I think this category actually fits most grant driven projects. As you rightly state, there is very little money purely for software development, and I would venture non for maintenance of existing software. Therefore, most projects apply for grants together with people using the software either to support that use, or often for new development directed at the use case. This is much like the SaaS model, as the codebase remains open and free, but grant money is coming in for services, and then is also used to fund development and maintenance.
I think this category actually fits most grant driven projects. As you rightly state, there is very little money purely for software development, and I would venture non for maintenance of existing software. Therefore, most projects apply for grants together with people using the software either to support that use, or often for new development directed at the use case. This is much like the SaaS model, as the codebase remains open and free, but grant money is coming in for services, and then is also used to fund development and maintenance.