Stacked building blocks

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Picture three different ways of having a place to live: renting an empty apartment, renting a fully furnished one, or checking into a serviced hotel room. Each gives you shelter, but each hands you a different amount of responsibility and control. The three core cloud service models — IaaS, PaaS, and SaaS — work exactly the same way, just applied to computing instead of housing.

This article puts all three side by side, so you can quickly tell them apart and recognize which one you're dealing with.

The Three Models, Side by Side

Before comparing them in detail, it helps to see all three laid out together.

Diagram comparing who manages what across IaaS, PaaS and SaaS.
Orange layers are typically your responsibility; teal layers are typically the provider's.
LayerIaaSPaaSSaaS
ApplicationYou manageYou manageProvider manages
Runtime & librariesYou manageProvider managesProvider manages
Operating systemYou manageProvider managesProvider manages
Virtualization & hardwareProvider managesProvider managesProvider manages
Typical use caseCustom infrastructure, specific OS or network needsBuilding and deploying an application quicklyUsing a ready-made application as-is

IaaS: The Empty Apartment

With IaaS, the provider hands you the fundamentals — processing power, storage, and networking — and you build everything on top yourself: operating system, runtime, and application. It's the most work, but also the most flexibility, similar to renting an empty apartment where every piece of furniture is your choice.

PaaS: The Furnished Rental

With PaaS, the provider also manages the operating system and runtime, leaving you responsible only for your application code and data. It's the furnished rental: utilities and furniture are already there, and you just move your own belongings in and start living.

SaaS: The Serviced Hotel Room

With SaaS, the provider manages literally everything, including the application itself. You don't write code or configure a runtime; you simply use the finished product, much like checking into a hotel room where housekeeping, maintenance, and amenities are entirely someone else's job.

A Quick Way to Tell Them Apart

How Organizations Typically Mix All Three

In practice, few organizations pick just one model and use it exclusively. A typical small business might run a custom internal tool on virtual machines under IaaS, deploy a customer-facing web application through PaaS for faster iteration, and rely on several SaaS tools — email, accounting, communication — for day-to-day operations. Recognizing which model a given tool belongs to simply helps you understand what you're responsible for and what the provider is responsible for, following the shared responsibility model in each case.

Choosing Between Them for a New Project

A Worked Example: Launching One Small Business Online

Imagine a small bakery setting up its first online presence. For its public-facing website, it signs up for a SaaS website builder, since there's no custom application to build and no reason to touch any code. For a custom online ordering system its owner commissions from a developer, that developer deploys the application through a PaaS platform, focusing purely on the ordering logic rather than server maintenance. And if, down the line, the bakery needs a highly specific piece of infrastructure — say, a dedicated virtual machine running specialized point-of-sale integration software — that piece might be built on IaaS instead. One small business, three different service models, each chosen because it fit a specific need rather than because it was the only option considered. Larger organizations go through the same reasoning on a bigger scale, re-evaluating which model fits each individual project rather than assuming one choice must govern everything they build.

Common Mistakes Beginners Make

Frequently asked questions

Which service model should a beginner start learning with?

There's no universally right answer, but many beginners find SaaS the easiest starting point since it requires no technical setup, followed by PaaS once they start writing code, and IaaS once they want to understand infrastructure in more depth.

Can an organization use all three models at the same time?

Yes, and most organizations of any size do. A company might run custom infrastructure on IaaS, deploy an internal application on PaaS, and use several SaaS tools for email, accounting, or communication, all at once.

Is one service model always cheaper than the others?

Not inherently, and this article doesn't compare specific costs. Cost depends heavily on usage patterns, team expertise, and how well a given model fits the task at hand.

Do IaaS, PaaS, and SaaS all follow the shared responsibility model?

Yes. Every model splits responsibility between you and the provider, but exactly where that line falls shifts depending on how much the provider manages for you.

Related reading

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