SaaS

abbreviation (noun)

SaaS stands for Software as a Service: software a provider manages centrally and makes available to users over the internet.

The accounting firm uses SaaS for time tracking and does not need to manage its own server.

SaaS stands for Software as a Service. You usually do not install and manage the application on your own server, but use it through a browser or app. The provider supplies the technical environment in which the software runs. Many accounting, collaboration and CRM systems are delivered this way.

How does SaaS work?

The SaaS provider manages the application and infrastructure, including updates and technical maintenance. Users create accounts and access their organization's functions and data over the internet. The exact division of responsibilities varies: customers remain responsible for things such as user permissions, entered data and settings.

SaaS is often sold as a subscription, for example per user or usage tier. A subscription is a pricing model, however, rather than a technical requirement. Software paid for per use or under another agreement can also be SaaS.

Is SaaS always multitenant?

Many SaaS products are Glossary · In briefmultitenantMultitenant describes software in which several customers share one application, each with a separate environment for data, users and settings.Read more: several customers share an application while their data and settings remain separate. This simplifies central maintenance and updates. SaaS can also be Glossary · In briefsingletenantIn singletenant software, each customer uses a separate application environment that is not shared with other customers.Read more, with each customer receiving a separate application environment.

SaaS mainly describes how software is delivered and managed. Multitenant describes how it is organized for different customers. In both cases, the provider handles more technical management than when an organization installs and maintains the software itself.