Infrastructure as a service (IaaS) are online services that provide high-level APIs used to dereference various low-level details of underlying network infrastructure like physical computing resources, location, data partitioning, scaling, security, backup etc. A hypervisor, such as Xen, Oracle VirtualBox, Oracle VM, KVM, VMware ESX/ESXi, or Hyper-V, LXD, runs the virtual machines as guests. Pools of hypervisors within the cloud operational system can support large numbers of virtual machines and the ability to scale services up and down according to customers’ varying requirements.

Platform as a Service (PaaS) or Application Platform as a Service (aPaaS) or platform-based service is a category of cloud computing services that provides a platform allowing customers to develop, run, and manage applications without the complexity of building and maintaining the infrastructure typically associated with developing and launching an app.

Software as a service (SaaS) is a software licensing and delivery model in which software is licensed on a subscription basis and is centrally hosted. It is sometimes referred to as “on-demand software”, and was formerly referred to as “software plus services” by Microsoft. SaaS is typically accessed by users using a thin client, e.g. via a web browser. SaaS has become a common delivery model for many business applications, including office software, messaging software, payroll processing software, DBMS software, management software, CAD software, development software, gamification, virtualization, accounting, collaboration, customer relationship management (CRM), Management Information Systems (MIS), enterprise resource planning (ERP), invoicing, human resource management (HRM), talent acquisition, learning management systems, content management (CM), Geographic Information Systems (GIS), and service desk management. SaaS has been incorporated into the strategy of nearly all leading enterprise software companies.

In the mobile “backend” as a service (m) model, also known as backend as a service (BaaS), web app and mobile app developers are provided with a way to link their applications to cloud storage and cloud computing services with application programming interfaces (APIs) exposed to their applications and custom software development kits (SDKs). Services include user management, push notifications, integration with social networking services and more. This is a relatively recent model in cloud computing, with most BaaS startups dating from 2011 or later but trends indicate that these services are gaining significant mainstream traction with enterprise consumers.

Serverless computing is a cloud computing code execution model in which the cloud provider fully manages starting and stopping virtual machines as necessary to serve requests, and requests are billed by an abstract measure of the resources required to satisfy the request, rather than per virtual machine, per hour. Despite the name, it does not actually involve running code without servers. Serverless computing is so named because the business or person that owns the system does not have to purchase, rent or provision servers or virtual machines for the back-end code to run on.

Function as a service (FaaS) is a service-hosted remote procedure call that leverages serverless computing to enable the deployment of individual functions in the cloud that run in response to events. FaaS is included under the broader term serverless computing, but the terms may also be used interchangeably.