In much the same manner the advent of the internet revolutionized the world, cloud computing is revolutionizing the way businesses operate. At its core, 'cloud computing' Cloud computing is the use of computing resources (hardware and software) that are delivered as a service over a network (typically the Internet). Cloud Computing has brought together a range of technologies that can deliver scalable tailored and virtualized IT resources and applications over the Internet.
While cloud computing is changing almost everything at the core of how businesses are run, there are three ways in which cloud computing is revolutionizing the business world as a whole.
Less Investment in Maintenance, More Investment in Innovation
According to the CIO of the technology firm Gartner, approximately $8 out of every $10 a company spends toward technology goes toward maintenance rather than innovation. The cloud model drastically reduces maintenance costs. Because the IT infrastructure is maintained and managed offsite, the costs associated with IT maintenance personnel as well.
Breaks Down Barriers to Entry
Gone are the days when only multinational companies had the resources to launch new technology products. Cost barriers for in-house implementations and large capital outlays are deleted with cloud computing.
Pay per Use Cost Model Saves Operational Costs
In the past, companies paid for a certain amount of space to handle their IT functions – regardless of the fact they needed the space or not. This means they have to spend money on buying more desktop computers, adding more machines to their internal server rooms, or renting space from offsite servers. Nevertheless, with the help of cloud computing virtual assets are made to be flexible and dynamic and are available on a subscription or on-demand basis which means now entrepreneurs have to pay only for actual assets used rather than defining scopes and purchase orders in advance