With advancement in technology, cloud computing is an inevitable technological phenomena to both business enterprises and individuals. In cloud computing, your data is technically stored on an external hard drive or server. This ensures that your data is secure and that you can access your data, on demand, remotely, provided that you have internet access and login credentials. Essentially, cloud computing is a managed (external) service which encompasses IT models such as software as a service (SaaS), platform as a service (PaaS) as well as infrastructure as a service (IaaS).
The first advantage of cloud computing is cost minimization. Since most users do not outsource these services, their overhead costs associated with investing in servers, which are expensive to procure and maintain, can be greatly reduced. Moreover, shared costs among users ensure that a single server is optimally utilized, thus ensuring economies of scale. The IT related costs to data storage, software maintenance costs and quality control costs are minimized or even completely eliminated. In cases of new applications and application updates, firms do not need to procure new software and hardware since this is taken care of by the cloud service provider. Depending on the usage demand, firms can scale up or scale down their cloud computing utilization. Since many cloud computing service providers have data centers, this not only reduces data management costs but also ensures efficiency and reliability.
Firms and other cloud computing users can channel their saved costs towards innovation. Since firms outsource cloud computing services, this ensures that they have some ample time and resources to focus on their core business activities. In addition, cloud computing accelerates prototype development by many firms as they (firms) can collaborate and focus on a single project. All this is made possible by the fact that one cloud provider brings together many users.
In matters of costs, the consumers or clients of a cloud provider only pay for what they consume. Billing is most often level-based and is dependent upon the amount of storage you require. These limits can be raised or lowered depending upon your particular needs.
The cloud computing applications are convenient to use as no special software or hardware is required by the users. The fact that no specialized skills are needed to use the service makes it convenient. Some cloud storage providers offer apps to interface with mobile devices, but these are not required.
Since the location of the server is independent of influences from users, most cloud computing providers tend to locate it where there is superior infrastructure and therefore achieving proficiency and efficiency to clients. As a result of this, resource optimization is achieved as enterprises enjoy a reduced down time. Enterprises may have little or no incentive to invest in standalone servers even if they have the financial capability.
Cloud computing services are much flexible in the sense that they are only accessed on demand. In addition, cloud computing services can be accessed from any device ranging from iPads and tables to smartphones in addition to laptops and desktops. All you need is an account and an Internet-connected device.