Cloud Computing – What it means to a layman

Cloud computing is a relatively new trend in the market in which companies make use of third party service providers to carry out their computing needs from publicly available internet protocol addresses. These trends are likely to affect the way many businesses are run in a great way. Three of the effects that will likely result from the dominance of cloud computing can be tabled as follows.

  1. Most companies will change their over-reliance in the setting up of servers to host their businesses in a bid to reach their clients. This move will lead to many IT companies that earn most of their money from web hosting activities changing their business strategies if they are to avoid the possibility of being eliminated from the value chain. The IT personnel in many companies may be affected with most of their duties being outsourced or transformed into new roles.
  2. With the introduction of cloud computing, many companies are likely to change their perception of the internet merely as a means of communication. This could lead to a number of businesses embracing the internet as a deliberate medium of service delivery; the online economy is likely to grow at a much faster rate as compared to the earlier rate.
  3. The other trend that is rapidly taking shape with the growth of cloud computing is low-cost of computer services. Hither to the introduction of cloud computing, software companies were able to sell their software and other applications such as operating systems to a very large number of clients. Cloud computing has however made it possible to share software, applications and hardware to a larger client base from one single source. This makes it cheaper for the consumer to access services. The maintenance cost of computing systems will drop drastically and many more people will be online. Such a move is likely to see an increment of online businesses as it will cost less to host your store online. The buyers will also find it cheaper to buy products and services if the reduced cost of doing business is passed down to them.
  4. However, there is a little bit of tussle going on – what cloud computing exactly means. Please read the interesting article below.
  5. http://online.wsj.com/article/SB123802623665542725.html
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