Cloud Computing – what is it?
Information technology has changed the way to do business in this modern era; at the same time business has changed the way to do the IT-business by the pleasant influence of the concept of cloud computing.
Cloud computing is a new way to do business in IT. Cloud computing as the name implies, is a dealing of the information technology processes in the internet cloud. Cloud computing has opened multiple new dimensions and arena of IT business; it has cut the huge costs of IT by a substantial margins and made available the benefit of IT for every small and medium business as well as the end users.
It is so costly for every company to setup and manage independent and dedicated IT systems. There are many types of equipments, software, infrastructures, networks and human resources which are needed for installing and managing an independent IT system. This involves massive capital expenditures as an upfront cost and then a huge chunk of money to spent on the operation and maintenance of the same. This dilutes the profit margins of the companies. A newer concept named as cloud computing came out as a survivor to the profit margins of the small and medium size companies. Cloud computing is a great business model which has a long term bright prospects in the field of IT business. This business is getting its more than due grounds and earning huge profits for the companies doing cloud computing business.
There are many reasons for cloud computing operators to earn reasonable profits; one fundamental of them is the market demand. Market demand for cloud computing services is increasing faster than rapidly. The reason for this increase is the cost effectiveness which has compelled every entrepreneur to take the advantage of cloud computing services rather than setting up independent IT setups; thus a huge prospective market is being created. There are some other reasons which have made cloud computing business so lucrative one. Some of them are given below.
Cloud Computing advantages
- Rapid increase in cloud computing services’ demand
- Shared resources or reuse of the available resources
- Optimization of available capacity
- Diverse location utilization of the resources which make it more efficient
- Better technologies for service processing and transport capabilities
- Improved security schemes and development of SOPs.
- Globalization and modernization
Above mentioned dynamics are the key factor to improve the productivity of the cloud computing business and subsequently improving the profit margins and wider arena for new business development. Now every small and medium corporate and even the bigger associations are also seriously considering for cloud computing solutions to cut their operating costs and improve their company profitability. Thus cloud hosting business is getting a very lucrative market position every coming day.