![]() Additionally, because SaaS applications reside in the cloud, companies do not need to purchase extensive hardware-compute, networking, storage-to support those applications. When the software is run on a provider's server, individual PCs do not need to be upgraded for hardware requirements. Users can get access to applications far faster, which can increase productivity and employee satisfaction. Because SaaS models do not require hardware, they can be deployed rapidly. SaaS updates can also give users access to the newest features. Because SaaS software is hosted on a centralized server, it can be upgraded to multiple computers automatically and, often, more rapidly than traditional software. Companies rent the software they need via subscription and they aren't paying for infrastructure to host these applications. With a subscription model, up-front costs are lower. There are numerous benefits for companies and users, including the following: Many business applications are now available in the SaaS model, such as email, sales management, customer relationship management, financial management, human resource management, billing, and collaboration applications. These technologies can be data-hungry and compute-intensive, and require low-latency, high-performance infrastructure on which to perform. Technologies that have fueled demand for SaaS include cloud computing and edge computing, 5G and Wi-Fi 6, Internet of Things-connected devices, collaboration technologies, mobility, and immersive experiences enabled by artificial reality (AR) and virtual reality (VR). The SaaS model often makes sense as various technology trends require faster, more agile, and on-demand architectures as well as more rapid software updates. It can also minimize some of the time spent on management tasks, because a SaaS provider is responsible for upgrades and management.
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