The cloud computing model that allows users to rent virtualized hardware resources is known as Infrastructure as a Service (IaaS). IaaS provides virtualized computing resources over the internet, enabling organizations to scale their IT infrastructure up or down based on demand. Users can access hardware components, such as servers, storage, and networking, without needing to invest in physical equipment. This model offers flexibility, cost-effectiveness, and ease of management, allowing businesses to focus on their core operations while leveraging the benefits of cloud technologies.