How is the Development of SaaS Related to Cloud Computing

Cloud computing and SaaS (software as a service) are two terms that confuse many people. Some think they're the same and use them interchangeably, while others think they're different but don't know why. The confusion grows even more when you see the terms like cloud-based application development, Saas, IaaS, PaaS, etc.

If you're someone perplexed by this lack of clarity, then let us spoil the beans for you. Cloud computing and SaaS are not the same things. However, they have many similarities, and their line is blurred. This blog post will help you get a clear view of this line by understanding both concepts and their relationship.

Let’s get started!

Back to Basics: What is Cloud Computing?

Cloud computing is exactly what it sounds like. It is the availability of computer resources on demand, such as storage, databases and analytics. Before cloud computing, users had to install system resources locally before cloud computing was available. Moreover, users were responsible for maintaining the environment and installing the system.

On the other hand, Cloud computing allows users to access all these services through the provision of data centers over the Internet to them. Cloud computing does not require local installation. Instead, the cloud service provider performs the management of the servers. This approach to computing greatly improves the efficiency and ease of software applications, data storage and other system resources.

Cloud-based software allows you to access it anywhere and anytime via the Internet. All you need is an internet connection and log into the system using a web browser. You can use a phone, a computer or a desktop computer.

The demand for cloud computing is rising worldwide as the global cloud computing market is expected to grow at a compound annual growth rate (CAGR) of 16.3% over the next five years. It is expected to reach the market size of USD 947.3 trillion by 2026.

Types of Cloud Computing Deployments

Not all cloud computing is the same. Cloud services can be deployed in three ways: public, private, or hybrid. Let's see each one in a bit more detail.

Cloud Computing Stack: IaaS, PaaS & SaaS

Here’s a great post to take your search for a SaaS application development company in the right direction

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SaaS & Cloud Computing: Here’s How they Relate

So, are cloud computing and SaaS the same? As we can understand from the above discussion, the answer to this question is a ‘No.’ SaaS is a subset or sub-service of cloud computing as cloud based application development makes it possible to run many SaaS applications.

Thus, not all cloud applications can be considered SaaS, but a vast majority of SaaS apps can be termed as 'cloud applications.' Cloud computing provides the necessary computing power and infrastructure to run SaaS applications.

SaaS in cloud computing works on the principle of subscription as users need to subscribe to SaaS software available on the cloud. This eliminates the need to buy and install the application on their computer or device. They can access the SaaS apps via the Internet using their login credentials. SaaS application development company restricts access to those who have purchased a valid subscription.

What did We Learn?

Many people use cloud computing and SaaS interchangeably, but there's no reason to do so. Cloud computing is an umbrella term that encompasses IaaS, PaaS and SaaS. When you're using a SaaS application, you're essentially using it because the power of cloud computing backs it.

To understand the relationship between both in a simple way, we can use an analogy in which cloud computing represents electricity that powers the SaaS industry.

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