What is SaaS?

You have a brilliant business idea and want to create a software product that will both improve the effectiveness of companies and people’s lives and generate high profit? Then you might consider SaaS as a revenue model.

SaaS, or Software as a service, alongside IaaS (Infrastructure as a service) and PaaS (Platform as a Service), is a way of cloud-computing service delivery, where clients pay for software, hosted on a remote server, per each use or subscribe on a monthly or a yearly basis. There are three storage modes: public cloud — when infrastructure is hosted by third-party data centers, private cloud — within the company’s network, and hybrid — a mixed approach.

The popularity of SaaS has been growing for forty years. It appeared in the 60-ies because computers were huge and extremely expensive, and many companies couldn’t afford to have one. At that …