So, what is a SaaS platform? A software as a service platform is cloud based software hosted by a third-party provider and accessed by users through a browser or mobile app on a subscription basis. Instead of installing software on your own machines, you log in over the internet and start working. If you've ever wondered what are SaaS platforms, they are the ecosystems-complete with APIs, integrations, user management, and extensibility-that deliver software as a service to organizations of all sizes. SaaS platforms differ in their target audience and core functions, offering solutions tailored to various business needs.
SaaS platforms differ from standalone saas applications in an important way. While a saas app might be a single tool (like a cloud email client), a platform is the broader foundation: it supports multiple users, offers an ecosystem of connectors and add-ons, and often serves as the backbone for entire workflows. SaaS runs on cloud computing with providers like AWS, Azure, and Google Cloud, and is delivered as cloud services over the internet.
Here's how does SaaS work at a high level:
- SaaS uses multitenant architecture to optimize resources and reduce costs, meaning many customers share the same application instance while their data stays isolated.
- SaaS applications are accessed via the internet and not installed locally-all you need is a browser and an internet connection.
- SaaS applications use subscription-based pricing models, where users pay recurring fees monthly or annually.
- The saas vendor manages the underlying infrastructure, security patches, automatic updates, and software maintenance so you don't have to.
- SaaS eliminates the need for local software installation and maintenance, shifting the operational burden from your IT team to the service provider.