Paper ID: IC-381

Cloud Computing and the Comparative analysis of Services SaaS, PaaS and IaaS
Sukhvir Singh
HOD Computer Science
Doraha Institute of Management and Technology, Doraha,
Dist. Ludhiana, Punjab, Pin: 141421
E-mail: sukhvir_dimt@yahoo.in

Abstract: Cloud computing is a style of computing in which massively scalable IT-enabled capabilities
are delivered ‗as a service‘ to multiple customers using internet technologies. This clears that the cloud
computing is a business rather than a technical aspect. In it the information is stored in servers and provided as a
service and on demand to clients. Cloud computing is about moving services, computation and/or data—for cost
and business advantage—off-site to an internal or external, location-transparent, centralized facility or
contractor. By making data available in the cloud, it can be more easily accessed, often at much lower cost,
increasing its value by enabling opportunities for enhanced collaboration, integration, and analysis on a shared
common platform. In this paper we study the three areas of cloud computing SaaS, PaaS and IaaS. Also the
comparison of these services is there in the research paper based on different issues e.g. computer power,
storage and networking etc.
Keywords: Cloud, SaaS (Software-as-a-Service), PaaS (Platform-as-a-Service), IaaS (Infrastructure-as-
a-Service).
1. Cloud Computing
Cloud computing means delivery of hosted services over the Internet, and the services are: -
Infrastructure-as-a-Service (IaaS),
Platform-as-a-Service (PaaS)
Software-as-a-Service (SaaS)
One meaning of cloud computing is taken from the cloud symbol used to represent the Internet
in flowcharts and diagrams.
Another meaning of cloud in cloud computing provides the means through which everything — from
computing power to computing infrastructure, applications, business processes to personal collaboration — can
be delivered to you as a service wherever and whenever you need.
Further a cloud can be private or public. A public cloud sells services to anyone on the Internet.
(Currently, Amazon Web Services is the largest public cloud provider.) A private cloud is a proprietary network
or a data center that supplies hosted services to a limited number of people. When a service provider uses public
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cloud resources to create their private cloud, the result is called a virtual private cloud. Private or public, the
goal of cloud computing is to provide easy, scalable access to computing resources and IT services.

Infrastructure-as-a-Service like Amazon Web Services provides virtual server instances with
unique IP addresses and blocks of storage on demand. Customers use the provider's application program
interface API to start, stop, and access and configure their virtual servers and storage. In the enterprise, cloud
computing allows a company to pay for only as much capacity as is needed, and bring more online as soon as
required. Because this pay-for-what-you-use model resembles the way electricity, fuel and water are consumed;
it's sometimes referred to as utility computing.

Platform-as-a-service in the cloud is defined as a set of software and product development tools hosted
on the provider's infrastructure. Developers create applications on the provider's platform over the Internet.
PaaS providers may use APIs, website portals or gateway software installed on the customer's computer.
Force.com, (an outgrowth of Salesforce.com) and Google Apps are examples of PaaS. Developers need to know
that currently, there are not standards for interoperability or data portability in the cloud. Some providers will
not allow software created by their customers to be moved off the provider's platform.

In the software-as-a-service cloud model, the vendor supplies the hardware infrastructure, the software
product and interacts with the user through a front-end portal. SaaS is a very broad market. Services can be
anything from Web-based email to inventory control and database processing. Because the service provider
hosts both the application and the data, the end user is free to use the service from anywhere. [1]

2. Levels of Cloud Computing [2]

Level Label Description

User Level SaaS Companies host applications in the cloud that many users access through Internet connections. The
service being sold or offered is a complete end-user application.
Developer PaaS Developers can design, build, and test applications that run on the cloud provider‘s infrastructure
Level and then deliver those applications to end-users from the provider‘s servers.
IT Level IaaS System administrators obtain general processing, storage, database management and other
resources and applications through the network and pay only for gets used.

3. Advantages of Cloud Computing [4]

Following are the advantages of cloud computing:
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i. Lower computer costs: There is no need to use high-powered or costly computer to run cloud
computing web-based applications. Because these applications run in the cloud, not on the desktop PC,
your desktop PC doesn't need the processing power or hard disk space demanded by traditional desktop
software. When you're using web-based applications, your PC can be less expensive, with a smaller
hard disk, less memory, more efficient processor, and the like. In fact, your PC in this scenario doesn't
even need a CD or DVD drive, as no software programs have to be loaded and no document files need
to be saved.

ii. Improved performance: Simply put your computer in a cloud computing system boot and run faster
because they have fewer programs and processes loaded into memory.

iii. Reduced software costs: Instead of purchasing expensive software applications, you can get most of
what you need for free. That's right—most cloud computing applications today, such as the Google
Docs suite, are totally free. That's a lot better than paying $200+ for similar Microsoft Office
software—which alone may be justification for switching to cloud applications.

iv. Instant software updates: When the app is web-based, updates happen automatically and are available
the next time you log into the cloud. When you access a web-based application, you get the latest
version—without needing to pay for or download an upgrade.

v. Unlimited storage capacity: Cloud computing offers virtually limitless storage. Your computer's
current 200 gigabyte hard drive is peanuts compared to the hundreds of petabytes (a million gigabytes)
available in the cloud. Whatever you need to store, you can.

vi. Increased data reliability: Unlike desktop computing, in which a hard disk crash can destroy all your
valuable data, a computer crashing in the cloud shouldn't affect the storage of your data. That also
means that if your personal computer crashes, all your data is still out there in the cloud, still
accessible. In a world where few individual desktop PC users back up their data on a regular basis,
cloud computing is the ultimate in data-safe computing.

vii. Universal Document Access: Ever get home from work and realize that you left an important document
at the office? Or forget to take a file with you on the road? That's not a problem with cloud computing,
because you don't take your documents with you. Instead, they stay in the cloud, and you can access
them whenever you have a computer and an Internet connection. All your documents are instantly
available from wherever you are; there's simply no need to take your documents with you.
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viii. Latest version availability: When you edit a document at home, that edited version is what you see
when you access the document at work. The cloud always hosts the latest version of your documents;
as long as you're connected, you're never in danger of having an outdated version.

ix. Easier group collaboration: Sharing documents leads directly to collaborating on documents. To many
users, this is one of the most important advantages of cloud computing—multiple users can collaborate
easily on documents and projects. Because the documents are hosted in the cloud, not on individual
computers, all you need is a computer with an Internet connection, and you're collaborating.

x. Device independence: Finally, here's the ultimate cloud computing advantage: You're no longer
tethered to a single computer or network. Change computers, and your existing applications and
documents follow you through the cloud. Move to a portable device, and your apps and docs are still
available. There's no need to buy a special version of a program for a particular device, or to save your
document in a device-specific format. Your docs and their apps are the same no matter what computer
or other device you're using.

4. Disadvantages of Cloud Computing [4]

There are a number of reasons why you might not want to adopt cloud computing for your particular
needs. Let's examine a few of the risks related to cloud computing:

i. Requires a constant Internet connection: Cloud computing is impossible if you can't connect to the
Internet. Since you use the Internet to connect to both your applications and documents, if you don't
have an Internet connection you can't access anything, even your own documents. A dead Internet
connection means no work, period—and, in areas where Internet connections are few or inherently
unreliable, this could be a deal-breaker. When you're offline, cloud computing simply doesn't work.

ii. Doesn't work well with low-speed connections: Similarly, a low-speed Internet connection, such as
that found with dial-up services, makes cloud computing painful at best and often impossible. Web-
based apps require a lot of bandwidth to download, as do large documents. If you're laboring with a low-
speed dial-up connection, it might take seemingly forever just to change from page to page in a
document, let alone to launch a feature-rich cloud service.

iii. Can be slow: Even on a fast connection, web-based applications can sometimes be slower than
accessing a similar software program on your desktop PC. Everything about the program, from the
interface to the current document, has to be sent back and forth from your computer to the computers in
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the cloud. If the cloud servers happen to be backed up at that moment, or if the Internet is having a slow
day, you won't get the instantaneous access you might expect from desktop apps.

iv. Features might be limited: You can do a lot more with Microsoft PowerPoint than with Google
Presentation's web-based offering. The basics are similar, but the cloud application lacks many of
PowerPoint's advanced features. If you're a power user, you might not want to leap into cloud computing
just yet.

v. Stored data might not be secure. With cloud computing, all your data is stored on the cloud. How
secure is the cloud? Can unauthorized users gain access to your confidential data? Cloud computing
companies say that data is secure, but it's too early in the game to be completely sure of that. Only time
will tell if your data is secure in the cloud.

5. Software as a Service
a) Definition: It is a model of software deployment over the internet. With SaaS, a provider licenses an
application to customers for use as a service on demand, either through a time subscription or a ―pay-as-
you-go‖ model. Also known as ―software on demand,‖ the SaaS model allows vendors to develop, host
and operate software for customer use. Rather than purchase the hardware and software to run an
application, customers need only a computer or a server to download the application and internet access
[5]
to run the software. The software can be licensed for a single user or for a group of users.
b) The companies offering On Demand Software - The companies SALESFORCE, NETSUITE and
GOOGLE etc established in the On-Demand software or SaaS business. These companies charge their
customers a subscription fee and in return host software on central servers that are accessed by the end
user via the internet.
c) The companies offering Traditional Software- The companies like SAP & Oracle have established
themselves as traditional software providers. These companies sell licenses to their users, who then run
the software from on premise servers.

Salesforce.com

It offers customer relationship management (CRM) application services in the Software as a

Service (SaaS) Industry. It is involved in offering Cloud Computing services to industries and businesses of all
sizes. The company uses Cloud Computing to give its customers access to online software, with minor
implementation and no on-premise installation or maintenance of software or physical servers.
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Salesforce.com makes money through subscription and support fees associated with its customers using
Salesforce's applications. These applications give Salesforce.com's customers access to systems which can
systematically record, store, and act upon business data. These applications are used to optimize different
aspects of a company's business including sales, marketing, partnerships and customer service. The company‘s
CRM services primarily focus on sales-force automation, marketing automation, and customer service and
support automation. [6]

Google

A global information technology leader is perhaps the ideal innovator of how people connect with
information. Google‘s automated search technology has made its free search engine website the number one
visited website on the Internet, as rated by Com Score and Alexa.com displacing search competitor Yahoo.
Google‘s revenue is reliant on its advertising sales--the sector accounted for 99% of 2007 revenue and 97% of
2008 revenue.

NetSuite
NetSuite Inc. is a vendor of on-demand, integrated business management application suites for small and
medium-sized businesses. The Company provides a suite of enterprise resource planning (ERP), customer
relationship management (CRM) and e-commerce capabilities that enables customers to manage their critical
back-office, front-office and Web operations in a single application. Its suite serves as a single system for
running business operations and is targeted at small and medium-sized businesses (SMBs), as well as divisions
of large companies. The Company delivers its suite over the Internet as a subscription service using the
software-as-a-service or on-demand model.

SAP

SAP AG means "System Analysis and Program Development" and AG is a German word that refers to
a corporation that is limited by shares, i.e. owned by shareholders, and may be traded on a stock market. The
term is used in Germany, Austria, and Switzerland.

SAP AG Corporation is the world's leading provider in business software and is the top provider in 20 of
the 25 industries that it serves. SAP makes software programs that increases or examines the productivity in
specific parts of the company, such as customer relations, enterprise resource planning, accounting, human
resources, and others.

ORACLE
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Oracle is the world's largest enterprise software company. It has made its name in the software industry
as the pioneer of relational database software, which lets businesses store and manage large amounts of data.
The company's operations are separated into two divisions: software and services.

Oracle has played a pioneering role in making Grid Computing relevant to enterprises with ground
breaking products such as Oracle Real Applications Clusters (RAC), Automatic Storage Management (ASM),
and Storage Grid. More recently, Oracle has brought Grid Computing to middleware with the Application
Grid approach to infrastructure. These products/technologies make the enterprise IT infrastructure elastic so that
it can grow incrementally without any theoretical upper limit, as well as provide the flexibility to move
[8]
resources around in order to meet dynamic business priorities.

6. Platform as a Service (Paas)

a) Definition: PaaS offerings facilitate deployment of applications without the cost and complexity of
buying and managing the underlying hardware and software and provisioning hosting capabilities,
providing all of the facilities required to support the complete life cycle of building and delivering web
applications and services entirely available from the Internet. PaaS offerings may include facilities for
application design, application development, testing, deployment and hosting as well as application
services such as team collaboration, web service integration and marshalling, database integration,
security, scalability, storage, persistence, state management, application versioning, application
instrumentation and developer community facilitation. These services may be provisioned as an
integrated solution over the web. [5]
b) The companies having with platforms that allow end users to access applications from centralized
servers using the internet. e.g. AMAZON , MSFT etc

Amazon

If Amazon‘s 66 million active customers all lived in the same country, it would be the world‘s 19th most
populous country, with more citizens than every European country except Germany. And if every US household
spent $170 at Amazon.com this year, the total amount they‘d spend would still be less than Amazon‘s 2009
revenues of over $24.5B. Amazon has used the internet to create a truly global business platform, one which is
poised for incredible growth in the coming decade. The question in many investors' minds these days is how
profitable that business can be.
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Sales have surged year over year at the world's largest e-commerce company, with revenues growing
29.1% from 2007 to 2008 due to a combination of low prices, shipping promotions, and rollouts of new product
categories.

While most people naturally think of Amazon as the internet superstore that sells products in over forty
categories, from books to electronics to groceries to jewelry to auto parts, the company has gradually expanded
beyond that simple business platform; today Amazon is simultaneously an e-commerce and internet technology
platform, a fulfillment and logistics platform, a search technology, an internet advertising platform, and even an
internet startup incubator of sorts. [9]

MSFT

Microsoft Corporation is the world's largest software maker by revenue, with $58.43 billion of revenue
in FY2009.Its software products run the gamut from operating systems for servers, personal computers, mobile
phones, and other devices to software development tools, video games, and hardware such as the Xbox 360 and
Zune.

Despite the successes of Apple‘s client operating system and client and server systems under Linux and
other unix-like operating systems, Windows not only continues to dominate its rivals in operating systems but is
also growing market share. With the release of Windows 7 in December 2009, Windows finished the year with
roughly a 92% market share, as well as an 80% market share among enterprise customers and a 63% market
share in web browsing through Internet Explorer. [10]

7. Infrastructure as a service (IaaS)

a) Definition: Infrastructure as a Service refers to a combination of hosting, hardware, provisioning and

basic services needed to run a cloud. The IaaS is the part of the cloud computing architecture that
provides access over the Internet. Bandwidth allocation and server resources are essential elements of
IaaS. The IaaS architecture specifies dynamic scaling of bandwidth. A cloud computing installation
should never be overwhelmed by peak demand, because the infrastructure service should be able to
quickly add the resources needed to accommodate peak demand. IaaS is sold as a metered service; you
pay for only the bandwidth and other services your applications are using. Generally, fees are based on
throughput but some vendors charge for server time, as well [7].

b) Major Infrastructure vendors are AMAZON, GOOGLE,IBM AND RACKSPACE

IBM
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International Business Machines is a leading global technology firm that offers a variety of products and
services in the information technology industry. Their current businesses consist of 5 major divisions: Global
Technology Services segment; a Global Business Services segment; a Software segment; Systems and
Technology segment; and a Global Financing segment. In 2006 IBM lost its position as the number one IT
Company to Hewlett-Packard in terms of annual revenue (difference of $235 million between revenues
of HPQ and IBM). In 2009, that lead widened as HP generated $118.3 billion in revenue while IBM's revenue
came in at $95.76 billion.

Although IBM lost its first place rank to Hewlett-Packard in terms of revenue, IBM is a far more
profitable business (boasting a gross profit of $43.8 billion for FY09) than Hewlett-Packard (gross profit of
$28.4 for FY08). There are several underlying factors that contribute to IBM's high profitability which has
increased every year since 2005. One of the reasons for the increase has been upper management's active effort
towards divesting from cyclical and commoditizing businesses, while concentrating on the higher value services
and software sectors.

In 2009, revenue declined 7.6% to $95.8 billion due to declines in sales from growing markets.

RACKSPACE

Rackspace Hosting is a hosting company, meaning it runs its clients web servers at its own facilities,
allowing clients to reduce the number of in-house servers and in-house IT professionals needed to run them.
Rackspace is the first managed hosting company to go public. Rackspace management says the company's
services go beyond just keeping servers up and running - the company sells its clients "computing on demand"
and related services - anything from email systems, load balancing strategies, system stress testing, better
monitoring, and higher security. [10]

Future work

The work can be done in order to improve the security of cloud computing technologies. For example
effects of different forms of breach reporting on security, end to end data confidentiality in the cloud and
beyond, higher assurance clouds and virtual private clouds. In case of data protection in large scale cross
organizational systems we can work on the differences in relevant regulations including data protection and
privacy. In large scale computer system engineering the work can be done on resource isolation mechanisms-
data, processing, memory, logs etc.
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References

[1] http://searchcloudcomputing.techtarget.com/sdefinition/0,,sid201_gci1287881,00.html

[2] Proceedings of international journal of database management systems (IJDMS), vol.1, no.1, November 2009
―the utility of cloud computing as a new pricing – and consumption - model for information technology‖ David
c. wyld1
1department of management, southeastern Louisiana University, Hammond, la USA

[3] John W. Rittinghouse James F. Ransome, Cloud Computing Implementation, Management, and Security, pp
33.
[4] Miller Michael, Cloud Computing: Web-Based Applications That Change the Way You Work and
Collaborate Online, pp 24-30.

[5] www.wikipedia.org
[6] http://www.wikinvest.com/wiki/Salesforce.com_(CRM)
[7] http://www.iaasdefinition.com
[8] http://www.oracle.com/technology/tech/cloud/index.html
[9]www.amazon.com
[10]www.rackspace.com