Cloud Service Models: IaaS vs PaaS vs SaaS - Which is the best one for your business?

Author: Jose
February 25, 2022
Cloud Service Models: IaaS vs PaaS vs SaaS - Which is the best one for your business?


Technology is growing at a neck-breaking speed, and with the rise of technology, the flow of data has increased. To store this data, business leaders are trusting cloud service models.

As per our research, 80% of the businesses believe that cloud computing services have delivered effective results within the few months of adopting them. Well, the magnificent number perfectly conveys that the future of data storage is in the clouds?

But do you know what exactly is cloud computing and how you can use cloud service models to make your business skyrocket?

In this extensive guide, we have mentioned everything that any organisation would need to know about deploying cloud computing services.

Without any further ado, let's cut to the chase.

What is cloud computing?

In layman's words, cloud computing is the system of computing services that include storage, databases, networks, analytics, etc., over the internet, i.e. the cloud.

Benefits of cloud computing services to increase your business at the lightening speed

Cloud computing services offer a scalable and reliable IT infrastructure to organisations that specifically streamline the growth of businesses.

To make you better understand why many businesses are adopting the cloud, we have mentioned the benefits of cloud computing.

1. The leisure of flexibility

The cloud service models provide the highest level of flexibility. How?

Cloud servers offer unlimited storage and bandwidth that instantly allows organisations to scale up their growth.

2. Seamless business flow

Is your business struggling with backup and disaster recovery concerns? The social unrest drives the demand to adopt cloud service models to the forefront of organisations. Also, many organisations think that backing up data is a time-consuming task and could be automated in order to accelerate their workflow.

That's where the cloud comes in: the cloud is designed in such a way that the stored data is mirrored across the servers and is quickly accessible.

3. Cost efficient

The fundamental advantage of cloud computing is that it is cost saving. By adopting efficient cloud computing services, the cost of data storage, management and software updates are removed.

Also, cloud services are much cheaper and prove beneficial for small enterprises that have limited budgets.

4. It enhances the performance and scalability

The cloud technology is designed to scale the dynamic IT requirements. As a company grows, it becomes inevitable to cope with the increasing traffic on the website.

Organisations can deploy cloud technology to scale up the website's performance under the heavy load and help with storage space.

Different types of cloud service models (+with examples)

Cloud service models are trending buzzwords in the business world today. Almost all organisations need to leverage cloud computing services.

It has become hazardous to manage and store sensitive and confidential data. Therefore, cloud service models have become an integral cog of any organisation's data storage model.

In 2021 the cloud computing market was valued at $368.97 billion worldwide, and it is expected to grow annually at a growth rate of 15.7% from 2022 to 2030.

The stats clearly state the growth cloud service models will be expecting in the coming years. However, the question arises, which cloud computing service needs to be adopted because there are mainly three types of service models:

  • SaaS (Software as a Service)

  • IaaS (Infrastructure as a Service)

  • PaaS (Platform as a Service)

All the cloud services that are mentioned above come with their own set of benefits and limitations. Therefore, to choose the right one, it is imperative to know the primary difference between IaaS, PaaS, SaaS.

SaaS (Software as a Service)

SaaS is the acronym for software as a Service, and SaaS in cloud computing delivers cloud-based applications to the end-users over the internet.

Simply put, it uploads software to the cloud that gives quick access to the users. Or, to make it easier for you, it is like you are travelling via a bus where you will be paying a nominal amount for travelling and other passengers will also be there. You may be surprised to know, but SaaS applications make up 70% of the software used.

This cloud model runs on the cloud and could be used with the help of a monthly or annual fee. It eliminates the need to download and install the application; instead, you can directly run it over the web browser.

What are the benefits of SaaS services?

1. Accessibility

SaaS services give you the freedom of accessibility, and you can use them from anywhere, and it eliminates the constraints of on-premises software.

2. Affordability

It is super affordable and discards the cost of purchasing, installation, upgrading, maintenance of the software. You simply have to use the software, that's it!

3. Availability

SaaS is available in a ready to use model and is functional in no time. All you need is to sign up and access the tool.

What are the limitations of SaaS services?

1. Inadequate data security

Data security is one of the biggest concerns that companies face with SaaS-based applications. Data security should always be considered before opting for a SaaS service, as issues like identity and access management can need to be addressed before trusting the third party.

2. Insufficient performance

A browser-based application that is running on a remote data centre may lag behind the performance in contrast to an application that is running on an employer's desk.

SaaS Examples: Microsoft office 365, Google Apps, Dropbox, Slack, MailChimp, Oracle, GoToMeeting, etc.

IaaS (Infrastructure as a Service)

IaaS is the acronym for Infrastructure as a Service. IaaS in cloud computing is basically providing the users with computing resources over the cloud.

It basically works on a pay-as-you-go model. In simple words, it is like you are using a leased car for commuting. You will be using the car for a predetermined time and paying for the rental.

The IaaS cloud technology will come with an entire range of computing infrastructure such as servers, networks, storage, maintenance, etc. The user only needs to pay for utilising the services, whereas the service provider will take care of the backend servers.

What are the key characteristics of IaaS services?

1. Improvement in the scalability

IaaS is considered the most flexible cloud computing model because it allows you to pick the services. It can definitely help you to scale your computing resources as per your demand.

2. It is easy to deploy

IaaS is easy to deploy and makes processing, storage, and networking a piece of cake.

3. Pocket-Friendly

Who on the face of the earth doesn't love pocket-friendly services? We are guessing everyone! Leveraging the IaaS cloud model eliminates the need to use the on-premises hardware.

What are the limitations of IaaS services?

1. Technical bugs

Sometimes companies do face downtime with IaaS due to a technical backend issue that restricts their workflow.

2. Upgrade and Maintenance Issues

The user organisation is responsible for the maintenance and upgrades of the software. The service provider will not be taking care of it.

3. Dependency on the third-party

Deploying an IaaS software means that you are dependent on your service provider for all your requirements and data.

IaaS Examples: Google computes engine, Digital ocean, Linode, Cisco Metacloud, Rackspace, etc.

PaaS (Platform as a Service)

PaaS is the acronym for Platform as a Service. PaaS in cloud computing provides a platform for the organisations for application creation. With the help of the PaaS, model programmers can focus on coding without worrying about maintaining the infrastructure.

In layman's words, it is like you are renting a car to reach your destination. You will be paying for the car rental to reach your desired destination.

It helps the organisations by lightning the burden of storage, updates and operating system. It basically integrates the databases and web services.

What are the benefits of PaaS services?

1. Reduces the development time

PaaS not only comes with a cost-cutting advantage but also reduces the development time. The service provider will use all the computing resources, which will simplify and improve the development process.

3. Enhances the collaboration

PaaS can benefit your business by enhancing collaboration, which will benefit your organisation if you have a team spread over multiple locations.

4. It supports multiple programming languages

PaaS offers robust support to multiple programming languages, which proves to be a boom for many software development companies as it can help in the project building of various applications.

What are the limitations of PaaS services?

1. Users should know to code

To use the PaaS platform, users should be acquainted with the basic knowledge of coding.

2. Compatibility

Compatibility can be a concern if PaaS is used with other existing development platforms.

PaaS Examples: Magento commerce cloud, Apache Stratos, AWS elastic beanstalk, Heroku, etc.

Cloud Service Models Comparison: IaaS (Software as a Service) vs PaaS (Infrastructure as a Service) vs SaaS (Platform as a Service)

SaaS (Software as a Service) IaaS (Infrastructure as a Service)PaaS (Platform as a Service)
SaaS is a service model that hosts the software and makes it available for various customers over the internet. IaaS provides companies with a virtual computing resource on the internet.PaaS service model delivers a platform that is necessary for application development.
It provides the end-user with software. It provides the user with virtual storage, machines, etc. It provides the user with a development environment and tools for application building.
The common man or end-user uses it. Network architects use it. The developers use it.

Final Verdict

Cloud service models are a crucial part of the business world as they are highly flexible and efficient. The cloud computing service providers can seamlessly address your key issues and then provide you with a suitable cloud service model.

If you are looking forward to any of the cloud service models, we recommend you to book a free consultation with one of our experts today!