Software Developments as a Service vs IT Outsourcing? What are the differences?

You might have heard of the term “SaaS” – “Software as a Service”, referring to a software licensing and delivery model. How about “Software Development as a Service” – “SDaaS”? – a term for software development and licensing model, which can be highly beneficial for your company if you consider streamlining or outsourcing your software development process.

In this article, we will look at both SDaaS and IT Outsourcing and investigate their differences.

1. What is IT Outsourcing?

IT Outsourcing is an agreement in which the principal company outsources their IT and software development projects to outsiders, often agencies or freelancers. IT Outsourcing development company helps organizations to minimize expenses and focus their human resources on their expertise while handing in the IT parts to the seasoned developers. Nevertheless, IT outsourcing exposes enterprises to risks of low-quality software, especially when the agents are only responsible for one-time projects.

2. What is Software Developments as a Service?

SDaaS, on the other hand, is an on-demand and flexible software development service with predictable ongoing costs. SDaaS contract is designed to guarantee consistent maintenance and support to the launched website, just as an in-house development team would carry out the work. SDaaS allows businesses to reduce costs and risks related to their IT systems maintenance and enhancement whilst still ensuring their systems are always of the highest quality and adaptable to new environmental changes.

Software Developments as a Service

SDaaS allows businesses to reduce costs and risks related to their IT systems maintenance and enhancement.

3. What are The Differences Between IT Outsourcing and SDaaS at SotaTek? How is SDaaS Offer More Benefits?

a. System Monitoring and Communication

Communication in Outsourcing IT development can suffer serious lapses. The long-pending time between problems and answers can lead to irreversible consequences and be troublesome for the principal company. Simultaneously, IT Outsourcing Agents are only available to complete the required work in a specified time. Software Development as a Service’s team is always “on”. SotaTek SDaaS teams carry out daily system operational checks and data quality checks, which help to ensure the systems you rely on are consistently fit-for-purpose. This, in turn, reduces costly downtime and the dependency on internal resources or contracted suppliers.

Software Developments as a Service

SDaaS team is always “on”.

b. Quick Updates and Easily Scaled Enhancements

When it comes to updating and adding new features, Software Development as a Service allows your company to flexibly and quickly employ new enhancements or develop proofs-of-concept. As SDaaS is built as a long-term partnership contract between SotaTek and your firm, deliverables can start quickly and add high value instead of one-off project service.

c. Maintenance and Support of Post-launched Software

Depending on the contract and the supplier you choose, software warranty and maintenance can cover 3 to 6 months of post-launch. Afterward, you would have to pay extra expenses and go through different contracting procedures for any maintenance and support.

Software Developments as a Service

Nevertheless, with SotaTek’s Software Developments as a Service, your business is fully understood. As our team accompanies you along the whole development and launching process, we can provide high quality and in-time maintenance.

d. Predictable Costs and Reduced IT Spend  

While IT Outsourcing with one-off projects might look more cost-effective on the papers, there might be future and hidden costs, which are hard to predict. SDaaS’ long-term partnership model allows more accurate cost projections and long-term growth.


When it comes to software for businesses, your companies should seek reliable partners to guarantee that your system stays stable, secured, and always of the best quality. Here at SotaTek, our SDaaS developers will not only build and maintain your system today but also accelerate your future growth and provide your firm with the best support. Our long-term collaborative model aims to maximize your software’s operational efficiency and benefits, allowing you to free up internal resources and focus on strategic priories.

If you would like to discuss our Software Developments as a Service plans or find out more about supporting your existing system, don’t hesitate to get in touch!

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