Cloud Computing includes delivery of computing services, such as server, database, storage, networking, and other services from the internet i.e., cloud. Thus, in simple terms, cloud computing provides on-demand services over the internet. But, before moving further, let us understand the requirement of cloud computing in comparison to the conventional data centers and services.  

What Is the Need for Cloud Computing?  

You all must have used cloud services like Gmail, Google Drive, Apple’s iCloud etc., but have you ever wondered, “What is the need of cloud computing?” Don’t exhaust your brain, read further to clarify your doubt.

Let us understand the concept of cloud computing with the help of an example.

Suppose, you are the owner of a website that offers assignment writing services to the students. In general days, suppose 100 students visit your website and order their assignment, and your server is capable of serving those 100 students. Now, let’s discuss the second scenario.

Suppose, students are having their submission next week and they want to avail your assignment writing services urgently. Now, the number of students visiting your website has increased from 100 to 1000. Obviously, your server will take time to serve each of the students, but this delay is not acceptable on the internet.

However, you can add more servers to meet the requirements but your website won’t have such traffic all the time. During general days, the additional servers that you bought are jobless. This method is not cost-effective according to the business point of few.

Here, cloud computing comes into the picture. Cloud computing is the shared pool of all the computing resources. You can easily add new resources through cloud providers, also you can free resources when they are not needed. In this way, you only pay for the resources that you are using. Cloud provider takes care of all the maintenance.           

Now you know why companies of any size are shifting their interest towards cloud computing.

Benefits of Migrating to Cloud?

Here are some of the crucial points explaining how moving to cloud computing can benefit you financially.

Reduced Cost of Capital: Cloud computing ensures low capital expenses using utilization and scalability of resources. Developing your own IT infrastructure requires many computing resources beforehand, such as servers, storage devices, firewalls, cables, power, etc., which result in increasing the up front capital for a company. Cloud computing can save your investments which can be used for some other purposes while establishing a business.   

Reduced Operational Cost: Maintaining a good IT infrastructure requires efficient IT professionals. Recruiting such IT professionals can cost you big. The salaries and other employment perks of the employees usually exceed the cost of software and hardware required for the infrastructure. Using cloud computing services, the technical support expenses can be minimized as the maintenance part is handled by the cloud provider. Moreover, the complexities of software and hardware are also reduced.

100% Hardware Utilization: As explained earlier with an example, there are times when requests to use your websites or services dip down. When you are maintaining your own data centers, you are required to bear up all the expenses associated with the infrastructure even if your server is idle.

Cloud computing solves this problem. You only pay for the resources that you are using with no extra cost. In case of increased or decreased workload, you can easily free or take cloud computing services. In this way, you can utilize the hardware completely.   

Deploy Projects Faster: Yes, you read that right. Deployment of your project or app can be achieved faster using cloud computing. Platforms, such as Amazon Web Services, Google Cloud Platform, etc., provides a computing environment that helps you deploy your product. Cloud computing vendors provide application server, database, and other operating system components.

There are three possible deployment choices for the application code:

Infrastructure as a service (IaaS): It provides IT infrastructure to the projects or apps. The provider offers virtual machine and operating system environment; and all other resources like software packages, databases etc., has to be installed by the user.  

Platform as a service (PaaS): Created for the developers, it provides application servers, databases, and other operating system elements except for application code, which help the developer focus particularly on the application code.

Software as a service (SaaS): Everything is provided by the cloud service providers except the user and the application data. The service supplier provides the application code and the developer has limited ingress to modify the software in use.  

Flexibility Without Redundancy: While maintaining a localized data center, you require more storage space and hardware to duplicate the data that can be used at the time of failure. Also, managing these storage spaces requires extra employees. How about leaving the task of data-backup to the cloud computing? Well, it is capable to do the same as well. Cloud service providers have data centers at different geographical locations that mirror your data at all the locations. Therefore, you do not have to fear about losing your data.

Data Security: Data security is a major concern for all organizations. The security breach and cybertheft can hamper a company’s brand positioning and customer loyalty. Cloud storage providers use different security features like encryption, authentication control, and access control. Hence, the data remains protected from any suspicious attacks.

Easy Collaboration: Cloud applications has helped in the collaboration of different organizations. Enterprises can now share information in real-time and meet virtually. This crucial feature of cloud computing has helped various enterprises in expanding their network.  

Summing up all, cloud computing has dominated the internet and helped the enterprises by increasing their production, revenue, and security in a cost-effective way.  


Companies of any size are adapting to Cloud Computing technology. This article highlights the financial benefits of moving to cloud computing.