Computer users warned to steer clear of ‘as-a-service’ models

Applications as a service (aaS) is an on-demand application delivery model in which an application is hosted, managed, and delivered as a service provided by third-party service providers in a cloud-computing environment. The aaS market is on track to become a $390 billion industry by the end of the decade. However, experts have warned consumers that the model is not financially viable for them, and is primarily geared towards business.<br><br>Some of the most obvious examples of applications as a service include office software suites, productivity tools, and web apps. The idea behind these services is that they are not sold as a one-time purchase, but are rather sold on a subscription model. There is a certain convenience to what is offered by an aaS model, and the idea of applications as a service is nothing new. <br><br>Over the last century consumers have been paying for access to services like electricity, cable tv, internet access, and even water. With so many other things being available as a service, why not applications? In fact, this type of delivery has already become the norm in many ways. The question now is whether or not it remains a viable model for consumers, and what type of cost is associated with it. In other words, does the convenience of applications as a service outweigh the financial cost? <br><br>Applications as a service can be convenient and have the potential for flexibility in pricing, but often come with its own set of drawbacks. Subscriptions on a per-app basis could result in higher long-term costs. Then there are the added costs of data storage and potential security risks due to the third-party hosting of applications. <br><br>Experts have warned that for consumers, the model just isn’t financially viable. With the idea of applications as a service, the added costs of data storage can become a problem. For example, Microsoft’s ‘365’ service is $8.25 per month. The same software sold as a stand-alone product is available for $249.99 once. So, after a little more than 3 years, you will already have paid what you would have with a one-time purchase of the software.<br><br>Another argument is the idea of vendor lock-ins. According to TechRadar, with aaS there is limited control and flexibility in using an application, as it is entirely dependent on the provider’s servers and infrastructure. This restricts the ability to customize, extend, integrate or modify an application according to specific business needs and leads to vendor lock-in. It also means that the ability to use an application for a different purpose or environment is severely limited. <br><br>Recently companies like Adobe and Microsoft have transitioned to selling software in aaS models. According to CNBC, Adobe has a $36.81 billion market cap and has been a pioneer in the aaS market. Microsoft’s aaS offerings have helped the company achieve a market cap of $2.35 trillion. However, other companies, including Google, Oracle, and Salesforce are also capitalizing on the aaS market.<br><br>Experts have pointed out that applications as a service are made for businesses, not personal use. Because businesses are able to use aaS on a much larger scale, it can be more financially viable for them, rather than individual consumers. It is also often the case that businesses need to access multiple applications on a regular basis. <br><br>According to Techopedia, aaS is becoming more and more popular because it is a pay-per-use model that offers scalability, cost savings, ease of deployment, and canters to dynamic business environments. However, one argument is that many businesses will be better off with what is known as Platform-as-a-Service (PaaS). <br><br>PaaS often includes aaS in addition to more tools and services. It is designed to support the complete web application lifecycle: building, testing, deploying, managing, and updating. According to IBM, PaaS is designed to make it easier and faster to deploy web applications, without having to worry about managing the underlying infrastructure. It supports the full lifecycle of web applications, from initial development through updates and changes.<br><br>Applications as a service is slowly replacing the traditional idea of software as a product, and becoming the standard of how businesses and some consumers purchase and use software.