Software as a service is a software licensing and delivery model in which software is licensed on a subscription basis and is centrally hosted. It is sometimes referred to as "on-demand software", and was formerly referred to as "software.

Odoo online is cloud-hosted software as a service. In odoo online we can use only the default standard applications and functionality. There will not be any provision to add custom/third-party applications. It is the major feature of odoo online.