SaaS vs Hosted, Part 1: The Differences are in the Design

SaaS vs Hosted, Part 1: The Differences are in the Design DAM-it!.

Software-as-a-Service (SaaS), also known as Cloud Computing, has been a buzzword around technology circles for a few years now. We’ve seen its ease and capability in many different forms, from the popular Salesforce.com CRM application to our ownWebDAM solution. However, some confusion still remains regarding what a SaaS application can do compared to software with a hosted option. While some similarities exist, those are far outweighed by the distinct differences between the two, and it’s important to distinguish what these are before you select an application provider.

In recent years, many companies have added a hosted option for their applications to compete with the SaaS deployment model. Some similarities are obvious — in both cases, the application is hosted off the customer’s premises. The differences become apparent when you examine the details under the proverbial hood; a hosted application is running on an off-premises server but may not necessarily be managed by the application provider. However, the SaaS model is built with off-premises hosting in mind, and is thus integrated within the application developer’s IT infrastructure.

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