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     (SaaS) Software As A Service
Software as a Service (SaaS) is an industry standard of delivering software applications and services remotely to the user. In a SaaS environment, the user pays only for the number of seats needed and billed on a monthly basis. The typical upfront cost of software applications are avoided including the cost of licensing, hardware and additional IT support. These are now the responsibility of the service provider.

Complementing SaaS is Managed Service Provider (MSP),  where a data center hosts the end users software application. In a MSP environment, the user is responsible for software licensing. The MSP is responsible for providing the necessary IT support including the hardware that is necessary to provide the user the application.

In either case, a SaaS or MSP environment is cost effective.  

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