The Rising Cost of Cloud Computing


Whether you hire the grand daddy of cloud computing, Amazon or some other cloud computing service, it is without a doubt that startups practically build up their businesses with the help of cloud computing services which provides them with instant access to cloud services via the internet.

What is the Cloud?

So, here’s some technical news for you. The Cloud is basically a metaphor for a collection of computing resources, such as, virtual servers, storage and network equipment, CPUs and RAMs which is used by users via the internet. The term cloud computing mainly refers to the practice of using those resources collectively to achieve an organization’s storage goals instead of using its on-site equivalent.

Cloud computing services offer organizations with the option of buying IT as a service rather than having to create an entire section for housing a range of hardware equipment. This is the main reason why cloud computing services is more often than not compared to an electrical grid station. Because the users do not need to understand the infrastructure or the devices which have been used, all they have to do is use the cloud computing service and make monthly payments of the services which they are using in their business.

It is a well known fact that users who visit e-commerce websites don’t stick around too long if the website stalls. So, as businesses move to the cloud with the sole purpose of improving their services, the situation regarding the costs becomes even more complicated. From a management’s point of view, the following are some of the major areas of concern in using cloud computing.

The following are some of the questions that businesses need to ask themselves when making the transition to the cloud.

Bottom Line

The fact of the matter is that whether cloud computing works for your business model or doesn’t, eventually every business needs to scale in a way that is not possible while using physical servers. Even though there are those companies who have seemed to have soured on the cloud, the truth remains that even the best in-house hardware cannot compare to the cloud which is the reason why businesses should design a plan before making the switch.

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