This article needs additional citations for. Unsourced material may be challenged and removed. (December 2017) () Software as a service ( SaaS; pronounced ) is a software and model in which is licensed on a basis and is centrally. It is sometimes referred to as 'on-demand software', and was formerly referred to as 'software plus services'.

SaaS is typically accessed by using a via a. SaaS has become a common delivery model for many business applications, including,, payroll processing software,, management software,, development software,,,,, (CRM), (MIS), (ERP), invoicing, (HRM),,, (CM), and. Ministry Of Sound The Annual 2004 Download Itunes. SaaS has been incorporated into the strategy of nearly all leading companies. [ ] According to a estimate, SaaS sales in 2010 reached $10 billion.

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The term 'Software as a Service' (SaaS) is considered to be part of the nomenclature of, along with (IaaS), (PaaS), (DaaS), managed software as a service (MSaaS), (MBaaS), and information technology management as a service (ITMaaS). Contents • • • • • • • • • • • • • • • • • History [ ] Centralized hosting of business applications dates back to the 1960s. Starting in that decade, and other providers conducted a business, often referred to as. Such services included offering power and database storage to banks and other large organizations from their worldwide. [ ] The expansion of the Internet during the 1990s brought about a new class of, called. ASPs provided businesses with the service of hosting and managing specialized business applications, with the goal of reducing costs through central administration and through the solution provider's specialization in a particular business application. Two of the world's pioneers and largest ASPs were USI, which was headquartered in the Washington, DC area, and Futurelink Corporation, headquartered in.

Software as a Service essentially extends the idea of the ASP model. The term Software as a Service (SaaS), however, is commonly used in more specific settings: • While most initial ASP's focused on managing and hosting third-party ' software, as of 2012 SaaS vendors typically develop and manage their own software.

• Whereas many initial ASPs offered more traditional applications, which require installation of software on users', SaaS solutions of today rely predominantly and only require a web browser to use. • Whereas the used by most initial ASPs mandated maintaining a separate instance of the application for each business, as of 2012 SaaS solutions normally utilize a architecture, in which the application serves multiple businesses and users, and partitions its data accordingly.

The acronym allegedly first appeared in an article called 'Strategic Backgrounder: Software As A Service,' internally published in February 2001 by the Software & Information Industry Association's (SIIA) eBusiness Division. DbaaS (Database as a Service) has emerged as a sub-variety of SaaS. Distribution [ ] The cloud (or SaaS) model has no physical need for indirect distribution because it is not distributed physically and is deployed almost instantaneously, therefore partners and middlemen of the traditional kind are not necessary. However, as the market has grown, SaaS and managed service players have been forced to try to redefine their role. Pricing [ ] Unlike traditional software, which is conventionally sold as a perpetual license with an up-front cost (and an optional ongoing support fee), SaaS providers generally price applications using a subscription fee, most commonly a monthly fee or an annual fee. Consequently, the initial setup cost for SaaS is typically lower than the equivalent enterprise software.