Master ServiceNow System Admin Exam 2026 – Level Up Your Admin Game!

The correct choice, which identifies Software as a Service (SaaS), is cloud-based applications. SaaS refers to software applications that are hosted and delivered over the internet rather than being installed on local servers or personal devices. This delivery model allows users to access the software from anywhere with an internet connection, which is a key benefit of SaaS.

Cloud-based applications reduce the need for installations and maintenance by the user because the hosting service typically manages all backend processes, updates, and platform maintenance. This makes it an efficient and scalable option for businesses.

The other options do not accurately capture the essence of SaaS. On-premise software solutions require local installation and management, which goes against the cloud-based nature of SaaS. Programs that require installation are typically traditional software, not SaaS, because they necessitate user handling of installations and updates. System administrator tools might be used in conjunction with SaaS, but they do not define what SaaS is as a model.