XaaS: anything at your service
Understand what each XaaS model offers before making a strategic business decision
In the tech world, a variety of aaS or as a service business models have gained popularity in recent years. They all offer businesses the ability to outsource certain aspects of their operations, but there are some key differences.
In this post, we'll give you an overview of the most popular aaS models and examples of aaS platforms.
When it comes to technology, there's no shortage of acronyms. And one of the latest buzzwords in the tech world is XaaS: anything as a service.
XaaS is a term that describes technologies delivered over the Internet. This can include anything from IT infrastructure and business solutions to entertainment programs and health monitoring tools.
The primary condition of XaaS usage is that you do not download the program but log into it through a browser from any device.
To understand XaaS meaning, let’s take an example from the physical world. Imagine that you have decided to start working out. Instead of buying a gym or an array of expensive exercise machines, you could just pay a monthly fee and use the sports equipment whenever you need.
XaaS development works the same way. Instead of developing specific IT services, you can use them on the “pay as you go” basis.
20 types of XaaS
There are various XaaSexamples. Here are 20 of the most common:
SaaS: software as a service
Software as a service (or SaaS) is a way of delivering applications over the Internet—as a service. Instead of installing and maintaining software, you simply access it via the Internet, freeing yourself from complex software and hardware management.
SaaS examples: Google Workspace, DocuSign, Hubspot.
PaaS: platform as a service
PaaS is a full-fledged development and deployment environment in the cloud which provides all the resources to implement a software product. You can use the development tools of the PaaS platform on-demand and pay as you go.
PaaS examples: AWS Elastic Beanstalk, Google App Engine, Adobe Commerce
IaaS: infrastructure as a service
IaaS provides the infrastructure for application development. It differs from PaaS in the set of resources provided. While PaaS users have access to the database and the operating system, in IaaS, they use virtualization, a physical server, networks, and a data center.
IaaS examples: Amazon Web Services, Microsoft Azure, Google Compute Engine
BaaS: backend as a service
This assumes that you do not write the software backend manually, but use a specific platform that allows you to build a backend from ready-made blocks (predefined templates) Thus, all you have to do is write the app frontend and adjust the communication between frontend and backend parts of the app.
BaaS examples: Back4App, Parse, Kinvey
CaaS: container as a service
With CaaS, you can load, organize, start, and stop containers using provider-based APIs or a web management portal. As with most cloud services, you use the container resources on-demand and pay for the services actually used.
CaaS examples: Amazon Elastic Container Service (ECS), Azure Container Instances (ACI), Pivotal Container Service (PKS)
DBaaS: database as a service
Database as a service (DBaaS) is a cloud computing model that provides users with database access without having to install physical hardware and software or tune performance settings. The database provider handles all administrative tasks and maintenance. However, you can get advanced control options upon request.
DBaaS examples: Google Cloud Datastore, IBM Cloudant, MongoDB Atlas.
DaaS: desktop as a service
DaaS allocates each user their turnkey desktop with a set of the necessary software. The difference between a regular desktop and DaaS is only that the hardware and software are not installed on the user's physical PC, but are provided to them in a virtual form.
DaaS examples: Citrix DaaS, V2 Cloud, Workspot
With HaaS, you receive hardware server infrastructure in the cloud. In contrast to purchasing all the necessary hardware, you can choose HaaS and switch to the format of recurring payments (usually monthly). This is a more flexible approach that reduces the monetary burden on the company.
HaaS providers: Amazon, Axon, HP
LaaS: location as a service
This means that you get data location information on demand. For example, suppose you want to create targeted ads. With LaaS, you can quickly find the regions from which customers access your site.
LaaS providers: Deeyook, Gcorelabs
TEaaS: test environment as a service
A test environment is a software and hardware setup for QA teams to execute test cases. Test environment as a service allows the running of tests on configured hardware, software, and network in the cloud using the Internet connection.
TEaaS examples: Wipro, AWS Device Farm
KaaS: knowledge as a service
KaaS provides organizations with valuable information that they can use to grow their business. KaaS is based on expert judgment, learned experience, and contextual facts, rather than raw data that has no value out of context.
KaaS examples: Diffbot, IBM’s App Connect Enterprise, Cisco’s Business Critical Services
IoTaaS: IoT as a service
Using IoT as a service means accessing a structured, logical ecosystem designed to connect devices and maintain security. IoTaaS platforms simplify IoT app development by offering great scalability, real-time data capture, and machine learning tools.
IoTaaS examples: Watson IoT Platform, AWS IoT, Microsoft IoT
AaaS: analytics as a service
This may include the services of data warehousing, visualization, reporting, predictive analytics tools, AI/ML instruments, etc. AaaS offers enterprises an alternative to developing internal software to process data and extract valuable insights.
AaaS examples: Toucan Toco, Qlik Sense, Tableau Desktop
FaaS: functions as a service
Today, many applications offer such services as real-time tracking, online payment, or chats. Companies do not invent these features on their own but integrate ready-made solutions from external organizations. This approach is called FaaS (functions as a service), and it significantly saves time and money for software project implementation.
FaaS examples: Google Maps, Stripe, PayPal
CaaS: communication as a service
Remote work has become the norm these days, and there is hardly any company that does not use video conferencing tools hosted in the cloud. Often such services do not require installation and can be accessed from any browser. This simplifies communications and enhances team productivity.
CaaS examples: Zoom, Google Meet, Microsoft teams
SECaaS: security as a service
This includes security software like firewalls, antiviruses, spyware, bot mitigation, encryption, and access monitoring tools. However, for proper configurations of your company's security system you might need to hire experienced DevOps engineers.
SECaaS examples: Avast, Bitdefender, Malwarebytes
NaaS: network as a service
NaaS implies that the owners of network infrastructure provide virtual network services to a third party. Currently, there a few types of network as a service on the market:
Virtual Private Network (VPN)
Bandwidth on Demand (BoD)
Mobile network virtualization
NaaS examples: MVNO, CyberGhost, Torguard VPN
AuthaaS: authentication as a service
With AuthaaS, businesses can access authentication capabilities in the cloud and verify their customers by using multi-step authentication. Companies don't need to implement the authentication mechanism from scratch but can partner with an authentication service provider to implement a secure sign-in/log-in system in their app.
AuthaaS examples: DUO Access, Ping Identity, Prove MFA
StaaS: storage as a service
You may have rented a garage to park your car or used a left-luggage box to keep your things. Storage as a service works exactly the same, only for virtual data. You rent space in the cloud and store your data for as long as you need.
StaaS examples: Google Cloud Storage, Oracle Cloud Storage, Dropbox
QAaaS: quality assurance as a service
Unlike TEaaS, where you receive testing tools on-demand, QAaaS offers you in-depth QA expertise in the form of a full-fledged QA team. QAaaS can be compared with software development outsourcing. This business model implies delegating a part of project implementation tasks to a third-party provider with relevant experience.
QaaS providers: Erbis, and other software development companies
XaaS usage: pros and cons
On the one hand, using XaaS can be a great way to get software products to market quickly and efficiently. It can also offer a level of flexibility and customizability that wouldn't be possible with a traditional software solution.
On the other hand, you can face significant fees, so the XaaS can be eventually more expensive than traditional software development. There can also be security risks associated with using cloud-based services.
So, what's the bottom line? Is XaaS development right for your business? That's something only you can answer. But, with careful planning and execution, XaaS development can be a great way to get your business up and running quickly and affordably.
Below is a checklist of the pros and cons of XaaS implementation that are worth considering.
What XaaS to build in 2023?
Technological development has reached a point where modern software products cannot exist in isolation. When you create an e-commerce store, you connect a payment system; when you develop a car rental app, you integrate a tracking service; when you build a tool for marketing specialists, you use an on-demand analytics platform. Finally, no matter what app you implement, you use an IaaS/SaaSplatform to speed up development and avoid costs associated with setting in-house IT infrastructure.
Considering the above, the demand for XaaS development is huge in Europe, the USA, and other regions around the globe. If you want to exploit this promising niche and build your SaaS product, you need to know your potential customers, evaluate competitors, and come up with a unique value proposition.
We have listed the XaaS products that are currently most in-demand, so it's safe to consider them when developing your project idea. However, if you need help with product strategy development and software product implementation, get in touch. We will be happy to help.