November 17, 2025

Server as a Service (SaaS): How it works and why it matters

  • IT Solutions

A growing number of organisations are rethinking how they acquire and manage server capacity. Instead of investing heavily in hardware upfront, many choose a more flexible, predictable and sustainable model: Server as a Service.

This blog explains what SaaS is, why it is gaining traction and how it supports modern IT strategies.

Table of Contents 

SaaS

What is Server as a Service?

Server-as-a-Service is a subscription model that provides access to enterprise-grade server infrastructure without purchasing hardware or renting servers externally. Instead of handling procurement, maintenance and lifecycle tasks yourself or relying on off-site servers, you use servers through a predictable monthly fee and benefit from built-in support, refresh options and lifecycle services.

It combines the control of on-premise infrastructure with the flexibility and cost structure of modern IT consumption models.

Why choose subscription-based infrastructure

The shift towards subscription-based server models is driven by operational, financial and strategic needs. As IT environments become more complex, organisations look for ways to reduce workload, improve agility and avoid large up-front investments.

At the same time, sustainability targets and shorter hardware lifecycles make traditional procurement less suitable.

As a service model

Benefits

  • Reduced operational workload: less time spent on maintenance, updates and hardware replacement.
  • Predictable monthly costs: no large CapEx investments, enabling easier budgeting.
  • Regular renewal cycles: consistent access to modern, energy-efficient hardware.
  • Flexible scaling: adjust capacity during the term based on workload or project changes.
  • Full data control: retain on-premise infrastructure while benefiting from service-driven flexibility.
  • Multi-vendor integration: combine hardware, software and services from different vendors in one subscription.
  • Improved sustainability: circular lifecycle management supports corporate responsibility objectives.

Potential challenges

  • Hardware must be returned at the end of the term, as ownership does not transfer.
  • Some contract periods may feel restrictive depending on specific operational needs.
  • Highly specialised configurations may not align with standardised subscription models.
  • Mid-term changes may require agreement on predefined parameters.

Server as a Service (SaaS)

The infrastructure behind SaaS

A strong subscription model depends on reliable enterprise hardware. Infrastructure typically includes systems from leading vendors such as:

This ensures a stable, secure and scalable foundation for workloads, whether used in datacenters, hybrid environments or edge locations.

How the process works

Organisations often want to understand what adopting Server as a Service looks like in practice. While details differ based on requirements, the overall process typically follows a clear lifecycle:

  1. Assessment and requirements: Capacity, performance needs, compliance rules and preferred vendors are reviewed to define the right server configuration.
  2. Customisation and proposal: You select the hardware (new or refurbished), contract duration and optional services such as installation, monitoring or maintenance.
  3. Deployment and configuration: The servers are delivered, installed and configured in your data centre or on-premise environment. Workloads can be migrated immediately or phased in.
  4. Ongoing management: Throughout the term, updates, maintenance, support and monitoring (if included) help ensure predictable performance.
  5. Scaling up or down: Capacity can be increased or reduced within agreed parameters, giving you flexibility as the organisation evolves.
  6. End-of-term renewal or return: At the end of the contract, you can refresh, upgrade or return the servers. Returned equipment goes through certified data wiping and lifecycle processing.

This lifecycle approach keeps infrastructure predictable, secure and aligned with business needs, without the complexity of traditional ownership. If you need temporary capacity or want to test hardware in your own environment before committing, server rental options provide an easy way to get started.

Circular Workplace

Circular Workplace: an Integrated lifecycle framework

The Circular Workplace brings all as-a-Service offerings together under one lifecycle model. It helps organisations manage devices and infrastructure more efficiently by offering:

  • Full lifecycle management from procurement to secure end-of-life
  • New or refurbished hardware options, depending on sustainability or budget goals
  • Access to premium brands with consistent availability
  • Scalable, tailorable packages for different teams or locations
  • A central portal with usage and sustainability insights

Conclusion

Server as a Service offers a flexible and sustainable alternative to traditional hardware procurement.

By combining predictable costs, reduced operational workload, on-premise control and scalability, it provides organisations with a more modern and agile way to manage server infrastructure.

Together with a circular lifecycle approach, SaaS helps build IT environments that are efficient, future-ready and aligned with long-term sustainability goals.

Frequently Asked Questions

  • What contract terms are available?

    Typical terms range from 12 to 48 months. Most organisations choose 24–36 months. Proof of Concept options allow you to test hardware in your own environment before committing.

  • Can I scale during the subscription?

    Yes. You can increase or reduce capacity within agreed parameters.

  • How is data handled when hardware is returned?

    All returned devices undergo certified data wiping in compliance with GDPR. A certificate of erasure is provided.

  • Is this the same as leasing?

    No. Leasing covers hardware only. Server as a Service combines hardware, support, lifecycle services and optional management in one integrated subscription.

  • Can I combine different vendors in a single subscription?

    Yes. Multi-vendor configurations are fully supported.

Reinout van Tuyll

Reinout van Tuyll

CFO

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