What is cloud computing? At its most basic, cloud computing is a means of storing data needed to run various applications. Many businesses today are using cloud computing as an alternative to purchasing, operating and maintaining their own on-premises servers. In this article we will define cloud computing, discuss who uses this technology and for what purpose, describe different cloud service and deployment models and itemize some of the benefits of cloud computing.
What is Cloud Computing? An Overview
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Cloudwards defines cloud computing as using the internet to connect to online services that are hosted in the cloud, which can include everything from simple cloud storage to cloud infrastructure platforms like AWS and online streaming platforms. The term “cloud computing” was first used in 1996 by a group of executives at Compaq Computers, who according to MIT’s Technology Review were “plotting the future of the internet business.” Today, Merriam Webster defines cloud computing as “the practice of storing regularly used computer data on multiple servers that can be accessed through the Internet.”
How Does Cloud Computing Work?
Cloud computing is an operational strategy that many companies choose for their IT infrastructure needs. It allows them to outsource IT infrastructure to a third-party cloud computing service provider, rather than investing in the hardware and resources needed to maintain their own cloud infrastructure. Once set up, companies can plug in to their chosen provider’s infrastructure and access resources from virtually any device with an internet connection.
Cloud Service Models
Cloud services are provided using a remote server versus an on-site server and are managed by a third-party provider. Cloud services are only accessible via the internet, and follow one of these three models:
Infrastructure as a Service (IaaS)
Platform as a Service (PaaS)
Software as a Service (SaaS)
Cloud Deployment Models
Cloud deployment models are defined by where the infrastructure for deployments lives, how it’s accessed and who has control over it.
Here are three ways that cloud services may be deployed:
Public
Private
Hybrid
1. On-demand Availability
Consumers can access resources without administrator support.
2. Accessibility
Resources are available wherever there is an internet connection, using standard devices such as mobile phones, laptops and workstations.
3. Agility
Computing resources are pooled to serve multiple users at once, with capacity planning happening dynamically to assign and reassign resources as needed.
4. Scalability
Delivery models make data provisioning capabilities practically unlimited, allowing for any quantity of provisions to be provided at any time.
5. Analytic Capabilities
Resource utilization can be monitored, controlled and measured through an automated metering capability typically built into cloud-based systems.
6. Cost Efficiency
When considering the costs associated with buying, installing, housing and maintaining their own servers, some businesses may find that it is more cost-efficient for them to outsource to a cloud services provider. Cost considerations here include:
- Purchasing equipment
- Installing equipment
- Equipment maintenance
- Software upgrades and licenses
- Server room costs, such as building purchase or leasing, utilities, maintenance and security
7. Network Performance
According to Oracle, businesses using cloud computing can experience increases in input/output operations per second (IOPS). In its 2019 State of IT Infrastructure Management survey, global IT infrastructure solutions provider INAP reported just how important a network’s speed is to IT leaders and infrastructure managers. The managers surveyed cited data performance as one of their four major reasons for moving data operations off-premises, and 42% indicated improved network performance as their primary reason for migrating networking operations to the cloud.
8. Reliability
For businesses considering migrating data to the cloud, reliability factors often include disaster recovery, compliance with industry regulations and automatic software updates. Cloud-based services automatically update tools, which reduces interruption into a company’s workflow. When power, data or confidential customer information is lost, multiple redundancies make sure there’s a copy of the data required to continue operations.
9.Security
Today’s businesses depend heavily upon data and its safeguarding against cyberattacks. Cloud providers are well-versed in security details like authentication, encryption and permissions. For this reason, it may be advantageous for businesses to outsource their data and data management processes to a more secure, off-site environment.
While there are many benefits to cloud computing, there are also challenges to consider. Specifically, the cost of migrating to the cloud could outweigh the potential return on investment.
For example, some applications that are critical to a business may not have been originally built for the cloud. The migration of these applications could end up requiring significant cost to rework the code and adapt the application to the cloud environment with full functionality, or risk compromising the application’s performance by retrofitting it to work with a cloud deployment model.
Additionally, remaining competitive in application performance becomes increasingly difficult as cloud computing becomes more pervasive.
With various businesses utilizing the same cloud computing providers and services, differentiating yourself from competitors becomes less about the speed of capabilities and more about what is produced. If your IT infrastructure is managed in-house/on-premises and your capabilities aren’t performing as quickly as your competitors, it’s going to be harder for you to compete online without migrating to the cloud.
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