= Software as a Service (typically pronounced 'sass')

SaaS is a model of software deployment whereby a provider licenses an application to customers for use as a service on demand.

SaaS software vendors may host the application on their own web servers or download the application to the consumer device, disabling it after use or after the on-demand contract expires. The on-demand function may be handled internally to share licenses within a firm or by a third-party application service provider (ASP) sharing licenses between firms. Examples of SaaS vendors include SAP Business ByDesign and Google Apps which provide common business applications online that are accessed from a web browser, while the software and data are stored on the servers.