What is Software as a Service (SaaS)?

Software as a Service (SaaS) is a software licensing method whereby software is usually rented via a subscription-based service. SaaS is sometimes called "on-demand software" and is commonly classified as part of cloud computing, along with similar software delivery methods. SaaS is commonly accessed by enterprises that rent software platforms, often as a white-label, turnkey product that is customized for their specific needs. SaaS is leveraged for many types of business applications, including office software, computer-aided design (CAD) software, development software, management information systems (MIS), virtualization, geographic information systems (GIS), and an endless array of additional uses.