Which of the following describes cloud-based application software?

Cloud-based application software is primarily characterized by being provided by third-party providers. This means that the application is hosted on the cloud infrastructure managed by a vendor, allowing users to access the software over the internet without needing to install it locally on their devices. This model often entails a subscription or pay-per-use pricing structure, which can lead to lower upfront costs and simplified maintenance as updates and infrastructure management are handled by the provider.

The other choices do not accurately represent the nature of cloud-based applications. For instance, applications installed on local machines indicate traditional software that requires local resources and often has limitations in terms of accessibility and collaboration. Claiming that cloud applications require no internet connection contradicts their fundamental design, as they rely on internet connectivity to function. Lastly, the idea that cloud software is only used for social media is overly restrictive, as cloud applications cater to a broad range of business and personal functionalities, extending far beyond social media use.