Software as a Service, means you don't buy the application and install it in YOUR data center. It means all who use it are always on the same version and you can stop worrying about staying current with different releases of software from different vendors hoping something isn't going to break.
SaaS is everything that boxed software isn't. It is served out from highly secure data centers that employ best practices in regard to failover, high availability, business continuity and governmental compliance.
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