UPSC Prelims 2022 Q33: Software as a Service (SaaS) — Explained
With reference to "Software as a Service (SaaS)", consider the following statements:
1. SaaS buyers can customise the user interface and can change data fields.
2. SaaS users can access their data through their mobile devices.
3. Outlook, Hotmail and Yahoo! Mail are forms of SaaS.
Which of the statements given above are correct?
- 1 and 2 only
- 2 and 3 only
- 1 and 3 only
- 1, 2 and 3
Answer: (d) 1, 2 and 3
Statement-wise explanation
- 1: correct — SaaS software runs on the provider's servers and is shared by many customers, so buyers cannot change the code itself. They can still configure it: providers offer settings that let each customer change the look of the interface, such as branding, layout and menus, and add or rename data fields to suit their own work. Salesforce custom fields are a common example. Customisation in SaaS means configuring the product, not editing its source code.
- 2: correct — In SaaS the application and the data are stored in the provider's cloud, not on the user's computer. Any device with an internet connection and a browser or app can reach them, including phones and tablets. Access from anywhere on any device is one of the main features of SaaS.
- 3: correct — Web-based email services are among the oldest and most common examples of SaaS. Outlook.com (which took over Hotmail), Hotmail and Yahoo! Mail are hosted by the provider. Users reach them through a browser or app and install or maintain nothing. Gmail, Google Docs and Microsoft 365 are other everyday examples.
How to eliminate
Start with Statement 2. Anyone who has opened webmail or Google Drive on a phone knows it is true. That rules out the option that leaves out Statement 2. Statement 3 can also be settled from daily life: you use Yahoo! Mail or Outlook in a browser, install nothing and pay no licence, which is what SaaS means. You are now choosing between '2 and 3 only' and '1, 2 and 3'. Statement 1 is the trap. Many candidates think 'shared, standard software' means no customisation at all and drop it. But the statement only claims that buyers can change the interface and data fields, and SaaS products do allow that through configuration. It does not claim that buyers can rewrite the code. The statement uses no absolute words like 'only' or 'always'. Fact to remember: SaaS can be configured (look and feel, fields, workflows) but its code cannot be modified.
Know more
Cloud service models. Cloud computing delivers computing resources over the internet on demand, usually on a pay-as-you-go or subscription basis. The US standards body NIST defines three service models. They differ in how much the provider manages and how much is left to the customer.
| Model | What the provider gives | What the customer manages | Examples |
|---|---|---|---|
| IaaS (Infrastructure as a Service) | Servers, storage, networking (virtual machines) | Operating system, middleware, apps, data | Amazon EC2, Microsoft Azure VMs |
| PaaS (Platform as a Service) | Infrastructure + operating system + development tools | Their own applications and data | Google App Engine, Heroku |
| SaaS (Software as a Service) | Complete, ready-to-use application | Only their settings and data | Gmail, Outlook.com, Yahoo! Mail, Zoom, Salesforce |
Key features of SaaS
- Hosted centrally: the provider runs the software and updates it. Users do not install patches.
- Multi-tenant: one copy of the software serves many customers, and each customer's data is kept separate.
- Subscription pricing: users pay per user or per month, or use a free tier funded by ads, instead of buying a licence once.
- Access anywhere: any browser or mobile app works.
- Configurable, not modifiable: customers can change the interface, fields and workflows through settings, but cannot edit the code.
Deployment models (a separate classification): public cloud, private cloud, hybrid cloud and community cloud.
India context: the government's own cloud, GI Cloud – MeghRaj, launched in 2014 and run by the National Informatics Centre (NIC), offers IaaS, PaaS, SaaS and Storage-as-a-Service to ministries and departments. Indian SaaS firms such as Zoho, Freshworks and Chargebee are often cited as part of India's move from IT services to software products.