SaaS vs. IaaS vs. PaaS: Which Cloud Services Model Fits Your Business?

As predicted by Statista, the market of the cloud services model will be $168.6B by 2025.

Besides that, according to Gartner researchers, by 2025, more than 85% of enterprises will adopt a cloud-first approach and need to deploy cloud-native architectures and technologies to execute their digital strategies properly.

It demonstrates that cloud service models are among the most in-demand services currently and that large companies like Microsoft, Google, Oracle, and Amazon are paving the way for innovation development.

What are the key features of the 3 cloud service models?

        1. Infrastructure As A Service (IaaS)

Infrastructure as a service, or IaaS, provides a standardized way of obtaining computing capabilities on demand through the web. Such resources include processing power, storage facilities, virtual private servers, and networks.

These are priced on a "pay as you go" system, where you are charged based on how much storage or processing power you consume over a specific period.

Benefits of IaaS

Cost saving

By having IaaS, no company has to worry about network equipment or hardware maintenance, ensuring uptime, and replacing outdated equipment.


IaaS is a cost-effective choice for startups and businesses trying out new strategies because it protects the company from unexpected business spikes.

Improve business growth

You must recruit more staff to maintain the technology infrastructure as your company expands. However, IaaS uses cutting-edge technology that can quickly scale up or down to match the business's needs.


You may concentrate on other tasks because third-party service providers will maintain the infrastructure.

Increased security

Intensive information security measures like encryption at rest and end-to-end encryption for private and confidential data are other benefits of IaaS.


This implies that your company may receive a higher level of security than if your infrastructure were hosted on-site.

IaaS use cases

Backup solutions or disaster recovery

Building centralized backup and file storage options for many users is a complicated task that can be performed quickly with the IaaS cloud service model.


It enables the customer to take advantage of various services with first-rate infrastructure. Computing, disaster recovery, analytics, and BI as a service are some examples.

Testing and development

With SLAs in place and a high level of security, organizations can trust IaaS to run critical business projects and accelerate time to market with higher scalability of the cloud services model, specifically IaaS.

Big data analysis

IaaS is the ideal cloud services model for managing big data because it can handle heavy workloads and interact with business intelligence tools.


This provides business insights that users can use to enhance customer relationships, predict trends, and develop new products/services.

        2. Platform As A Service (PaaS)

Platform as a Service (PaaS) sits in the middle of Software as a Service (SaaS) and Infrastructure as a Service (IaaS).

It provides customers with access to a cloud-based environment where they can create and distribute apps without having to install and use IDEs, which are often highly expensive.

Moreover, users can customize the features they wish their subscription to contain.

Benefits of PaaS

Effective scalability

The cloud services model, PaaS, enables users to concentrate on prototyping, developing, and designing new products/services by launching pre-configured environments where customers don't have to worry about computing resources.

Platform maintenance

PaaS cloud services make automated security patches and upgrades. This ensures that there are no security flaws and that the application runs on the most recent version and patch.


PaaS eliminates the requirement to have a specialized workforce to manage environments regularly. There are hence significant cost savings.

Dynamic allocation

PaaS allows you to evaluate new app features before releasing them to the general public. You can also test these apps with a limited group of users. These tasks couldn't be accomplished in the local environment.

PaaS use cases

Data and database management

PaaS is appropriate for establishing and maintaining a company's database. It's a scalable, secure, and on-demand platform for building, running, and maintaining databases.

Business intelligence

Cloud services model PaaS enable in-depth analysis of company data, allowing users to spot trends, forecast future events, and ultimately make more informed decisions.

PaaS solutions can assist businesses in anticipating behaviours and occurrences so they can plan efficiently.

Collaboration and communication

The fact that PaaS can be a delivery mechanism for collaboration and communication is one of its many incredible features. This implies that apps created using the PaaS can include capabilities like voice, chat, and videos.

        3. Software As A Service (SaaS)

Software as a Service provides web-based solutions that are controlled by the software provider rather than by your company.

Your organization will no longer be under the constant pressure of managing software updates, infrastructure, network security, data availability, and all the other operational concerns related to keeping applications up and running.

SaaS billing is often determined by variables, including the number of users, the duration of usage, the volume of data stored, and the number of transactions performed.

Benefits of SaaS

Quick deployment

In the cloud, SaaS applications are already set up and installed. This reduces frequent delays brought on by lengthy traditional software deployment.


An internet connection and a browser are all that is required to use a SaaS application.

SaaS is more accessible than conventional software installation because it is typically accessible on various devices and from anywhere in the world.

Reduced up-front cost

SaaS often operates on a subscription basis and has no upfront license payments, reducing initial costs. Because the SaaS provider manages the IT infrastructure that runs the software, costs for hardware and software maintenance are reduced.

SaaS use cases

Disaster recovery

Disaster recovery is yet another critical factor influencing SaaS adoption. The idea is to build a backup Head end in the cloud that would be used in the sudden instance of failure.

Content delivery

SaaS brings additional benefits for content owners trying to take their content straight to the consumer (D2C), with deployments including everything from the subscriber management systems, Customer Management Systems (CMS), and user experience.


SaaS is the only cloud services model that helps deliver applications that can be widely accessed and distributed.

For instance, Google's Gmail can be used without installing any software on your local device and is a fully managed email-based application.

Why is it Important to Choose the Right Cloud Service Model?

IaaS, PaaS, and SaaS are examples of cloud-based systems that have many advantages over on-premises hardware and software. However, picking the best cloud service might be difficult.

Many people are unaware of the meanings of SaaS, IaaS, and PaaS or which cloud solution they require for their projects.

We have discussed the benefits and the use cases of 3 cloud services models above. The first IaaS solution is best for IT administrators, the second PaaS is suitable for software developers, and the last SaaS is ideal for end-users.

Picking the cloud-based service entirely depends on your business's needs, infrastructure availability, and application and data portability.

Every cloud services model offers a different level of performance and capacity. Various projects have specific requirements for smooth operation.

It's foolhardy to consider that the project will automatically adapt to the cloud service model without checking the compatibility first. Therefore, it's essential to understand all the models and select the one that will meet your business needs and be compatible with your tools and technologies. 

Criteria to Select The Right Cloud Service Provider

With the tech-driven world embarking on the way of virtualization, transitioning to cloud services is the need of the hour. As numerous IT service providers are getting externalized, it's crucial to analyze the service providers thoroughly for long-term business success.

The finest cloud service provider can adapt to even the most unusual business requirements.

A strategy is essential, but it's also critical that the plan be loaded with clearly defined execution milestones and crystal-clear business objectives.

Remember that starting small, experimenting fearlessly, failing quickly, and learning as the business scales are the keys to a flawless cloud transition model.

Let's dive into the top criteria for choosing the right cloud service provider.

1. Certifications and security standards

It's straightforward: data needs protection; thus, cloud service providers must demonstrate that their security standards are top-notch.

Cloud service providers must adhere to necessary industry certifications, such as ISO 27001 or other Government-initiated Cyber Essentials Schemes.

Data governance mechanism with a structured service support process is the kingpin of cloud services providers' selection process.

2. Technologies

Verify that the provider's platform and preferred technologies support your cloud goals and are compatible with your present environment.


Do the cloud architectures, standards, and services the provider offers suit your workloads and management preferences?

Estimate how much re-coding or customization is required to make your workloads compatible with their platforms.

3. Manageability

Each service supports and leverages multiple orchestration tools, promising to integrate different associated services. To ensure that the chosen cloud provider can integrate quickly, the services that are essential to the enterprise must be clearly defined.

Before making a final choice, it is also crucial to ascertain how much time and effort the team will need to handle different facets of the broader cloud architecture.

When do you need SaaS?

SaaS platforms are excellent if you want an application to function well with little client input. Small enterprises or startups unable to develop their applications should use SaaS.

The quickest and most straightforward choice for eCommerce and short-term initiatives is SaaS. It enables users to build effective eCommerce sites without prior knowledge of networking or hosting.

They need to concentrate on web design, sales, and content generation for business operations. Moreover, SaaS is a fantastic option for software that is only sometimes utilized, such as accounting and tax applications.

When do you need IaaS?

Building up development and testing environments before pushing them to clients is a fantastic way to use IaaS.

IaaS is ideal when your business doesn't have a data centre. Additionally, entrepreneurs can leverage IaaS since they can access enterprise-level technologies without investing money in IT infrastructure.

Because cloud computing is pay-as-you-go, or clients can purchase resources as needed, IaaS is made to accommodate the majority of budgets.

Furthermore, businesses that have steered away from on-site infrastructure but wish to preserve their current software tend to gravitate toward IaaS. This is because businesses can use the IaaS provider's IT infrastructure while still maintaining their software.

When do you need PaaS?

Utilizing PaaS is beneficial, and sometimes even necessary, in various situations. For instance, you need PaaS to streamline workflows when several developers are working on the same development project.

When other vendors must be included, you need PaaS to provide flexibility and incredible speed to the entire process. PaaS is specifically beneficial when you have to build customized applications.

Moreover, businesses frequently use PaaS to build unique apps without investing a fortune in the infrastructure. Besides that, as an analogy, you don't build your arena to host a concert. Instead, you hire a reputable venue and concentrate on ticket sales.

Final thoughts

The increasing popularity of SaaS, IaaS, and PaaS has minimized the need for on-premise hosting. As technology and businesses continue to merge, shifting to cloud platforms becomes paramount for enterprises trying to remain on the cutting edge.

These cloud services models give users flexibility, choices, and options that on-premise hosting can never provide.

Besides that, each cloud services model is suitable for various business types and requirements. Each model has advantages, so it's crucial to understand which is more significant to you and your business – customization, control, or convenience.

Once you've chosen, you must choose a vendor who fits with the culture of your business and will eventually assist your teams to work more productively and efficiently.

Furthermore, by integrating your networks, deployments, and applications, the cloud services models enable the creation of more seamless business solutions.

It offers many opportunities to develop and deliver unique digital services for your clients and employees. Lastly, during times of upheaval, cloud technology enables your firm to react swiftly to changing needs.

About the author


Youssef is a Senior Cloud Consultant & Founder of

Leave a Reply

Your email address will not be published. Required fields are marked

{"email":"Email address invalid","url":"Website address invalid","required":"Required field missing"}

Related posts