Complete Guide to Cloud Service Models: SaaS, IaaS, PaaS

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There has been a growth in the adoption of cloud. As a result, several different cloud service models have emerged to meet the diverse needs of businesses. Let’s learn about them in detail to choose the best one for your business.

As organizations’ IT infrastructures become increasingly burdened and customers’ demands keep growing, cloud services models are emerging as the fastest, most reliable, and most secure way to meet their needs.

O’Reilly’s cloud adoption reports reveal that more than 90% of organizations have already adopted cloud computing by now.

There is also rapid growth in the size of the public cloud market worldwide. By the end of 2023, it is expected that the market will reach a value of 591.79 billion USD, a change of 43.4% from its value of 412.63 billion USD in 2021.

cloud market growth

Image credit: Statista

Security, flexibility, mobility, insights, and cost savings are some of the reasons organizations are increasingly adopting cloud services.

Migrating to the cloud can bring your organization many benefits. Nevertheless, which model of cloud service is right for your company?

This blog will explain what cloud service models are and the different types of them, which will enable you to make the right choice.

So, let’s get started.

What are the Cloud Service Models?

Put simply,

The term “cloud computing” refers to the delivery of computing resources, infrastructures, computing power, and data storage on-demand without users requiring any intervention from the organization.

Cloud services are hosted by third parties and can be accessed via the Internet by businesses.

A three-tiered model of cloud services is available to cater to the various business needs of organizations: SaaS, IaaS, and PaaS.

What is SaaS?

software as a service

SaaS is the shorthand for Software as a Service.

In its primary position, SaaS replaces conventional daily software, which calls for a spectacular amount of computation strength, installation, coding, and protection.

It is hosted on the cloud and available through the browser the usage of the net because the medium. This means that you might not be required to down load any software on your system; after you have signed up, you may have handy get entry to to the software program that you want.

The SaaS version has any other advantage because it offers organizations the freedom to awareness on their core sports without the pressure of software program preservation, setup, and help.

It is as much as the SaaS Company to make sure the software program works nicely and all of its required infrastructure, along with servers, storage, networks, and facts storage. You will be charged monthly, every year, or consumption-primarily based fees relying on what you select.

The SaaS application development company will also take care of all upgrades and patches to the software. As far as the scalability of the SaaS is concerned, there are no issues. As part of the business operations, the business is able to easily upgrade the software in order to add more users and data storage as needed at an additional cost on demand.

Examples of SaaS:

Here we have narrowed down the list of leading SaaS companies in the market:

  • HubSpot
  • ClickUp
  • Salesforce
  • Slack
  • DocuSign
  • Tableau
  • Kinsta

What is IaaS?

infrastructure as a service

IaaS is the shorthand for Infrastructure as a Service.

Simply put, IaaS refers to the delivery of computing infrastructure management via the internet as a service.

IaaS puts organizations free from the burden of purchasing and maintaining hardware and enables them to purchase virtualized computing resources hosted by third parties on the internet.

The advantage of this model is that you only pay for what you use, making it very affordable for businesses.

A further advantage of such a solution is that organizations are able to easily add, delete, or reconfigure their IT infrastructure on demand as needed.

Examples of IaaS:

  • Amazon web services (AWS)
  • Microsoft Azure
  • IBM Infrastructure
  • Google Cloud Infrastructure

What is PaaS?

platform as a service

PaaS is the shorthand for Platform as a Service.

A PaaS business model is very similar to IaaS, with the only difference being that it also provides operating systems and databases in addition to the hardware. You can, therefore, rest assured that your IT team will have access to all the resources they need to get the job of building apps and software done.

In the essence, PaaS provides a development environment where organizations can develop, run and manage business operations without maintaining the infrastructure required.

Examples of PaaS:

  • Microsoft Azure
  • AWS Lambda
  • Google App Engine
  • AWS Elastic Beanstalk
  • Oracle Cloud Platform

SaaS vs. IaaS vs. PaaS: Which is the Best Cloud Service Model for You?

Having explained the difference between SaaS vs IaaS vs PaaS above, it can be concluded that each of the three models of cloud services has a specific purpose. Here we will outline when you should use PaaS, IaaS, and SaaS, so you can make the right choice for your business.

When to Use SaaS?

Here are a few instances where using the Software-as-a-Service makes the sense:

  • A startup or small business that wants to integrate software into its business quickly but has little time to deal with server issues.
  • There is a significant spike or reduction in demand for software. Whenever such situations arise, SaaS is proven to be the best model since it enables users to upgrade or downgrade their software easily on demand.
  • SaaS emerges as the best choice when a company is limited on a budget because it eliminates the need for hardware, maintenance, and upgrades.

When to Use IaaS?

Here are the benefits of Infrastructure-as-a-Software:

  • Buying hardware is time-consuming and expensive for businesses, and IaaS is proven to be the best choice.
  • Scaling globally and managing peak resource demands are easier with IaaS. Your applications will run faster from anywhere in the world as a result of increased access to IT resources.
  • It’s easy for businesses to account for every spending when they use IaaS since they only pay for what they use.
  • A business that has evolving business needs may benefit from IaaS since it allows the company to change hardware and software easily as the needs of the company change.

When to Use PaaS?

  • Managing servers and patching operating systems takes precedence over delivering core products and services when a business wants to route around these processes PaaS is proven to be the right choice.
  • Adopting PaaS is the right choice if your solution is constantly evolving, as it allows businesses to take advantage of it.
  • When businesses want to reduce IT overhead, PaaS enables them to do so eliminating the need for hardware and software requirements.

Final Take

In today’s world, it’s not uncommon for organizations to use more than one SaaS, PaaS, or IaaS product and many large organizations utilize all three technologies in addition to their traditional IT infrastructure.

The innovation of cloud service models is offering users choice, flexibility, and options that are often lacking in traditional on-premise solutions.

The best practice to avail of the benefit of SaaS, PaaS, and IaaS is to partner with a cloud application development company.

Frequently Asked Questions

1. What are the top use cases of cloud services?

Cloud services can be applied in the following use cases:

  • Video-streaming platform
  • File hosting services
  • Secure storage of personal data
  • Back-up solutions for the system
  • Chatbots

2. What are the limitations of SaaS?

SaaS (software-as-a-Service) serves great benefits but also has certain limitations as mentioned below:

  • Loss of control
  • Limited customization ability
  • Data access risk

3. What are the limitations of IaaS?

IaaS (Infrastructure-as-a-Service) comes with the following limitation:

  • Complex integrations
  • Limited customization
  • Technical problems
  • Lack of security

4. What are the limitations of PaaS?

PaaS (Platform-as-a-Service) comes with the following challenges:

  • Vendor dependency
  • Risk of lock-in
  • Compatibility-related issues may arise with an existing development platform
  • Data security
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About Author
Vipin Jain

Vipin Jain

Vipin Jain is the Co-Founder and CEO at Konstant Infosolutions and is in charge of marketing, project management, administration and R&D at the company. With his marketing background, Vipin Jain has developed and honed the company’s vision, corporate structure & initiatives and its goals, and brought the company into the current era of success.

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