What Is Cloud Computing in Simple Terms? Definition & Examples

Did you know that in 2000, the cost of running a basic web app was approximately $150,000?

Cloud computing has reduced it to less than $1000 per month.

Marc Andreessen is a co-founder of Netscape, as well as a member of the board of Facebook. He explained that this was “the dream for every cyber-visionary in the early 1990s.” The revolution of cloud computing has fundamentally altered the IT economy. It introduced new opportunities, new business models, and a whole new era of business.

What Is Cloud Computing? How does it work?

Cloud computing is simply the delivery of different services via the Internet. Everything can be delivered through the cloud, including software and analytics as well as secure data storage and network resources.

Many cloud-based apps are used every day by you. Cloud solutions are available every time you email a colleague, use a mobile application, download an image, or binge-watch a Netflix series online. These services are all stored in the cloud, and they exist in digital space.

OneDrive, SharePoint, or an email server can store your data in a different way than storing it on a hard drive on your computer or on a USB stick. It can be accessed from any computer with internet access.

Cloud computing can bring benefits to businesses in the form of increased collaboration, productivity, and significant cost savings. Cloud computing means improved data protection, better availability, and increased access to cutting-edge technology.

Cloud Computing: Five Characteristics

What makes a cloud different? According to the National Institute of Standards and Technology, there are five characteristics that define cloud computing.

1. Self-service on-demand: It is available whenever you require it, and you only pay for what you use. It’s like electricity. The cloud is basically a form of utility computing. Your services will always be available to you whenever you need them. Only what you use is charged to your credit card at the end of each month. This way, you have full control over the data that you store and access.
2. Accessing it must be possible from any internet-connected device. Your cloud data will be available from any device, mobile or laptop, no matter where you are. This is due to the fact that its underlying infrastructure contains servers located in multiple locations.
3. Multiple tenants can share one space. Resources can be assigned, reassigned , and distributed according to need. If you have internet access, you can travel anywhere in the world while still having equal access to all other resources.
4. The cloud’s rapid elasticity allows for unlimited growth and shrinking without any impact on users or information. If your business experiences high traffic, the cloud can be expanded to meet all of the requests.
5. measurable service. You can see how frequently people use the cloud. Cloud service providers often use a pay as you go model to make sure that clients get what they pay for. This can be compared with electricity, as you are only charged for what you use.

There are three types of clouds, each with its own benefits. Cloud options should be evaluated to determine which one is right for you and your company.

Cloud Computing: Types

Public Cloud

Cloud services that are publicly available are ideal for web servers and development systems. Your cloud computing provider will share their digital space with other tenants.

These cloud types are economical because they use a pay-as-you-go model. The cloud costs only for the time you use it. You can leave the cloud at any point when you are done with your work. You don’t have to pay more than what you use.

Private Cloud

Private clouds provide privacy, as their name implies. Your digital space is yours alone. Private cloud platforms are usually built in-house and belong to your company. You can also set them up in a third party data center, which will still offer advanced privacy.

Private clouds are preferred by larger organizations and clients that are more concerned about security. These clouds are more secure than their public counterparts. Private clouds are used by companies that need to protect customer data and sensitive information.

If you use a private cloud, you will know who has access to your data, whether any changes have been made, and what you should do in an emergency if you use it. You are in complete control of what happens to your cloud. Your cloud is protected from all outsiders by a firewall.

Hybrid clouds

Hybrid clouds combine the best of both cloud services. A hybrid cloud allows you to control your internal database while still using the public cloud for other purposes. You might need to transfer data and applications from one cloud to another, for example, during scheduled maintenance, blackouts, or natural disasters. It is possible to seamlessly move information between cloud-based disaster recovery systems and prevent data loss.

Hybrid clouds are great for scaling because any overflow in the public cloud can be controlled. You can also keep non-sensitive tasks in the public cloud and protect the important data in the private cloud.

No matter how big your company or industry is, there is always a cloud solution to meet your needs. Before you make a decision, take the time to compare and contrast the pros and cons of each type.

Cloud computing is now used by companies in many ways, as we have already mentioned. Here are some cloud uses that are common:

Examples of Cloud Computing Services

Cloud Hosting and Storage.

It makes it easy for everyone to access important documents by keeping them in an online location. Businesses with multiple employees needing the same information for their work can benefit from cloud storage. It improves collaboration and efficiency between organizations.

Cloud storage can also be useful for personal use. You can store your documents on a web server to make it easy to find later. Google Docs and OneDrive are two examples. You don’t need to keep a flash drive to edit your spreadsheets and read your files.

Cloud Backup

Cloud backup is the best way to make sure files are available. Cloud backup solutions can create multiple copies of files, and store data at different locations. Cloud backup solutions make it so that you don’t have to worry about your files being lost if one of your cloud servers is down.

Email

Every day, people send around 105 billion emails. Millions of emails, including greetings and reminders, make their way to people’s inboxes around the globe. Without the cloud infrastructure, none of this would have been possible.

Business Intelligence

Some of the most significant changes in business have been triggered by cloud-based BI software. Cloud-based BI systems allow complex data analysis, processing, and reporting to be done online at a low cost. Multiple licenses can be transferred to the same user without any need for lengthy setup or installation.

Cloud Computing: The Benefits

These are only a few examples of cloud computing. Cloud computing can be used for so many purposes that it is almost impossible to list them all. Cloud services can be used by every company in a different way.

1. ALWAYS-ON AVAILABLE STOCKAGE

Cloud storage is a great way to store all your data. Cloud storage can be rented at a very low cost and scaled according to your needs. It is no longer necessary to have an external hard drive installed or create an in-house data center.

2. Disaster Recovery Solutions

Data protection is essential in the event of a disaster. It is crucial to prevent data loss in order to save time, money, as well as increase efficiency. The cloud offers a faster and more cost-effective way to recover from disasters than traditional methods.

Preparing for a disaster is sometimes the best way to handle a tragedy. As most disasters are not planned, it is important to consider the worst-case scenario. Before cloud computing, data had to be distributed and collected on tapes or drives. Then the data would need to be transferred to a central location. You can now just click a few buttons to have everything done for you.

3. COST SAVINGS

To keep your important information safe, you don’t need to purchase a lot of external hard drives.

By migrating to cloud-based virtualized operating system instances, companies can save up to 43% per year. The cloud also allows you to access professional staff, advanced security systems, and cutting-edge software. This adds to your projected savings.

Pay-as-you go cloud service providers are particularly useful because you won’t have to pay for services you don’t use.

This is compared to a monthly subscription where you have to pay for the entire month, regardless of how frequently you use it. You will only get half the value of a monthly subscription if you use it for two weeks.

4. CONSTANT UPDATES

Software is constantly being updated to improve security, efficiency and speed. To enjoy the latest improvements, you would need to buy a new device. Software updates are easy and don’t usually cost extra.

5. Business Continuity

Most organizations face a major challenge in ensuring business continuity during a disaster. Business continuity management is a must when even a minute of downtime could cost more than the implementation of a disaster recovery and backup solution.

Cloud services offer disaster recovery and business continuity. It can be relied upon to keep your data safe and active in the event of a natural disaster. You can reduce the impact of possible disruptions by having a solid business continuity plan, and using the right cloud solutions.

6. IMPROVED COLLABORATION

It is easier than ever to work with others efficiently and effectively. When large groups of people can meet via Skype, who needs to book a conference or fly internationally? Everyone can access the latest report online, so no one needs to print copies.

A multinational company might have many locations around the globe. No matter where your offices are located, whether they’re in India or China, all employees have the same access via cloud technology. Cloud solutions can be accessed by simply opening your phone. It’s so convenient!

Employees have many benefits from cloud collaboration tools. They can access file versioning and real-time editing from any device at any time. They can access data and applications remotely from any device. This increases their productivity, and, eventually, the company’s profit.

7. INCREASED CAPACITY

No longer do you have to guess whether or not you’ll have enough power to create or destroy an app. Clouds can adapt to your business’s needs by changing their direction. Cloud services are flexible, and you can use them regardless of your business’s needs.

8. PERFORMANCE & SPEED

The cloud provides enterprise-grade technology that is also available for smaller businesses. This type of utility computing allows businesses to access emerging technologies at a low price.

High-performance software and hardware can be accessed to help improve your business operations. Cloud resources are easily accessible for businesses of all sizes thanks to the opex-based delivery system. All you have to do is choose the one that best suits your needs.

9. DATA SECURITY

Make sure your data is safe and secure.

Cloud backups can be a great solution for business continuity and the availability of files at all times. While all clouds provide some level of compliance, encryption, deterrent and compliance, private clouds are the most secure from outsiders. However, internal attacks can still be a problem.

Surprisingly, 43% of data security breaches are caused by inside threats. You must monitor your employees closely.

Potential threats include disgruntled employees or people who could use your data for their own gain. You should always be on guard and check the background of anyone you hire. Revocation of access must be done for ex-employees.

Cloud Service Types

Cloud services can be as diverse as the types of clouds they are on. There are three types of cloud services you can buy:

Saving money on purchasing servers or data centers is Infrastructure as a Service (IaaS). You only pay for what you use and pay as you go. IaaS makes it easy to quickly adjust your scale according to your needs.

Platform as a Service (PaaS), provides everything you need to run your business applications. It includes infrastructure like networking, online storage, and servers as well as databases. management systems and development tools. PaaS helps you create, test and develop your application.

Software as a Service (SaaS), is what you get when you download an app to your phone. Software is created by companies and then lent out to customers. SaaS is a source of revenue for businesses such as Autodesk, Lending Club, Microsoft, and IBM.

Find the right service for your company. Cloud platforms come in many different forms, so it’s impossible to find the right solution for you.

DBaaS is a cloud computing service you should consider for your business. Read our article What is Database-as-a-Service? It simplifies database management.

Cloud Computing for Business: The Future

Companies are moving away from on-prem computers in favor of cloud computing. Businesses naturally move away from their old ways of working and adopt cutting-edge technology as computing technology advances.

Experts agree that cloud technology will continue to grow in influence, but it remains to be seen how fast. These are some predictions from experts:

• By 2020, global cloud spending will reach $390 billion.
• By 2020, 92% of all data is expected to be stored in the cloud.
• According to the Cisco Global Index, 74% of cloud workloads will be SaaS workloads by 2020, 17% will be IaaS, and 8% will be PaaS.
• Cloud data will be stored in public cloud infrastructure for 68%, while private cloud storage will store 32%.
• Forrester predicts customers who are hesitant about cloud adoption will be the fastest-growing segment of users and will grow by 30% in 2018.

One of the newest trends in cloud computing is the distributed cloud. This deployment type allows users to distribute a single cloud public across multiple locations.

The future will only confirm these predictions, but you can be certain that the cloud is here to stay. It is impossible to predict what new and exciting ideas will be dominant in five years.

Dial-up, film development and CDs, maps or floppy disks are no longer necessary. These technologies are obsolete and have been replaced by better and more advanced inventions. A.I. is coming soon. Self-driving cars and A.I.

Although USB drives and other similar devices may still be used, you will almost always have backups of them on your cloud. Although hardware might never become obsolete completely, it is not in its prime. Cloud services will be dominant over hardware in years to come, just like Netflix decimated Blockbuster and eBooks killed Borders.