What is the term for an application that is hosted off-site by a vendor with vendor-owned hardware?

The correct term for an application that is hosted off-site by a vendor using vendor-owned hardware is a cloud application. Cloud applications leverage remote servers that store and process data, making them accessible over the internet. This setup allows for flexibility, scalability, and reduced costs for users, as they do not need to invest in their own infrastructure.

While "remote hosting" refers to the general concept of hosting services that are not located on the user’s premises, it does not specifically denote the cloud computing environment that typically involves multi-tenancy, scalability, and shared resources provided by cloud services. On the other hand, "off-premises software" does emphasize the location aspect but lacks the specific implications of the cloud model, which includes convenient access and often subscription-based services.

The term "vendor-hosted service" might suggest a similar concept but does not encapsulate the full functionalities and characteristics of cloud applications that include extensive data handling, collaborative tools, and the dynamic nature of resource allocation and management that are hallmarks of cloud computing. Thus, the best choice that accurately and fully describes an application in this context is cloud application.