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In this paper we present a Platform-as-a-Service (PaaS) approach for rapid development of wireless sensor network (WSN) applications based on the dinam-mite concept, i.e. an embedded web-based development environment and run-time platform for WSN systems integrated in a single information appliance. The PaaS is hosted by a cloud of dinam-mite nodes which facilitates the on-demand development, deployment and integration of WSN applications. We introduce the dinam Cloud architecture and focus, in this paper, on the PaaS layer established by the dinam-mite nodes. In addition to the description of this so-called dinam PaaS, a performance analysis of the dinam-mite node towards its applicability to forming a dinam PaaS layer is demonstrated. We then present the MASON mobile vehicular network as an example of such a WSN which delivers spatially and temporally fine-grained environmental measurements within the city of Beijing, and illustrate how to utilize the dinam PaaS for integrating the data from the MASON network into its back-end business system. Finally, we discuss the five essential properties of the Cloud Computing stack, according to the NIST definition, with respect to the dinam PaaS and illustrate the benefits of the dinam PaaS for system integration as well as WSN application development.