Cloud computing refers to creating and running software solutions that run entirely on 3rd party web-based platforms. Azure and Amazon Web Services (AWS) are two examples of popular cloud platforms. Cloud computing has been becoming more popular in recent years.
Before cloud computing, organizations took an on-premise approach. An on-premise set up is where an organization is fully responsible for setting up and scaling their own hardware, obtaining software licenses, and employing dedicated staff on hand to handle any issues and down-time that may occur.
What are some of the advantages to cloud computing?
- Cost Effective Computing - Services can be billed on-demand by minute or hour allowing resources to be charged on an as-needed basis.
- Reducing Upfront Cost - Costs go to operating expenses instead of capital expenditures which basically means that you can deduct the cost in the year the asset was purchased instead of being forced to depreciate over the life of the asset.
- Reliability - Cloud providers offer high availability and disaster recovery.
- Rapid Elasticity - You can scale resources up or down in real-time.
- Economies of Scale - Servers are available in 52 regions worldwide.
- Flexibility - Ability to create and destroy resources in real-time.
Every organization should be taking full advantage of cloud computing for at least some of their computing infrastructure.