Software as a service
Also known as SaaS
Subscribing to software the vendor runs entirely, accessed through a browser or app.
Microsoft 365, Salesforce, and most modern business applications are SaaS. The vendor runs everything and you configure your slice of it.
Your responsibilities do not disappear: access control, configuration, and in most cases the data itself remain yours. Vendors generally guarantee their service is available, not that your data is recoverable after you delete it.
Where this comes up
Software as a service sits inside our microsoft 365 and cloud work. If you are trying to work out what this means for your own environment rather than in the abstract, that is the page worth reading next, and a short call will get you a straight answer faster than either.