The rise of cloud computing has had a significant impact –– most notably server and storage infrastructure –– as enterprises explore and enjoy the potential cost and agility benefits that come with using virtual, on–demand infrastructure. Database as a service (DBaaS) offers multiple potential benefits, including lower database licensing and infrastructure costs, faster time to application development, and reduced administration overheads. This analyst report explores the factors shaping the switch to DBaaS, including the potential benefits and challenges to adoption, the economics of the cloud as they relate to database workloads, and adoption lifecycles.