What is Software as a Service?
Software as a Service refers to any service in the Cloud that allows users to gain access to software apps over the internet. The fact that SaaS apps are hosted remotely using third-party provided Cloud storage allows both companies and individuals a large degree of flexibility to access a wide range of different functions. Twitter, Facebook and Google are all examples of SaaS apps we may be using!
SaaS is somewhat a kind of on-demand software. The user doesn't need to download any software on their computer, and instead, subscription to the software is offered, and the files are saved in the Cloud rather than physically on a user’s device. The advantage of using such a method of delivery is reduced (if not zero) setup costs, and no requirement for expensive new hardware as all the necessary processing tools are provided by the Cloud service provider. Hence, SaaS not only allows users to cut on costs (you don't need to pay in full for a service you only need in the short-run), it allows users to rid themselves of expensive IT headaches and gained improved access to data which allows better remote collaboration and more work opportunities.
We look at startups that provide software distribution platforms: examples include Mosaic Lights, a Berkeley startup that uses software for assisting in interior design.