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Cloud computing provides modern businesses with flexibility, scalability and security, as well as increased collaboration.
It also reduces costs. Adoption of cloud computing has been accelerated by the COVID-19 virus pandemic, but it is expected to continue into 2023.
This will be especially true with hybrid work at the forefront. It is important to know the basics of cloud computing, regardless of whether your organization is already using cloud services or if you plan to do so in the next year.
This blog will explain what cloud computing is and how it works. We'll also discuss its advantages and disadvantages and how businesses can better protect their SaaS data.
The cloud is the Internet in its simplest form. Cloud computing is when organizations use virtual data centers to store data or access software via the Internet rather than relying solely on their devices' hard drives or on-premises infrastructure.
Cloud computing is as simple as "servers located in a third-party data center" or as complex as entire serverless workloads, which are geo-redundant and infinitely scalable.
Cloud services and servers are elastic and scalable.
What Is Cloud Computing?
Cloud computing is the delivery over the Internet of computing resources such as data centers or IT infrastructure.
Cloud computing allows businesses to access software or rent storage space from cloud application service providers rather than building their own IT infrastructure. Cloud computing offers many benefits, including the fact that businesses only pay for what they use.
Cloud computing can be broken down into two parts: the front end and the back end. Frontend allows users to use an internet browser, or a cloud computing app, to access the data and programs that are stored in the cloud.
In the backend, the data is kept on computers, servers, and databases.
Cloud Computing History
Cloud computing was first used in an internal document. This was also the beginning of Software-as-a-Service (SaaS).
Amazon Web Services was launched in 2002 and marked a significant step forward for cloud computing. The suite of cloud services offered by Amazon included storage, computation, and even human intelligence. Amazon Elastic Compute Cloud (EC2) was launched in 2006 and allowed businesses to rent virtual machines, as well as for individuals to run their own applications.
In 2009, Google Workspace began to offer browser-based enterprise apps. Microsoft Azure entered the cloud computing market in 2009, and companies such as Oracle and HP soon followed.
What Is The Difference Between Traditional Web Hosting And Cloud Hosting?
A web host is the person who hosts your website on the Internet. Choose between a traditional host and a cloud-based hosting service.
Learn more about the differences between traditional hosting and cloud hosting.
Hosting Web Pages
Traditional web hosts use physical server space for their client's web hosting requirements. In the traditional hosting area, services can be either shared or dedicated.
Each option has its own merits.
- Dedicated Hosting: A client pays for a server's entire cost with dedicated hosting. Servers come with a certain amount of processing power and memory. Dedicated hosting is expensive.
- Shared Hosting: In shared hosting, businesses share one cloud server. Each user pays a certain amount of storage on the server and shares bandwidth. Shared hosting is cheaper than dedicated hosting. Your website may load slower because of the shared server, which supports multiple web traffic. If your website exceeds the limitations of the shared service, you'll probably pay more.
Cloud Web Hosting
Cloud-based web hosting is a virtualized version of traditional hosting, which relies on physical servers. Cloud web hosting has several key features:
- Pay Only For The Services You Use: Most cloud hosting services are based on a pay-as-you-go model.
- Cloud Hosting: This is a method of hosting that uses multiple servers to handle the bandwidth.
- Downtime Is Very Rare: Multiple servers host each site. If one site has a problem or is experiencing a large number of visitors, the other sites that use the same service will not be affected. The cloud hosting company can scale up or down their virtual space at any time.
Examples Of Cloud Computing
Cloud computing encompasses everything from virtual machines, databases and serverless applications to whole serverless applications.
Cloud computing includes:
Microsoft Azure: Microsoft Azure is a great illustration of a Platform-as-a-Service (PaaS) that covers the full application development lifecycle, from development through deployment and beyond.
Azure offers a wide range of languages, frameworks and tools to developers.
DropBox: The Dropbox service allows users to sync and store files on their devices so that they can be accessed from anywhere.
Users can also share large files, including images and video, via the Internet, which facilitates effective collaboration.
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Why Does Cloud Computing Matter?
Cloud computing was not available before. Companies had to download programs or applications to their PCs and servers on-premises to use them.
Building and managing your own IT infrastructure is a major challenge for any organization. Even those who have their own data centers find it difficult to allocate a large number of IT administrators and resources.
Cloud computing and virtualization were major paradigm shifts for the technology industry. Cloud computing allows businesses to rent computing resources instead of creating their own IT infrastructure, paying for servers, electricity, real estate and other costs.
It allows businesses to avoid the high upfront costs of owning their data centers and the difficulty in managing them. Cloud services allow businesses to pay only for the resources they use, such as computing power and disk space. It is easier to predict costs.
Cloud service providers manage and maintain the IT infrastructure for the business, saving them time, money and effort.
Cloud computing allows organizations to easily scale up or down their computing infrastructure as needed. Cloud computing offers greater flexibility and productivity than the traditional data center model. It allows users to access data anywhere, on any device, with an internet connection.
What Is The Most Common Use Of Cloud Computing?
Every organization, from startups to large corporations to government agencies, uses cloud services to improve workflows, communication, productivity and service delivery.
Below are some of cloud computing's most popular uses.
- File Storage: One common use of cloud computing for file storage is. Cloud storage allows businesses to access their data on any device that has an internet connection. Cloud storage services such as Amazon S3, DropBox, or OneDrive allow businesses to access data securely and to scale up and down storage space according to their needs.
- Cloud Database: This is another common business application. Company defines a cloud database as "a database built and accessed via a cloud platform". A cloud database offers many of the same benefits as a traditional one, including cost savings, failover assistance, specialized knowledge, and flexibility.
- Web Applications: Web apps are an essential tool for today's businesses. Cloud technology allows anyone to access web-based applications using a browser. This provides instant remote access. It allows professionals to collaborate and communicate with their customers while on the move.
- Collaboration: Cloud-based tools such as Microsoft 365, Google Workspace and Google Docs, with their easy integration, flexibility and security, are the best choice for companies looking to collaborate internally and externally, both within departments and with clients. Gmail, Google Docs, Microsoft Outlook and Microsoft Word are all powerful tools that can be used to improve collaboration and productivity.
- SaaS Applications: Software-as-a-Service (SaaS) applications allow businesses to store, organize and maintain data, as well as automate marketing and manage clients efficiently. SaaS applications are highly functional, and they do not require any software or hardware management.
What Are The Types Of Cloud Computing Available?
Cloud computing can be classified into four types: public, hybrid, multi cloud and private.
Public Cloud
A public cloud is an IT architecture in which infrastructure and on-demand computing services are maintained by a third party provider and shared among several enterprises over the open Internet.
Cloud service providers offer various services like Infrastructure-as-a-Service (IaaS), Platform-as-a-Service (PaaS) and SaaS to individuals and businesses who rent these services on a monthly or pay-per-use basis. Amazon Web Services, Microsoft Azure, Google Cloud, comprise the top cloud service providers.
Private Cloud
A private cloud, or internal cloud, is when the IT infrastructure (hardware resources and software resources) is exclusively dedicated to one organization.
This is different from a public cloud which shares computing resources with multiple tenants. Private cloud environments are ideal for companies that place a high priority on meeting regulatory requirements and maintaining security.
A private cloud has traditionally been hosted in a data center by a company and used its own hardware. A company can outsource the hosting to a third-party provider, who will remotely manage computing resources.
Hybrid Cloud
Hybrid clouds combine both public and private cloud environments. This model is used by businesses to augment their computing capacity.
Businesses can use the public cloud when the capacity of their private cloud reaches its maximum. The hybrid cloud allows businesses to adjust their computing capacity based on traffic and service demand. It eliminates the need for businesses to buy and maintain new servers.
This allows them to save money, time, and effort.
Multicloud
Multicloud refers to the use of multiple clouds, either public, private, or both. Multicloud allows businesses to choose the best cloud services based on budget, technical requirements, geographical location, etc.
Businesses can use this model to utilize different clouds. One cloud can be used for software testing and development, another for disaster recovery and data Backup, and a third for data analytics.
What Three Types Of Cloud Computing Services Are There?
Infrastructure-as-a-Service (IaaS), Platform-as-a-Service (PaaS), and Software-as-a-Service (SaaS) are the three categories of cloud computing services.
Infrastructure-as-a-Service (IaaS)
IaaS (Internet as a Service) is a cloud service that allows cloud providers to deliver and manage virtualized computer infrastructure via the Internet.
Businesses can now access resources such as storage, operating systems, network, and development tools on demand, instead of building their own IT infrastructure. It reduces IT costs and the workload of IT staff.
Platform-as-a-Service (PaaS)
Cloud providers handle the infrastructure, allowing businesses to focus on developing, deploying and managing software applications and services.
Developers and programmers can access not only the IT infrastructure but also the application/software platforms and solution stack with PaaS.
Software-as-a-Service (SaaS)
SaaS delivers ready-to-use applications to businesses via the Internet. SaaS providers manage the entire infrastructure, including hardware, software and data storage.
They also handle patch management, hardware/software updates and patch management. SaaS uses a subscription model that requires businesses to pay for the services they wish to use. SaaS applications can be accessed directly from web browsers.
This eliminates the need for users to download and install these applications. SaaS allows you to access web solutions at any time and from anywhere with an internet connection. SaaS includes Microsoft 365 and Google Workspace.
Read More: Cloud Computing: Why It Matters to Your Business: Six Essential Points
What Is The Cloud Computing Benefit For Mid-Market Enterprises?
Cloud computing allows businesses to work from anywhere and more efficiently. Cloud computing has many benefits, including:
- Cost Savings
- The Security of Your Own Home
- Flexibility
- Mobility
- Insight
- Collaboration Increased
- Quality Control
- Disaster Recovery
- Loss Prevention
- Automatic Software Updates
- Competitive Edge
- The Sustainability of the Economy
Cost Savings
If the cost of switching to cloud computing is a concern, you're not alone. 20% of companies are concerned with the initial costs of setting up a cloud-based system.
But when weighing the pros and cons of cloud computing, it is important to look at more than the initial cost. Easy access to data in the cloud will help you save money and time when launching new projects. Most cloud computing services allow you to pay only for the features that you use.
If you decide not to use the cloud, you will save money.
The data storage space needed to service your stakeholders and clients may also be paid for as it is used. This means you will only be charged for the space you actually need and not any extra.
These factors combined result in lower costs and greater returns.
Security
Many organizations have security concerns about adopting cloud computing solutions. How can you be sure that your files, programs and other data are protected if they are not kept on-site? What stops a cybercriminal if you can access your data remotely? Actually, quite a lot.
One thing is that a cloud provider's job is to monitor security. This is much more efficient than an in-house system where the organization has to divide its resources between many IT concerns.
Security is only one. While most companies don't want to consider the possibility that internal data can be stolen, it is true that an alarmingly high number of these thefts are committed by employees.
In this case, keeping sensitive information offsite can be safer. This is all abstract, so let's look at some statistics.
94% of businesses experienced an increase in security when they switched to the cloud. 91% also said the cloud made it easier for them to comply with government regulations.
This enhanced security comes from the encryption of data that is transmitted over networks and stored within databases. Encryption makes information less accessible to hackers and anyone else not authorized to see your data. With most cloud-based applications, you can set different security settings based on who is using the service.
Only 9% of cloud-based users can claim to be able to recover from disasters in less than four hours.
Flexibility
Your business can only allocate a limited amount of attention to all its responsibilities. You won't be able to focus on your business goals or satisfy your customers if your IT solutions force you to spend too much time worrying about computer and data storage issues.
By relying on a third-party organization to manage all IT infrastructure and hosting, you can devote more time to the areas of your business which directly impact your bottom line.
Cloud computing offers more flexibility to businesses than hosting on a local server. Cloud-based services can provide extra bandwidth instantly without the need for a costly (and complex) IT upgrade.
The increased freedom and flexibility of cloud-based services can have a major impact on the efficiency of your business. 65% of respondents said that "the ability of a business to quickly meet its demands" is one of the main reasons for moving to a cloud-based environment.
Mobility
Cloud computing allows mobile access via smartphones or devices to corporate data. With over 2.6 billion smartphone users worldwide, this is an excellent way to make sure that no one gets left behind.
This feature allows staff who have busy schedules or live far away from the corporate offices to stay in touch with their co-workers and clients.
You can provide information in the cloud to remote workers, freelancers, and sales staff that travel. This will help you achieve better work-life integration.
It's no surprise that organizations that prioritize employee satisfaction are more likely to increase cloud usage by up to 24 per cent.
Insight
As the digital world advances, we are increasingly aware that "data is money" is the new version of the old saying "knowledge is Power".
Hidden in the millions of data bits that surround customer transactions and your business processes, there are nuggets that contain actionable, valuable information that is just waiting to be identified and taken advantage of. It can be difficult to sift through all the data and find these nuggets unless you use a cloud computing solution.
Cloud analytics is a feature that many cloud storage solutions provide. This allows you to get a bird's eye view of all your data.
You can create customized reports and track your data easily if you store it in the cloud. These insights can be used to increase efficiency and create action plans for meeting organizational goals.
Collaboration Increased
If you have two or more employees in your business, collaboration should be a priority. It's not worth having a group if they can't work together.
Cloud computing simplifies collaboration. Cloud-based platforms allow team members to view and share data easily and safely.
Cloud services can even offer collaborative social spaces that connect employees from across your company, increasing engagement and interest.
Cloud computing can make collaboration easier and more effective, but it will not be as simple.
Quality Control
There is little that can be as damaging to a business's success as inconsistent and poor reporting. All documents are stored on a cloud system in a single location and format.
You can avoid human errors, maintain consistency, and keep a record of all revisions and updates. In contrast, managing information within silos may lead to employees saving different versions of documents. This can cause confusion and dilute data.
Disaster Recovery
Control is a key factor in the success of any business. No matter how well-organized your business is, some things are out of your hands.
In today's competitive market, even small amounts of unproductive downtime have a negative impact. Downtime can lead to lost revenue, productivity and reputation.
While you may not be able to predict or prevent the disasters which could harm your business, you can still do something to speed up your recovery.
Cloud-based data recovery services are available for any emergency situation, including natural disasters and power outages. Only 9% of non-cloud customers can claim catastrophe recovery within four hours, compared to cloud users who can. According to a recent survey of IT executives, 43% plan to improve or invest in cloud-based solutions for disaster recovery.
Loss Prevention
If your organization doesn't invest in a cloud computing solution, all of your valuable information is tied to the computers in your office.
It may not seem to be a big deal, but if you have a hardware problem in your office, your data could be permanently lost. It is more common than you think. Computers can malfunction due to a variety of reasons.
They can also be stolen or misplaced, even with the best intentions. (More than 10,000 laptops per week are reported to have been lost at major airports).
You could lose all your information if you don't use the cloud. Cloud-based servers allow you to access your information from any computer that has an internet connection.
Automatic Software Upgrades
For people who are busy, waiting for updates is a major irritation. Cloud-based software automatically updates and refreshes itself rather than forcing the IT department to manually update an entire organization.
It saves IT staff valuable real time and money on external IT consulting.
Competitive Advantage
Cloud computing is gaining in popularity, but there are those who still prefer to keep it local. It's their decision, but it puts them at a disadvantage in the race against those who can take advantage of cloud computing.
You'll have a head start on your competitors if you adopt a cloud-based system before they do. According to a recent survey, 77% of companies believe cloud technology gives them an advantage in the marketplace.
16% think this advantage is significant.
Sustainability
In light of the current state and condition of the environment, organizations can no longer claim to be doing their part by placing a recycling bin in the office break room.
True sustainability demands solutions that tackle wastefulness on every level. Cloud hosting is more eco-friendly and leaves a smaller carbon footprint.
Environment-friendly cloud infrastructures power virtual services rather than actual goods and machinery and cut down on paper waste.
They also improve energy efficiency, and because employees can access them from anywhere, they can reduce commuter emissions.
What Is The Disadvantage Of Cloud Computing?
Operating in the cloud has many advantages. There are some disadvantages to cloud computing that businesses should consider before making the switch.
The top five disadvantages of cloud computing are listed below.
- Downtime: Cloud computing systems are entirely reliant on internet connections. Without an active connection, businesses can't access data or applications in the cloud.
- Vendor Lock-In: Migrating workloads and cloud services from one provider to another in cloud computing is a challenge. Compatibility or integration problems can arise due to differences between cloud environments. The transition must be handled correctly to avoid exposing an organization's information to unnecessary security risks.
- Limited Control: Cloud computing services are only available to businesses that have a cloud infrastructure. The cloud vendor owns and manages the entire cloud infrastructure. This means they can't control their data, services, or applications. It's, therefore, important to have an end-user licensing agreement (EULA) which outlines what a company can and cannot do in a cloud infrastructure.
- Security: Security is a major concern when storing sensitive data on the cloud. Cloud service providers use advanced security measures, but storing sensitive files on servers owned and operated entirely by third parties always poses security risks. The cloud vendor and user share the responsibility for IT security when an organization adopts the cloud computing model. Each party is, therefore, responsible for its assets, processes, and functions.
- Data Theft Or Loss: Storing vital data in virtual data centers can expose you to various risks, including misconfiguration of the cloud, information theft, security breaches, credentials stolen, etc. Cloud service providers such as Microsoft or Google follow a model of shared responsibility, in which the vendor is responsible for the availability of applications and all that comes with them, and the customer is responsible for the application data, administration, and user management.
Protect SaaS Data With Backup
Company estimates that around half of corporate data is now stored in the cloud. Data suggests that companies around the world trust their cloud providers with sensitive data.
No matter which cloud vendor is chosen, companies must ensure that the security risks do not outweigh any benefits.
Every day, businesses using SaaS products such as Microsoft 365 Workspace and Google Workspace lose data. SaaS vendors tend to be viewed as responsible for the protection of data by many companies.
This is not true. Data protection is the responsibility of customers, not SaaS providers.
Businesses need a SaaS solution that protects their data from the most common sources of data loss, such as phishing attacks, malware and ransomware, human error, malicious behavior, configuration and synchronization errors, and malicious behavior.
The solutions, which include Microsoft 365 and Google Workspace, fill in the gaps of native functionality, allowing administrators and users to restore data in its original form in just a couple of clicks.
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Conclusion
Cloud computing's promise for Mid market enterprises has never been more obvious. Numerous advantages of the cloud include cost savings, enhanced security, improved performance, and flexibility and scalability.
