Demystifying Cloud Service Models

3 min readJan 21, 2024

Cloud computing is a complex field with lots of technical jargon and acronyms that can confuse beginners. In this post, I’ll explain the most popular cloud service models — Infrastructure as a Service (IaaS), Platform as a Service (PaaS), and Software as a Service (SaaS) — in a simple, easy-to-understand language.

Infrastructure as a Service (IaaS)

Infrastructure as a Service (IaaS) is a cloud computing model where a provider manages your core computing resources, such as servers, storage, and networking. As AWS states, “With IaaS, you rent IT infrastructure — servers and virtual machines (VMs), storage, networks, operating systems — from a cloud provider on a pay-as-you-go basis” [1]. Instead of buying physical servers or data centers, you rent these resources from a cloud provider such as Amazon Web Services, Microsoft Azure, or Google Cloud Platform.

Some benefits of IaaS include:

- No upfront investment in hardware
- Flexibility to scale resources up or down as needed
- Pay only for what you use
- Quickly deploy resources with automation

As Microsoft Azure describes, IaaS “gives you maximum flexibility and control to configure infrastructure as you like” [2]. Common IaaS services include virtual machines, load balancers, IP addresses, disks, object storage, etc.

Platform as a Service (PaaS)

Platform as a Service (PaaS) provides a managed platform environment for building, testing, and deploying applications. According to Red Hat, “PaaS removes the need for organizations to manage underlying infrastructure (usually hardware and operating systems) and allows you to focus on the deployment and management of your applications” [3]. The cloud provider manages the setup, configuration, and management of the underlying infrastructure and middleware so that you can concentrate on your application code.

Some benefits of PaaS include:

- Rapid development and deployment of apps
- Built-in scalability and high availability
- Multiple development tools and languages
- Access to add-on services like databases, analytics, etc.

Examples of PaaS services include App Services, Container Services, Functions, and Database offerings from major cloud providers. As explained by Microsoft Azure, “PaaS provides a framework for developers that they can build upon to develop or customize cloud-based apps” [4]. PaaS is an ideal solution for people who want to build web or mobile apps quickly without the need to manage servers.

Software as a Service (SaaS)

Software as a Service (SaaS) delivers complete software applications over the internet as a web-based service. As Salesforce describes, “SaaS apps are located on the cloud and accessible via a web browser” [5]. Users access the application via a web browser or mobile app — the cloud provider manages all the underlying infrastructure, middleware, and application code.

Benefits of SaaS include:

- Quick setup — no need to install or update software
- Access applications from anywhere via the internet
- Pay-as-you-go pricing, often monthly or yearly subscriptions
- Automatic updates and patching

Examples of SaaS applications include email, office productivity suites, CRM, ERP, and collaboration tools. As AWS states, “SaaS provides a completed product that is run and managed by the service provider” [6]. SaaS enables people to use software without IT involvement in setup, management, or support.

Wrap Up

I hope this post has helped you understand the differences between IaaS, PaaS, and SaaS and how these cloud service models can benefit your business. With cloud computing, enterprises can enjoy excellent flexibility, scalability, and cost savings. Understanding these service models is essential to take advantage of the cloud effectively.