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Software as Service
In simple word SAAS is the ability to simplify a software deployment and reduce customer acquisition costs; it also allows developers to support many customers with a single version of a product.

Software as Service is a deployment architecture:

The key concepts behind SAAS are :
1. Client / Consumer does not need any hardware and software to install.
2. Client needs only an internet connection.
3. Client should be able to buy the service as they need.
4. Client should be able to customise the package / service.     

Level of SAAS:
Level1. Each customer has its own configurable instance of the application running on the host servers. Each customer is executing the same code on a different machine.

Level 2. The vendor hosts all of the customers in a single configurable instance of the application and uses authorization and security policies to ensure that each customer’s data is kept separate from the other customers. This is called multi-tenant; each customer is executing the same code on the same machine.

Level 3. The vendor hosts all of the customers in a load balanced farm of identical instances of the application and uses authorization and security policies to ensure that each customer’s data is kept separate from the other customers. (we can think of web farm application hosting scnario.)
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