The debate used to be fierce. Now, the cloud has mostly won. But for some industries, on-premise software is still a requirement.
What is SaaS?
Software as a Service (SaaS) is hosted by the vendor. You access it via a web browser.
- Maintenance: Handling by vendor.
- Cost: Subscription (Opex).
- Accessibility: Anywhere with internet.
What is On-Premise?
You install the software on your own servers.
- Maintenance: Handling by your IT team.
- Cost: Large upfront fee (Capex).
- Control: Total data sovereignty.
Verdict
Unless you are a bank or a government agency with strict air-gapped security requirements, SaaS is almost always the better choice for flexibility and cost.