Navigating the Sea of Digital Products

Why read this?

Decode the tech jargon to understanding what is being built.

Appreciate difference between building Apps, Platforms and Software.

Tesh Srivastava

April 1, 2025

5

min read

Time to decode; Websites, Web Apps, Native Apps, PaaS, SaaS, and IaaS

You would expect that a company like ours, dealing with founders and tech and the creation of new business products, to have a reasonable understanding of tech terms and what they mean, and, in turn, what those terms connote and require in terms of finance, infrastructure and maintenance.

We do!

So, we thought we would offer our own explanation as to what all these terms you hear bandied about actually mean - and what they will mean to your business in terms of costs and commitments and headaches.

If you are considering working with Daedalus, or even just trying to understand how tech can transform your business, you might have encountered a wave of terms: websites, web apps, native apps, PaaS, SaaS, IaaS, and more. It is natural to feel overwhelmed.

The following is the Daedalus glossary of digital product development - it explains how we see the breakdown between different types of product, how they are made and what they do. The reason this is important, we think, is to make sure that our clients are clear about what they are requesting and what it will require - and to make sure that everyone agrees from the outset about what exactly is being built.


IT vs. Tech: What's the Difference?

It's common for these terms to be used interchangeably although there is a clear industry distinction between the two. Here's how you tell the difference:

IT (Information Technology)

  • Replace physical jobs
with technology
    IT systems are tools that replace physical jobs with technology to achieve the same outcome. Think Office365, GSuite, CRM systems, or even a card payment machine.
  • Substitutive
    These systems are substitutive: they swap manual processes for digital efficiency.
  • Tends to be cheaper but harder to upgrade
    IT tends to be cheaper to implement initially but harder to upgrade or scale incrementally i.e. more costly.

Tech

  • Create entirely new ways of doing things
    Tech systems create entirely new ways of doing things that were not possible before. Uber, for example, is a tech product because you cannot replicate its functionality manually.
  • Additive
    These systems are additive: they bring something fundamentally new to the table.
  • Upfront investment but greater long-term flexibility
    Tech requires more upfront investment but offers greater long-term flexibility and improvement i.e. less expensive.


Websites: The Digital Billboard

Everyone thinks they know what a website is. But do they? A website is like a parking space: a simple digital presence for information consumption. If your site evolves to let users interact or perform complex actions, it is no longer just a website — it is becoming a web app.

Key Considerations

  • Adjust terminology and expectations
    If building your website feels complex, you might be trying to create more than a website. Adjust your terminology and expectations.
  • Straightforward and cost-effective
    A website should be straightforward and cost-effective to deploy, offering a clear entry point to your business or product.


Web Apps: Software in Your Browser

A web app is software you access via a browser. Think Facebook Ads Manager or enterprise tools like Workday. They deliver complex functionality without requiring users to install anything.

Why it Matters

  • Demand more technical complexity
    Web apps often demand more technical complexity than websites, especially for businesses with high-functionality needs.
  • Adapt seamlessly to different devices
    Progressive Web Apps (PWAs) adapt seamlessly to different devices, offering an app-like experience without the app store fees. For example, Bulb’s customer interface was a PWA, not a native app.


Native Apps: The App Store Icon

When most people think “app” they imagine native apps: programs designed specifically for iOS or Android, living on your phone’s home screen. Native apps leverage the unique capabilities of devices, like cameras or GPS, and integrate with app store ecosystems.

When to Choose Native

  • High-volume, consumer-facing audiences
    If you’re targeting high-volume, consumer-facing audiences where platform presence matters.
  • Full-screen, device-specific experiences
    If you need full-screen, device-specific experiences that web apps cannot provide.
  • Be prepared for higher upfront costs and ongoing fees
    Be prepared for higher upfront costs and ongoing fees for app store placement.


Platforms and PaaS: Connecting Processes

A platform brings together different processes or user groups under one digital roof. Fiverr, for example, connects freelancers with clients. Uber connects drivers and riders and also enables internal people to manage flows and customers (who for Uber are both riders and drivers). Platforms solve complex coordination challenges.

Platform as a Service (PaaS)

  • Allows businesses
to offer their platform
    PaaS allows businesses to offer their platform to others for a recurring fee, saving users the cost of building similar infrastructure from scratch.
  • Subscription
models
    Examples include systems like Photoshop, which transitioned from one-off purchases to subscription models.


Software and SaaS:
Simple, Yet Evolving

Software as a Service (SaaS) charges a subscription fee for access to tools like invoicing systems or email marketing platforms. The difference between SaaS and PaaS is becoming smaller day by day: there was a time when SaaS systems were super simple, but with the increased expectations of their functionality and utility many Platforms are actually a collection of SaaS products in and of themselves.

Consider This

  • Not a one-and-done solution
    SaaS is not a one-and-done solution. It requires ongoing maintenance, updates, and customer support.
  • Risk
    If your SaaS is overly basic, you risk falling behind rising user expectations.


Infrastructure and IaaS:
The Plumbing

Infrastructure is the unglamorous yet essential backbone of your digital product. It’s the “grounds staff” keeping everything running smoothly: deployment systems, testing environments, and security protocols. IaaS focuses on safety, scalability,
and regulatory compliance - Think of it as the foundation upon which everything else rests.

Why it Matters

  • Can crumble under pressure : Without robust infrastructure, even the most innovative products can crumble under pressure.
  • Security is paramount : APIs, for instance, are helpful tools but must be carefully managed to prevent vulnerabilities.


Final Thoughts: Pedantry with Purpose

At Daedalus, we are sticklers for terminology because clarity saves time and money. If you’re considering investing in a digital product, understanding these distinctions will help you prioritise your resources effectively. And if you’re working with someone who does not understand the difference between a web app and a platform, it might be time to talk to us.

Let’s figure out what you actually need - and build something that works.

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