Over the last few years, an increasing number of Italian companies, including small and medium-sized ones, have abandoned software installed on individual computers in favour of cloud solutions accessible from a browser. The term that describes this model is SaaS, an acronym we hear often but that is rarely explained clearly. In this article we look at what a SaaS really is, how it differs from traditional installed software, and why this model is becoming the standard even for those who develop bespoke management systems.
In short
SaaS (Software as a Service) is a model in which the software is not installed on the computer, but made available over the internet through a browser, with data hosted on remote servers rather than on local machines. Compared with traditional installed software, SaaS eliminates manual installations and updates, is accessible from any connected device, and shifts the cost from a one-off purchase to a recurring model. Italian companies are choosing it more and more often for the flexibility of working from multiple locations, maintenance delegated to the provider, and the possibility, with bespoke solutions, of having cloud management software built around their own processes rather than a generic package.
What is a SaaS?
A SaaS (Software as a Service) is software that is not installed on a single computer, but made available over the internet through a browser, with data hosted on remote servers managed by the service provider. Users access it by signing in, without having to deal with installation, updates or dedicated hardware: they typically pay a recurring subscription for its use, rather than a permanent licence.
Familiar examples of SaaS are cloud-based email, online invoicing software or CRM systems accessible from a browser: tools that any company uses today without still thinking about the fact that, technically, they are all SaaS.
How does SaaS software work compared with installed software?
Installed software (“on-premise” or “desktop”) physically resides on the company’s computer or server: it must be installed manually, updated when necessary, and is only accessible from the devices on which it is present, unless remote access configurations, which are often complex to manage, are set up. A SaaS, by contrast, runs on the provider’s servers: all it takes is a browser and an internet connection to access it, from any device, in the office or out of it.
This difference is not only technical. It changes who handles maintenance (the provider, not the internal team), who guarantees backups (normally the provider, as part of the service) and how the cost is spread over time (a recurring subscription instead of an initial investment followed by separate maintenance costs).
What are the advantages of cloud over installed software?
The main advantages of the cloud model explain why more and more Italian companies prefer it to traditional installed software, especially when teams work from several locations or in hybrid mode.
- Accessibility from any device. All you need is a browser and a connection: you can work from the office, from home or on the road with no differences.
- No installation or manual updates. Updates are managed by the provider and applied automatically, without operational downtime for the team.
- Real-time collaboration. Several people can work on the same data at the same time, without the problem of duplicate files or misaligned versions.
- Simpler scalability. Adding users or features does not require new hardware, but often just a configuration change or a plan upgrade.
- Cost spread over time. The recurring subscription avoids a large initial investment, making budget planning more predictable.
- Centralised backups and security. Data resides on professionally managed infrastructure, often with higher security standards than an unsupervised company server.
What are the limitations of a generic SaaS?
The SaaS model is not without trade-offs, especially when it comes to generic solutions designed for a broad market. The most common limitation is rigidity: a standard SaaS offers the features decided by the provider, not the specific ones an individual company might need, and customising it beyond certain limits is often impossible or very expensive.
Other frequent limitations concern vendor lock-in (if the service changes its terms or prices, or shuts down, the company has to adapt), the difficulty of deep integration with specific internal systems, and the fact that data resides on infrastructure not directly controlled by the company, an aspect that needs careful assessment when particularly sensitive information is involved.
Where is the data of SaaS software stored?
For an Italian company, knowing where data physically resides (data residency) and what GDPR compliance guarantees are in place is something to always check before adopting a SaaS, especially if the provider is based outside the European Union. Many generic SaaS solutions manage data on international infrastructure, with contractual clauses governing transfers outside the EU: this is not a problem in itself, but it needs to be known and consciously assessed, in particular for sensitive data such as that of customers or employees.
Bespoke cloud software, by contrast, allows you to choose right from the design phase where to host the data (for example on European infrastructure) and what contractual guarantees to require, an element that many Italian companies, especially in regulated sectors, consider a concrete advantage over a generic SaaS on which this choice is not available.
Generic SaaS or bespoke cloud software: what is the difference?
It is important to distinguish between a generic SaaS, bought “off the shelf” from a third-party provider, and bespoke cloud software: both share the cloud infrastructure (accessibility from the browser, no installation), but in the second case features, integrations and business logic are designed specifically around the processes of the company commissioning it.
At Studio Mate we develop bespoke cloud software and management systems, often built in Laravel, that combine the typical advantages of the SaaS model (accessibility, no installation, centralised updates) with full adherence to the company’s real processes, without the trade-offs of a generic package designed for a broad, undifferentiated audience.
Why are more and more Italian companies choosing cloud over installed software?
Several factors are accelerating this transition in Italian SMEs ahead of 2026: the spread of hybrid work, which makes access to company data from multiple locations necessary; growing attention to security, which pushes towards professionally managed infrastructure instead of unsupervised company servers; and the greater cost predictability offered by a recurring subscription compared with occasional and often underestimated hardware investments.
Add to this a cultural shift: the new generations of business managers grew up using cloud tools in everyday life, and expect the same level of accessibility and simplicity in their work tools too, an expectation that traditional installed software finds harder and harder to meet.
Frequently asked questions
Is a SaaS always more secure than installed software?
Not automatically, but often yes in practice: serious SaaS providers invest in security, backups and monitoring at levels that are hard to replicate with a company server managed internally without dedicated IT staff. It nevertheless remains important to check the specific provider’s security certifications and policies before entrusting it with sensitive data.
Can bespoke management software also be a SaaS?
Yes: bespoke management software developed in the cloud shares with a SaaS the browser access, the absence of local installation and the centralised updates. The difference is that the features are designed specifically for the commissioning company, not decided in advance by a third-party provider for a generic market.
What happens to the data if I stop paying for a SaaS service?
It depends on the provider’s terms: many provide a grace period for exporting data before final deletion, but the policies vary widely. It is good practice to always check, before subscribing to a SaaS, how and for how long you can export your data in case of cancellation.
Does moving from installed software to cloud take a long time?
It depends on the amount of historical data to migrate and the number of processes involved. For a single process the transition can take a few weeks; for a company with a lot of data and connected systems, it is best to proceed in stages, starting with the processes with the greatest immediate benefit.
