IaaS vs PaaS vs SaaS – What Sets Them Aparat?

Before we dig deep into each of the IaaS, PaaS, and SaaS cloud service models, it’s better to unwrap and get a good grasp of the main differences. We’re going to dive into a quick comparison that would include critical aspects such as main uses, access, services, accessibility, and other interesting factors.

Infrastructure as a ServicePlatform as a ServiceSoftware as a Service
Abbreviation:IaaSPaaSSaaS
Main Users:IaaS is mainly used by network architects.PaaS is mainly used by software developers.SaaS is primarily used by the end clients.
Delivery Type:IaaS delivers virtual resources over an internet connection.PaaS delivers tools for the development of software applications.SaaS delivers software hosting making it accessible to users.
User Access:IaaS provides access to virtual machines and storage.PaaS shares access to a runtime environment for development tools.SaaS provides complete access to the end user.
User Control:IaaS shares control via operating systems like Windows & Linux.The user control is provided through application data.No control over the infrastructure is being provided to the client.
Popularity:The most popular cloud service model among businesses.The most popular cloud service model among developers.The most popular cloud service model among consumers.
Scalability:Highly scalable, and flexible on demand.Highly scalable, suiting different requirements.Highly scalable suiting businesses of all levels.
Example:AraCloud, AWSAWS Elastic Beanstalk, Google App EngineDropbox, Google Workplace
Knowledge:Requires technical knowledge.A mild knowledge might be required.No requirement for technical knowledge.

After this general breakdown of the main differences between, IaaS, PaaS, and SaaS cloud computing infrastructures, let’s dig deep and explore an in-depth overview.

A bar chart comparing worldwide public cloud services revenue for IaaS, PaaS, and SaaS in 2022 and 2023. The chart is sourced from IDC Worldwide Semiannual Public Cloud Services Tracker, May 2024. Revenue is represented in billions of U.S. dollars. In 2022, SaaS revenue was $254.4B, PaaS was $95.4B, and IaaS was $115.5B. In 2023, SaaS revenue increased to $298.5B, PaaS to $123.3B, and IaaS to $133.4B. The bars are color-coded: light blue for IaaS, medium blue for PaaS, and dark blue for SaaS.

What is IaaS? (Infrastructure as a Service)

IaaS (Infrastructure as a Service) represents a virtual environment with scalable computing resources, providing a high level of user control over the system and applications. IaaS allows customers to only pay for what they use, by providing a scalable infrastructure, without physical hardware interactions.

With IaaS, clients can achieve the same technological capabilities as traditional on-premises centers, without maintaining the hardware, security, and software updates. IaaS, like AraCloud, provides access to computing power and storage via an API or a dashboard, sharing full control over the infrastructure.

These aspects make IaaS cloud computing services ideal for businesses with unpredictable workflow growth and seasonal traffic spikes.

IaaS Advantages & Disadvantages

Cloud computing service models come with pros and cons, strictly dependent on the business needs and requirements. So, understanding the IaaS cloud benefits and downsides is vital for selecting the best solution for your business.

IaaS Pros

  • Highest Flexibility – IaaS offers the highest flexibility, contrasting other cloud application services and models, offering clients complete freedom to match specific needs.
  • Scalable Payment – With IaaS, you only pay for what you use, meaning that the dedicated resources can scale automatically, or on demand whenever needed, as needed.
  • Complete Control – With IaaS cloud services, the organization has complete control over the operating system, deployed applications, and infrastructure management.

IaaS Cons

  • Security Concerns – While the IaaS infrastructure is secure at its core, complete client control means constant security threats such as access vulnerability and malware.
  • Internet Dependency – While IaaS cloud services can streamline workflows effortlessly, internet dependency can restrict access and performance due to the shared, multiple-user architecture.
  • Unexpected Costs – While the pay-as-you-go structure can be cost-effective, unexpected surges in hardware resource utilization can increase the monthly costs.

What is IaaS Best For?

To provide you with a better understanding of where IaaS finds its application, we’ve prepared a few examples where infrastructure as a service is most advantageous:

  • ✓ Small organizations typically prefer IaaS providers, so they can avoid spending money and time to deploy a physical infrastructure for their lightweight workflow.
  • ✓ Startup businesses prefer starting with IaaS cloud services until their operations evolve into a workflow that requires on-premises infrastructure.
  • ✓ Emerging companies that expect seasonal traffic spikes prefer utilizing IaaS to minimize their costs and dynamically scale their computing resources.

IaaS finds application in many more fields, ranging from individuals and startups to large corporations, supporting everything from personal projects to enterprise-level infrastructure and data management.

Note: Learn more about cost-saving in our in-depth IaaS vs. On-Premise server cost comparison.

A donut chart displaying the worldwide public cloud market share for IaaS, PaaS, and SaaS in 2022-2023. The chart is sourced from IDC Worldwide Semiannual Public Cloud Services Tracker, May 2024. The market share is divided into four segments: IaaS at 19.9%, PaaS at 18.4%, SaaS - Applications at 44.6%, and SaaS - System Infrastructure Software at 17%. The segments are color-coded: light blue for IaaS, medium blue for PaaS, and two darker blue shades for SaaS categories.

What is PaaS? (Platform as a Service)

PaaS (Platform as a Service), also known as a cloud platform service model, provides developers with pre-designed environments. PaaS helps individuals and businesses with the development process by providing a place to test and work on their applications, without managing the hardware infrastructure.

The third-party provider completely manages everything from the operating system to storage and data security, while developers solely focus on application management. In short, businesses use PaaS to streamline coding, and scalability while the cloud provider handles servers, storage, and networking.

In contrast to the IaaS model, PaaS delivers a platform for software development with an open source allowing the integration of special software components.

PaaS Advantages & Disadvantages

Similarly to any other cloud environment, PaaS comes with a set of advantages and disadvantages that we shouldn’t overlook. So, familiarizing yourself with the pros and cons will help you make your decision.

PaaS Pros

  • Highest Simplicity – A typical cloud PaaS platform is as simple, reducing the need for additional coding and fully automating business policies while handling infrastructure management.
  • Cost-Effectiveness – Platform as a service entirely eliminates the need for on-premise management and offers cost-effective solutions for easy migration to hybrid cloud models.
  • Highest Availability – The PaaS infrastructure provides built-in scalability, ensuring all the applications are adaptable to changes and remain accessible.

PaaS Cons

  • Legacy Customization – The PaaS environment may not be a good solution for already existing legacy applications and legacy systems, since configuration changes might be necessary.
  • Application Integration – The transition from on-premises infrastructure to a PaaS environment could be challenging, considering the limited amount of cloud-native applications.
  • Potential Runtime Issues – The PaaS solutions may not work smoothly with specific frameworks and languages, overcomplicating the development of custom dependencies.

What is PaaS Best For?

Taking the PaaS delivery as well as advantages and disadvantages into consideration, we can easily determine some real-world applications, where platform as a service is most advantageous.

  • ✓ Large-scale businesses that require collaborative development, concidering the shared tools and utilities, which allow multiple users to work on the same project.
  • ✓ Enterprise companies that need quick software deployment, to minimize the coding complexity with completely automated processes and operation.
  • ✓ Individual entrepreneurs who rely on scaling and maintenance,automatically covered by the PaaS solutions, such as software updates, operational capabilities, and security patches.

PaaS is especially useful for organizations looking to create applications with specific customizations while providing enhanced operational speed and flexibility.

What is SaaS? (Software as a Service)

Cloud application service, or SaaS (Software as a Service), is the most commonly used cloud model for organizations in the virtualization environment. The SaaS services deliver cloud-based applications to the end users, running entirely into the web browser, removing the need for downloading and installing.

With SaaS, most, if not all third-party vendors manage and deliver applications by leveraging only an internet connection, minimizing the need for IT resources in deploying the software. The SaaS offering also includes complete management including data security, servers, storage, support, and bug fixes.

One of the SaaS characteristics, that makes the service preferred is the ultimate cost-effectiveness in deployment, minimizing tedious and repetitive tasks by automating everything.

Tip: If you’re interested in the software as a service model, we recommend checking the top SaaS tools for businesses in 2025.

SaaS Advantages & Disadvantages

To understand Software as a Service (SaaS) better, we need to take a deep look at its advantages and disadvantages, which go hand in hand.

SaaS Pros

  • Rapid Mass Deployment – SaaS services greatly reduce the time required for IT departments to deploy applications individually on each machine, making the process smooth and efficient.
  • Automatic Maintenance – Managed from a central location, SaaS applications are maintained from a remote server, allowing businesses to focus on the most important–their tasks.
  • Remote Accessibility – The deployed SaaS software can be accessed remotely, solely over the internet from any location, making it easy for users to work without on-premises configuration.

SaaS Cons

  • Vendor centralization – Some SaaS cloud service providers are making it easy for clients to get in, but difficult to migrate their APIs, tools, and protocols to another vendor in the future.
  • Unplanned downtime – The lack of control and complete management provided by the vendor, often keeps clients in the dark about planned/unplanned maintenance and downtime.
  • Lack of integration – Many organizations require deep blending with on-premises configurations which is not always possible with SaaS due to the great limitation in integration support.

What is SaaS Best For?

With the pros and cons aside, we can now explore the main SaaS applications, to identify in which real-world use cases SaaS would be the best-performing cloud service.

  • ✓ Small businesses with short-term organizational needs can benefit from the SaaS’s existing application offerings to fulfill their business requirements quickly and efficiently.
  • ✓ Individual users that require a quick deployment of applications for other customers that wouldn’t be used too often such as tax software, invoicing tools, and payroll management.
  • ✓ Startup companies that require software applications that can be easily accessible through a web interface and mobile devices, granting quick and easy remote access.

We’re just scratching the surface of all SaaS infrastructure service applications. With the software as a service model, organizations can count on cost-effectiveness, easy maintenance, and remote access.

Quick Tip: If you’re a startup or a small-scale organization looking for an effective cloud infrastructure, we strongly encourage you to learn more in our cloud guide for small businesses.

A comparison image of Software as a Service vs Platform as a Service vs Infrastructure as a Service management.

SaaS vs PaaS vs IaaS – Cloud Services Providers:

Now that you know the key difference between IaaS, PaaS, and SaaS services, let’s explore some popular real-world examples of how each of these cloud models is applied in various industries.

Cloud Computing:Popular Providers:
IaaS Examples:Infrastructure as a service examples include:
AraCloud IaaS Solution, Microsoft Azure, Google Compute Engine, Digital Ocean, Cisco Metapod, Amazon Web Services
PaaS Examples:Platform as a service examples include:
AWS Elastic Beanstalk, Heroku, Microsoft Azure (Windows Azure), Google App Engine, Red Hat OpenShift, Apache Stratos, Force.com
SaaS Examples:Software as a service examples include:
Dropbox, Concur, Google Cloud Workspace, GoToMeeting Cisco WebEx
IaaS, Paas, and SaaS [MIX]Cloud services offering a mix of IaaS, PaaS, and Saas include:
Google Cloud (Google Apps), IBM Cloud, AWS, Microsoft Azure

After reviewing these real-world examples, some of which most of us are using daily, you’ll likely find similarities with your own apps and business needs. This will not only help in determining which model is going to align best with a given business but also make it easy to relate to their practical applications.

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Try IaaS Cloud Computing Services with ServerMania

If you’re considering a transition from on-premises to cloud infrastructure, as a trusted cloud service provider, ServerMania offers expert consultation to guide your decision-making process.

Now that the difference between IaaS, PaaS, and SaaS is clear, you can start exploring ServerMania’s competitive cloud server pricing offers and benefit from our 24/7 expert support. Get in touch now and request a free quote!