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SaaS, or Software as a Service, describes any cloud service where consumers are able to access software applications over the internet. The applications are hosted on "the cloud" and can be used for a wide range of tasks for both individuals and organizations. Applications are purchased and used online with files saved in the cloud rather than on individual computers.
A good way to understand the SaaS model is by thinking of a bank, which protects the privacy of each customer while providing service that is reliable and secure-n a massive scale. A bank’s customers all use the same financial systems and technology without worrying about anyone accessing their personal information without authorization.