Caching data with CData Software products can help mitigate SaaS service interruptions by storing frequently accessed data locally and switching to cached data during API failures, ensuring uninterrupted data access. The drivers include built-in caching functionality that allows users to handle situations gracefully without service disruption, enabling seamless switching between live data and cached data. By setting the caching connection properties, developers can configure the driver to cache data for SELECT queries and use it in case of an API failure, providing uninterrupted data access. Additionally, caching can offload requests to operational systems, increasing performance by pulling data once on-demand and distributing it to clients in pseudo real-time.