What You Need to Know About Cloud, SaaS, and Lighting Systems

Cloud

Sept 30, 2018

There has been a lot of talk about cloud computing and Software-as-a-Service (SaaS) models these days but both are relatively new to the lighting industry. Let’s take a look at what they are as well as their roles in commercial lighting.

What is cloud computing?

Cloud computing is the on-demand delivery of compute power, database storage, and applications via the Internet with pay-as-you-go or subscription-based pricing. Cloud computing means that instead of all the computer hardware, software, and data that you are using sitting somewhere inside your company’s network, it’s provided and managed for you as a service by another company and you access it over the Internet. If you’ve used Netflix or cloud back-up for your photos, you’ve used cloud computing.

SaaS model and smart lighting systems

Today, most lighting control software is offered as an on premise offering. This means the software runs on a server in your building. In the future, we can expect to see lighting controls software offered using the SaaS model.

SaaS is a software application that you run that is not located on your premises. A service provider such as Google or Amazon hosts the application (in this case from a lighting control system vendor) at its data centre in the cloud. A customer accesses the software via the Internet using a standard web browser and the cost of this service is subscription based.  

Benefits of a SaaS-based model

• Lower cost of entry — SaaS offerings are sold on a subscription basis that includes upgrades, maintenance and some level of customer support. The upfront capital costs of servers and peripherals can be cut and the complexities of maintaining them on-site can be avoided.
• Quick to deploy — you can access the SaaS solution with a browser and an internet connection immediately.
• Use anywhere — accessing the SaaS solution can be done from anywhere at any time.
• Seamless upgrades and backups — the SaaS vendor is responsible for upgrades, back-up, uptime and security.
• Scalability — SaaS offerings can react quickly to change. If a space size, number of occupants, or use of the space changes, a SaaS offering can support the change without affecting performance levels.

Smart building IoT applications

Today’s advanced lighting systems can sense and control a change at the individual fixture level, enabling a host of new smart building IoT applications that create efficient, healthy, flexible, and collaborative workspace environments. In fact, smart lighting systems are creating the data network infrastructure that enables non-lighting applications such as restacking, conference room rationalization, wayfinding and more.

How? Lighting is ubiquitous and every luminaire in every corner of every commercial building can house sensors for capturing data about the space. Lots of accurate, useful data.
Smart building applications rely on this information. Using data analytics, these applications are generating insights and intelligence about the space that can help businesses generate more revenue, solve existing pain points, improve efficiencies, automate common tasks, create better workspace environments, and more.

The cloud will provide the compute power, storage and applications software to make this a reality. Software for these applications will be delivered to end customers using the SaaS model.

To learn more about advanced lighting systems that are enabling IoT applications, download more information here: https://info.osram.us/encelium-extend-brochure

This article was first published online as a blog.

Related Articles


Latest Articles

  • What 2025 Revealed About Canada’s Electrical Industry

    What 2025 Revealed About Canada’s Electrical Industry

    December 16, 2025 By Carol McGlogan, President & CEO, Electro-Federation Canada The past year required Canada’s electrical industry to adapt to a rapidly changing environment. In 2025, businesses across the value chain navigated shifting trade conditions, evolving policy landscapes, and growing expectations tied to electrification and infrastructure expansion. Trade uncertainty introduced new complexity. Organizations reassessed Read More…

  • Considerations for EV Charging Installation and Site Preparation

    Considerations for EV Charging Installation and Site Preparation

    December 15, 2025 By Blake Marchand As part of our recent discussion with LEDVANCE EVSE Product Manager, Erich Bockley, he emphasized the importance of site preparation Site preparation can be the most complicated part of the project, Bockley emphasized, a lot needs to be considered before the installation work begins. Many public charging applications will Read More…

  • Ontario’s Multi-Family Component Leads Residential Sector Increases in October Building Permits

    Ontario’s Multi-Family Component Leads Residential Sector Increases in October Building Permits

    December 15, 2025 In October, the total value of building permits issued in Canada rose $1.8 billion (+14.9%) to $13.8 billion. The increase in construction intentions was led by the residential sector (+$1.1 billion). An increase was also observed in the non-residential sector (+$702.8 million). On a constant dollar basis (2023=100), the total value of building permits issued in Read More…

  • Residential Investment in Building Construction Declines in September

    Residential Investment in Building Construction Declines in September

    December 15, 2025 Overall, investment in building construction decreased 1.1% to $22.4 billion in September. Investment in the residential sector declined 1.7%, while that in the non-residential sector was virtually unchanged. Year over year, investment in building construction grew 6.0% in September. On a constant dollar basis (2023=100), the total value of investment in building construction in September decreased 1.4% Read More…


Changing Scene