Defining SaaS
Software as a Service (SaaS) is an application software that is hosted on the cloud and accessed via an internet connection, typically through a web browser or a mobile app. SaaS is on-demand – vendors host applications and data on their own servers, manage the platforms, and maintain the underlying infrastructure all so that clients can simply focus is on using the software. Typically, SaaS offerings are priced as a subscription or on a pay-as-you-go basis rather than requiring a one-time purchase. SaaS is crucial because it provides businesses with access to sophisticated software that would have been cost-prohibitive or resource-intensive to run on-premises.
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