple users and even customers, thanks to its so-called multi-tenant architecture. Local installation of software was no longer required. And it provided a way to collect, aggregate, and centralize valuable application data.

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  3. Benifits Of SaaS :

    There is a great deal of truth to each of these arguments, but little energy has been devoted to explaining to LOB managers why business applications delivered in the cloud via the SaaS model and paid for on a subscription basis not only make a great deal of sense, but are key to bridging the innovation gap executives often complain about to their IT organizations.

    Software vendors spent the last several years bombarding IT professionals and business executives with messages about the advantages of cloud computing in its various forms. Some of these messages targeted the accountants and number crunchers by discussing the advantages of operating expenses (OpEx) compared with capital expenditures (CapEx). Others targeted the IT community with messages about scalability, on-demand capacity and the cloud’s ability to take over the mundane tasks of infrastructure management and allow IT talent to focus on business problems.

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