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Common FAQ’s about Software as a Service

As SaaS solutions continue to offer a viable software option for many businesses, you are probably hearing the term “SAAS” much more. But what exactly is SAAS, is it new and what happens if the vendor goes out of business? Here are your answers to frequently asked SAAS questions.

 

What is SAAS?

 

Software as a service is method of software delivery that allows data to be accessed from any device with an Internet connection and web browser. Tech Target explains that SaaS removes the need for organizations to install and run applications on their own computers or in their own data centers. This eliminates the expense of hardware acquisition, provisioning and maintenance, as well as software licensing, installation and support.

 

Is SAAS new?

 

No. The origins of a shared resource environment such as cloud computing date back to the 1960’s. In a 1961 speech to MIT students, John McCarthy, a renowned computer scientist famously said, “computation may someday be organized as a public utility.” In other words, with the concept of cloud computing that is certainly what you have – a shared resource of computing power.

 

Is SAAS Software Customizable?

 

When SaaS applications first emerged, customization was very limited. Everyone got the same solution and had to adapt their business processes to the software they received. Today, however,  it’s becoming easier and more common to customize your SaaS systems. As the SaaS market grows, software vendors are investing more time and money into development in order to provide more customization and flexibility for companies.

 

What is my vendor goes out of business?

 

According to Software Advice, this is a legitimate concern as in the world of software, vendors come and go all the time. This could be due to industry consolidation or business failure. The data, however, is typically yours to keep. Most SaaS vendors prepay their data center hosting company to “keep the lights on.” This prepaid fee is meant to safeguard companies to ensure their data is accessible in the event something should happen with the vendor.

 

SAAS is here to stay, so the more you can learn about it, the better! Keep in mind that it is a growing field so things are constantly evolving, but the facts stay the same. Learn more about SAAS in part two of this blog!