SaaS (Software as a Service)

SaaS is software delivered over the cloud on a subscription basis, letting users access full functionality without installing or maintaining their own servers.

Common in scenarios like data analytics platforms or online education systems, and well suited to products needing fast launch and multi-tenant architecture. A common misconception is that SaaS is always cheaper than custom software — subscription costs accumulate over time and functional flexibility is limited by the platform, so at larger scale over the long term, custom development isn't necessarily the more expensive total-cost option.