Cloud Tech Explained: IaaS, PaaS, SaaS Differences

Cloud terminology demystified. Explore commonly used terms and their meanings. Discover valuable hidden tools in cloud computing.
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Key Takeaways

When looking for a cloud computing service, you'll find various acronyms and buzzwords that may not make sense at first glance. Technology is a rapidly evolving field, and marketers tend to invent flashy new words to describe a product or service.

It's important to understand what your needs are. It's just as important to understand exactly what you're being offered in terms of cloud technology. Marketing texts and technical jargon can make navigating the cloud more difficult than it needs to be.

Today, we're going to look at common cloud terminology, to help you understand what it means and how these services can benefit you. We're also going to take a look at how cloud technology has changed the way we use our devices at home and in the office.

Changing the way we work

Before the advent of cloud computing, businesses had to buy their own servers. They needed an IT department to manage these servers, keep them up to date and secure, and to provide technical support to users. Data was often backed up offsite by copying it to tape and delivering it by trucks or vans.

Start-up costs were higher and required a significant initial investment. Servers were often underused, wasting money and energy. Today, with a solution like Infrastructure-as-a-Service, you don't need server banks to start your business: everything is taken care of.

Today, you rent your infrastructure to a third party, paying only for what you need and what you use. IaaS providers take care of the hardware and operational logistics of the servers, allowing you to evolve your business according to your needs.

As cloud computing grew in popularity, new terms were invented to refer to services and products. In many ways, the landscape is the same — we're still using our personal computers to access more powerful servers on the Internet — but the way we use our devices to access our data has changed.

Acronyms for IaaS, PaaS, UCaaS, GaAs

The main terms you'll encounter when it comes to cloud computing are:

  • IaaS, Infrastructure-as-a-Service
  • PaaS, platform-as-a-service
  • SaaS, Software-as-a-Service
  • UCaaS, Unified-Communications-as-a-Service (Unified Communications as a Service)
  • GaAs, gaming-as-a-service (game as a service)

These terms may seem confusing, but in practice, it's pretty simple. Let me give you a few examples that will give you a concrete idea of what each term means.

IaaS (Infrastructure-as-a-Service)

IaaS is simply a cloud service that allows a person or organization to rent infrastructure such as servers, networking devices, and data storage. Essentially, IaaS is a virtual data center.

Instead of buying and maintaining expensive hardware, users can rent what they need from an IaaS provider, such asAmazon Web Services (one of these services is Glacier, see our article on the top five customers for Amazon Glacier for more details). The IaaS provider owns all physical hardware and takes care of all the maintenance and costs associated with operating a data center.

There are several advantages to using IaaS instead of buying your own hardware:

  • Scalability. As your business grows, you can add additional resources when you need them.
  • Redundancy. IaaS providers have implemented multiple systems to avoid service interruptions. In the event of a hardware failure, these redundant systems will allow your services to continue to function as if nothing had happened.
  • Global access. Do you have developers in Tokyo, but most of your customers are in the United States? You can create multiple servers to meet your business needs and ensure accessibility for everyone.

PaaS (Platform-as-a-Service)

PaaS provides an environment for developers to quickly write and deploy code. PaaS relies on IaaS by providing the operating system as well as development tools, database engines, analysis tools, etc.

The main benefit of PaaS is that developers don't have to install, configure, or update the underlying operating system or software that their applications will run on. They can simply get to work writing the code, saving time setting up and saving money.

Let's take a simple example: your business needs a content management system (CMS) like WordPress. WordPress requires a software stack that typically includes:

  • Linux server
  • Apache/NGINX web server
  • MySQL database
  • WordPress

You could learn to set up and maintain all of this yourself, or hire a system administrator, but why waste valuable time and money? By using a PaaS provider, you can focus on your content or product, rather than the software that underlies it.

SaaS (Software-as-a-Service)

The traditional software model typically required a license for each user or computer, and because the software was installed locally, any updates or issues with the computer could result in downtime and lost revenue.

SaaS eliminates the need to install software on individual machines by providing it through a secure Internet connection, without the headache of individual licenses or buggy updates. When the software is updated, the changes are rolled out across the service. Users can access the software from any computer with an Internet connection.

SaaS providers generally operate on a pay-as-you-go basis, charging a small monthly fee. Although it may seem surprising at first glance, SaaS offers several advantages over the traditional software model. Your software is accessible from any device and does not require installation. SaaS providers automatically deliver new updates or patches. Businesses and users no longer need to buy expensive updates and install them. Long-term costs will generally be lower than buying licenses, installing, upgrading, or supporting the software in-house.

SaaS is interesting for both users and developers. If you like the idea of moving your software to the cloud and having access to the latest version on all of your devices, we've covered various SaaS providers in the past.

Regardless of the industry, there's a good chance you can migrate from old-fashioned desktop software to a cloud service. Our best suppliers of accounting software are a good example: they allow you to keep your accounts from any device, including mobile phones or tablets.

Other examples include customer relationship management (CRM) tools, which are essential for any business that sells products or services. Using a cloud-based CRM allows your business to centralize and manage things like calendars, task management, ad campaigns, email lists, and conversion tools. We looked for the best affordable CRMs for small businesses so you can find one that fits your needs.

Access to valuable information and tools like these allows you to stay on top of all aspects of your business, no matter what device you're using or where you're located.

Collaboration using SaaS

Before moving on to the next term, let's look at one of the main benefits of using SaaS for your business: collaboration.

When you use traditional software installed on your machine, your work is saved on your device. You could copy it to a folder and share it via dropbox or Google Drive, but that requires deliberate, manual action on your part. Creating and editing documents as a team is easier and faster when your software is designed for collaboration.

Finding the right software suite for your business is easy.

It allows you to maximize your productivity and eliminate unnecessary worries. Stop wasting valuable time searching through emails or email applications, relying on phone calls and voice messages, or managing file versions and backups. Move your software to the cloud and focus on the important work.

UCaaS (Unified-Communications-as-a-Service)

UCaaS is one of the least-known and apparently vaguest acronyms in the cloud. It sounds complex, but it's basically about hosting all of your communications in the cloud. It's not just about instant messaging or Skype. UCaaS providers allow your business to host all of its communication tools in the cloud and access them from multiple devices, regardless of distance.

A cloud-based phone system can integrate seamlessly with the tools you're already using. Vendors like Vonage allow you to integrate all of your communication and business tools, such as Salesforce CRM, G Suite, Microsoft Dynamics, and other applications.

Having your call center in the cloud and integrated with the tools you already use allows you to focus on your business and not on your phone system. Maintaining a call center and all of this equipment is expensive. By moving your phone system to the cloud, you can share resources between offices or employees without worrying about system monitoring or maintenance.

GaAs (Gaming-as-a-Service)

When we discussed the future of the cloud at the beginning of the year, GaAs was one of the topics we talked about. Although it may seem surprising at first glance, it is a technology that is developing rapidly and is supported by companies like NVIDIA.

The biggest advantage of GaAs is that it's hassle-free. You don't need to worry about patches, updates, digital downloads, game installations, or even the hardware you're using.

You heard it right: no installation or hardware problems. Isn't it frustrating to buy a game and wait hours for it to be downloaded, installed, and then updated? Games are huge files these days, and patches can be surprisingly large as well. With GaAs, the game runs on a powerful cloud server. Patches or updates are deployed to the server for all users, eliminating the need for players to download and install them.

Games can be optimized for the server hardware they run on, resulting in increased performance, better graphics, and better playability for everyone. That brings us to the next benefit of cloud gaming, the ability to play games on any device. PCs, Macs, tablets, smartphones, or other low-powered devices can all be used to play games since all processing takes place on a powerful remote server.

With GaAs, you won't have to worry about buying an expensive high-end desktop or upgrading your components. You'll be able to get the same gaming experience with a tablet or phone and your favorite controller, from anywhere with an internet connection.

It is a fast-growing sector.

Hybrid cloud services

We've seen how the cloud has changed the way we work, and we've demystified trendy marketing terms. Cloud providers often offer a mix of services, including IaaS, PaaS, and SaaS. These hybrid cloud providers are great for businesses with a wide range of needs.

Amazon Web Services is the best example, offering over 70 different cloud services in different parts of the world.

If you're a startup or a small business, it's nearly impossible to build a global infrastructure from scratch. Using a provider like AWS allows you to grow at an exponential rate and access resources as needed. Leveraging cloud services like IaaS or PaaS is the best decision you can make to get your business off the ground without breaking the bank.

Conclusion

It's often jokingly said that no one really knows what the cloud is. It's easy to see why when there are always new acronyms being invented, new services or products being created. Technology is evolving at lightning speed and is constantly changing.

We covered the changes that cloud computing has brought to the world of technology and explained the meaning of the lingo used. You can also consult our cloud computing statistics.

Once you get past the buzzwords, it's easy to see how you can benefit from cloud computing solutions, whether you're an individual or a growing business. The cloud allows you to save money and time, increase productivity, and when you're done with your day's work, relax with your favorite TV, movies, or games.

As always, if you have any questions or comments, feel free to contact us by leaving a comment below. Thanks for reading.

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Stephen MESNILDREY
Digital & MarTech Innovator

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