SaaS Software as a Service (SaaS) was created it revolutionized the relationship between software providers and customers.

Saas

Saas

The demand for Web development skills needed to design, build and deploy Software as a Service applications will continue to increase exponentially over the next several years as more and more companies seek solutions that work with and enhance the capabilities of the cloud.

While traditional client/server applications essentially run on physical machines, whereas cloud services can, and often do, run on several different geolocated servers. Developers need to be aware of and design for the potential lag time with various Web service APIs, database servers and application servers, as well as both synchronous and asynchronous processes within any given cloud server. The design must allow for bandwidth limitations and server load issues, and address issues around horizontal scaling.

Customers are interested in Software as a Service and not just a Product. This has been one of the major drivers of SaaS exponetial growth. The SMBs are not as tightly wed to their existing software as enterprises, as they are not dependent on large legacy applications and the hardware, so their "switching" costs are proportionally less - SMBs have led the early adoption of B2B SaaS.