How is the development of SaaS related to cloud computing?

Software as a service (SaaS) has grown incredibly over the last decade. Questions we must consider include: How does this growth apply to cloud computing? What role does cloud computing play in the development of SaaS? How has the relationship between software as a service and cloud computing altered over the years?

Research indicates that the development of software as a service has been deeply impacted by the rise of cloud computing. Academics have argued cloud computing provides an overarching framework from which SaaS can be built and grown. Furthermore, the high capacity of cloud computing means additional features and capabilities can be built on top of existing software as a service platforms. This has allowed software as a service developers to increase the scalability of their platforms and services.

In this article, the complexities behind the relationship between software as a service and cloud computing will be explored. A thorough background of both concepts will be provided, along with an examination of the significant aspects of software as a service which cloud computing has impacted. This article will also explore the implications of fashioning SaaS into a cloud-based service and theorize about the future of software as a service in the cloud.

By the end of this article, the reader will understand the significant role cloud computing plays and has played in the development of software as a service. A comprehensive comprehension of the factors, complications, and advantages associated with creating software as a service in the cloud environment will also be gained. A discussion on potential implications and directions for the future of software as a service in the cloud will also be included.​

How is the development of SaaS related to cloud computing?


Software as a Service (SaaS) is a type of cloud computing service that allows customers to use applications hosted on remote servers. This cloud-based software delivery model enables customers to access applications on demand, paying only for the services they actually use. Unlike traditional software delivery models, there is no need to purchase an upfront license or install and maintain applications locally.

Cloud Computing is a term used to describe services and applications that are hosted in a virtual environment, using a pay-per-use model. This model provides customers with the ability to access data, storage and computing resources in the cloud in a cost-effective and convenient manner. By using cloud services, businesses can reduce the costs associated with setting up and maintaining a local IT infrastructure.

SaaS Delivery Model is a type of software delivery model that enables customers to access applications hosted on remote servers. This cloud-based software approach allows customers to access applications on demand, as well as receive application updates, while only paying for the services they use.

Software Licensing Model is the traditional approach used to sell software. This model required customers to purchase an upfront license for a particular version of the software and then install and maintain it locally. Customers also needed to occasionally purchase additional licenses to receive updates and access new features.

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Pay-per-Use Model is a pricing model used to charge customers for the services they actually use. This model enables customers to only pay for the services they need and use, and the cost of those services is determined based on usage patterns.

Overall, the advantages of the SaaS approach are numerous. By providing customers with an on-demand software delivery model, it eliminates the need to purchase upfront licenses and maintain software locally. Additionally, by using the pay-per-use model, it provides customers with cost efficiency and flexibility when it comes to paying for the services they need and use.

Introduction to SaaS and Cloud Computing

What is SaaS

Software as a Service (SaaS) is a software distribution model which allows users to access applications over the internet. Unlike traditional software applications, SaaS applications are installed on cloud servers. This model of software distribution enables organizations to reduce IT infrastructure costs (as the applications are hosted on cloud servers rather than on-premise servers).
There are three key characteristics of SaaS applications. Firstly, they involve an element of subscription (the user pays a fee to access the software application); Secondly, they are delivered over the internet (it is not necessary to install the software on the user’s device); and thirdly, they are built and managed by the software provider (not the user).

How is SaaS related to Cloud Computing?

SaaS is an important part of cloud computing which allows users to access applications over the internet. Cloud computing enables users to access applications without having to own and manage the underlying IT infrastructure. Instead, cloud computing uses a network of remote servers hosted on the Internet, allowing users to access services from any device with an Internet connection.
Using the cloud, users can access software applications in a secure way, without having to install and manage the applications on their own servers. This is one of the main advantages of cloud computing, as it reduces the cost of hosting applications and provides a higher level of security and reliability than local servers.
In addition, cloud computing is also a more efficient way to store and manage data. By leveraging cloud technology, businesses and organizations can store data in a secure and efficient way, allowing them to access and share information quickly and easily.

Benefits of SaaS

The use of SaaS applications provides a number of key benefits, including:

  • Cost Savings: Reduces the cost of hosting applications as they are hosted on cloud servers rather than on-premise servers.
  • Simplicity: Allows users to access applications without having to install and manage the software.
  • Flexibility: Allows the user to access their data and applications from any device with an internet connection.
  • Agility: Allows for rapid deployment of applications and data.
  • Scalability: Allows for the applications to easily scale up or down based on user requirements.

The use of SaaS is increasing, as it enables organizations to focus on their core business, while still having access to the latest software applications. By leveraging the advantages of cloud computing, businesses are able to reduce IT costs and improve the efficiency and agility of their operations.

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Benefits of Combining SaaS and Cloud Computing

What are SaaS and Cloud Computing?

Software-as-a-Service (SaaS) is a pre-packaged software solution that is hosted remotely and accessed over the Internet. The hosting of SaaS occurs through a cloud computing platform, where resources are delivered as a service over the Internet. These services are on-demand and use computing resources pooled from multiple locations, ensuring that if one source fails, there is still redundancy available for users. Cloud computing brings the fundamental benefit that all resources are accessible remotely and leverage the scalability of the Internet.

Benefits of Combining SaaS and Cloud Computing

The combined use of SaaS and cloud computing provides a number of benefits to users. First, these solutions are available on an inexpensive subscription basis. Users can access the software without the need of advanced, expensive hardware or an IT department to install, maintain, and upgrade it. The utilization of cloud allows users to use different devices to access their SaaS, without loosing access or needing to install extra applications.
Secondly, SaaS and cloud computing allows for a much more dynamic release cycles. The software hosting provider can push out releases to all users within a matter of hours, without the need of on-site IT support. Finally, data backups and disaster management become much more simpler under a SaaS + cloud model. The cloud guarantees that data is backed up in multiple locations, reducing the risk of data loss from an unforeseen disaster.
Overall, the utilization of both SaaS and cloud computing provides a holistic approach to improve scalability, manageability, and reliability of software and data. It allows users to leverage the full potential of the Internet while still having the trustworthiness of a resilient system. Additionally, both SaaS and cloud computing are cost efficient and can provide long-term ROI for any organization leveraging them.

Challenges in Combining SaaS and Cloud Computing

Cloud computing and SaaS (Software-as-a-Service) both belong to the same broader software technology and each have their unique benefits they offer to users. Nonetheless, combining the two concepts together has its own set of challenges, which this article aims to explore.

Challenges In Integrating SaaS and Cloud Computing

Perhaps the biggest challenge when merging the two technologies together comes from integrating SaaS into the cloud-based architecture. Integrating the different applications, data sets, service APIs, and other resources can prove to be a complicated task and require a deep technical understanding. Additionally, developing integrated capabilities can be expensive due to the complexity of the task, as well as the purchase of logistical and technical services, such as hosting, platform ingredients, security protocols, and more.
Another key challenge when combining the two is balancing compatibility between the two technologies. Not every application will have the same capability or compatibility to act within a cloud environment and trying to fit each application into a singular architecture is complex and costly. Even if applications are deemed compatible, compatibility issues may arise due to the different coding styles and policies found inside SaaS applications and cloud computing solutions, creating problematic areas when data sets containing information from two different sources are merged together.

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Metrics For SaaS-Cloud Computing integration

When balancing SaaS with the cloud computing environment, certain metrics must be adhered to, such as performance accuracy, security, and cost-efficiency. When merging SaaS into the cloud computing environment, administrators must pay close attention to the performance of the system and its accuracy. There should be a good understanding of the load time and response rates for the applications, as this can tell a lot about its compatibility with the cloud system and determine how much traffic the system can take.
Considering the importance of data in cloud computing, security risks become magnified. Keeping an eye on encryption protocols when implementing SaaS in a cloud environment is essential. Statistical analysis software and server-level authentication should also be taken into consideration. Lastly, the financial costs associated with integrating SaaS with the cloud should not be forgotten. Ensuring that total costs are manageable should be another goal of any operations manager who is responsible for the operations of the system.
The integration of SaaS and cloud computing provides many great benefits, but poses many technical challenges along the way. Balancing performance, security, and financial costs is a difficult practice when integrating the two, however, the rewards of successful integration can prove greater than the risk of potential failure.


Software as a Service (SaaS) is increasingly becoming one of the hottest topics in cloud computing. But what is the relationship between these two technologies? How will the ongoing development of SaaS change the cloud computing landscape?
At the same time, we have to continue to stay well-informed about SaaS and cloud computing. In our blog, we’ll keep up to date with the latest developments and news to ensure that our readers are kept in the loop. Stop by and have a read – there may be a new surprise waiting for you in just a few days time!
Frequently Asked Questions:
Q1: How are SaaS and cloud computing related?
A1: SaaS and cloud computing share an intimate connection in that they are both based on using the Internet and remote servers to deliver services to users. Cloud computing makes SaaS possible by providing an infrastructure for a company to host and maintain a large number of applications and services.
Q2: What advantages do SaaS applications bring?
A2: With SaaS applications, companies no longer have to install, update, and maintain their own software systems. Furthermore, they don’t need to buy or install any extra hardware either. This makes SaaS an attractive option for businesses.
Q3: Is cloud computing safe?
A3: Cloud computing has many security protocols in place. The data stored in the cloud is well protected and IT departments have access to numerous tools for monitoring and managing access. This ensures that data remains secure and private.
Q4: Is SaaS expensive?
A4: Some SaaS applications may require the initial purchase of a license, but the expenses of setup and maintenance are kept very low. This makes SaaS an attractive option for businesses who want to save costs while still having access to industry-leading software solutions.
Q5: What are the benefits of SaaS?
A5: SaaS enables users to access a wide range of services, from collaboration tools and customer-relationship management (CRM) solutions to business intelligence and predictive analytics. Furthermore, the low entry cost and quick deployment of SaaS make it an attractive option for many businesses.