International Journal of Emerging Technology and Advanced Engineering (IJETAE)
Cloud Computing provides user a complete software environment. To serve resources to customers, Software as a Service providers rent resources from the Infrastructure as a Service Providers. Client applications and service providers negotiate for the sales of services by means of Service Level Agreement (SLA) that acts as a contract between them. Depending on the status of the demand, Infrastructure as a Service provider is able to offer higher or lower prices for maximising its profit. So it is difficult to establish a profitable pricing function for Software as a Service Providers. Therefore, this paper proposes spot pricing strategy to estimate the bid according to the used specified constraints of the user and also optimizing the pricing level to improve the profit of SaaS providers.