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As part of Spring 2018 update, Microsoft recently introduced a modern style of app building – Model Driven Apps. Model-driven app design doesn’t require code and the apps you make can be simple or very complex. Unlike canvas app development where the designer has complete control over app layout, with model-driven apps you will have pre-built design template which is customizable based on components you add to your app.

Let’s take a closure look how Model Driven Apps differ from Canvas Apps

Canvas App Model Driven App
Complete control over app layout. You can create app from scratch with no coding Model-driven apps automatically generate great UI that is responsive across devices
Available with all versions of Common data service Model-driven Apps are available only with the new Spring version of Common Data Service
You can connect to Dynamics 365 and browse, add, delete, update data in Dynamics 365 using screens, galleries, forms and out of box controls Provide design capability like Dynamics 365 customer engagement platform which includes Site Map, Entities, Forms, Charts, Dashboards etc.
Canvas apps start with your user experience, crafting a highly tailored interface with the power of a blank canvas and connecting it to 200 data sources Model-driven apps start with your data model – building up from the shape of your core business data and processes in the Common Data Service to model forms, views, and other components

Regardless of differences between Canvas and Model Driven Apps, there are much in common. Both model-driven and canvas apps allow you to easily build business apps.  They both share access to the Common Data Service providing standard and custom entities. Model-driven apps are built and managed from the PowerApps Portal similar to how canvas apps are built and managed.

Refer to link for how to create Model-Driven App from scratch.

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