Understanding Cloud Computing: SaaS, PaaS, and IaaS (Made Simple!)

If you’ve ever heard terms like SaaS, PaaS, or IaaS and felt a little lost — don’t worry. You’re not alone! But once you see them with real-life examples, it actually becomes super easy to understand.

Cloud computing might sound technical, but you use it every day without even realizing it. Whether it’s watching Netflix, storing files in Google Drive, or deploying your code on Vercel—cloud is behind the scenes.

Let’s break it down in the simplest way possible:

What is Cloud Computing?

Instead of buying and maintaining your own servers, the cloud lets you rent computing resources over the internet. You pay for what you use, just like electricity or water.

Or Think of cloud computing as renting services from someone else’s computer instead of buying everything yourself. Depending on how much control you want and how much responsibility you’re okay with, you’ll pick between SaaS, PaaS, or IaaS.

The Three Main Types of Cloud Services

  1. SaaS (Software as a Service)

    A cloud service model that delivers software applications over the internet on a subscription basis. The provider manages everything including infrastructure, platform, and software; users just access it through a web browser or app.

    This is the most common one — chances are, you already use SaaS every single day.

    Imagine you’re watching movies on Netflix or writing a blog on Hashnode. You don’t need to worry about servers, databases, or updates. Everything is handled for you. You just log in and start using it.

    Examples:

    • Gmail (email in the cloud)

    • Netflix (movies in the cloud)

    • Google Docs (documents in the cloud)

    • Hashnode, Medium, Notion, Zoom

In short: SaaS = Ready-to-use apps delivered over the internet.

  1. PaaS (Platform as a Service)

    A cloud service model that provides a ready-to-use platform with development tools, operating systems, databases, and runtime environments. Developers can build, test, and deploy applications without worrying about managing infrastructure.

    Now let’s say you’re a developer. You don’t just want to use software — you want to build software. But setting up servers, operating systems, and databases is a pain. That’s where PaaS comes in.

    Imagine you have just your code files, and you deploy them directly on Vercel or Heroku. You don’t worry about servers or scaling — the platform takes care of it.

    Examples:

    • Vercel(deploy frontends with just code)

    • Heroku(deploy apps easily)

    • Google App Engine

    • Render

    • Firebase

In short: PaaS = A platform to build and deploy apps without managing servers.

  1. IaaS (Infrastructure as a Service)

    A cloud service model that provides virtualized computing resources over the internet such as servers, storage, and networking. Users manage the operating system, applications, and middleware, while the provider manages the physical infrastructure.

    This is for people who want maximum control. With IaaS, you get the raw building blocks: virtual machines, storage, and networks. You set up the OS, install software, and manage everything.

    Imagine renting an empty apartment. You get the space (infrastructure), but you decide how to design it. Similarly, with IaaS, you set up your servers however you like.

    Examples:

    • AWS EC2

    • Microsoft Azure VM

    • Google Cloud Compute Engine

    • DigitalOcean Droplets

In short: IaaS = Renting servers and infrastructure, but you set it all up.

Bonus: Function as a Service (FaaS)

A serverless cloud service model where developers deploy individual functions (small pieces of code) that run only in response to events. The cloud provider automatically manages infrastructure, scaling, and execution.
FaaS (Function as a Service) is considered part of cloud computing. It’s actually a subcategory of PaaS (Platform as a Service), but with a more granular focus.

You don’t worry about servers, scaling, or runtime. You just upload small chunks of code (functions), and the cloud provider runs them only when triggered (like an event or API call).

Example:

  • AWS Lambda

  • Azure Functions

  • Google Cloud Functions

Key Benefits of FaaS:

  • No server management (truly serverless).

  • Auto-scaling — handles sudden spikes automatically.

  • Cost-efficient — pay only when your code runs.

  • Event-driven — functions trigger on demand.

In short: FaaS lets developers write code that runs in response to events without worrying about infrastructure.

Quick Analogy (Pizza Example)

  • SaaS: Ordering pizza delivery → you just eat it.

  • PaaS: Buying a ready-made pizza base → you add toppings, the oven is ready, but you don’t build the kitchen.

  • IaaS: Renting an empty kitchen → you buy ingredients, cook, and maintain everything yourself.

  • FaaS: On-demand pizza slice, prepared only when you request it.

Conclusion

Cloud computing isn’t as scary as it sounds. It’s just about how much you want to do yourself versus how much you want others to handle for you.

Next time you use Gmail, deploy code on Vercel, or spin up an AWS server, you’ll know exactly where it fits: SaaS, PaaS, or IaaS.

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Geyasree Ramaiahgari
Geyasree Ramaiahgari