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Cloud Software (Software-as-a-Service, or SaaS)
The most important, and most visible of the three elements is Cloud Software, without which there is no need for Platforms or Infrastructure.
Again to stress, cloud computing and cloud software, i.e. software-as-a-service (SaaS), are not the same things. The two terms are often used interchangeably, but it would be incorrect to do so. Rather, cloud software is just the software part of the cloud computing triad. It is without a doubt though, the most visible part, since it faces the end user. In a purist sense, true cloud-enabled software refers only to that software which intentionally takes advantage of the of other cloud computing technologies: namely cloud infrastructure and cloud platforms.
The overall market for SaaS subscriptions, compared to on-premises software, is still young, though it is a rapidly growing niche. Because it is the most visible part of cloud computing though, it will be SaaS that drives the growth of cloud computing. Already we are seeing this growth, driven both by startups moving into SaaS offerings from the ground up, as well as established IT giants like Google and Microsoft moving into the SaaS market. Almost every major software vendor today has at least a test SaaS program in the works, and many have them in the market already.
When we talk about software-as-a-service, it usually means that the software being delivered has a common code base that is delivered to multiple users. This however, does not preclude customization. Using a common code base for SaaS applications has a big advantage, in that it allows the SaaS provider to continuously refine the program, and push those refinements out to each user on a timely basis. This not only makes for a more robust piece of software, it also allows the cost to be shared between many users. Customization however, is still allowed. Each end user may for example, be able to choose from multiple software components to create a SaaS application that very specifically meets their own precise needs; and of course, just like most types of on-premises software; SaaS applications allow each end user to apply their own user preferences and custom configuration.
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