Cloud Computing: Definition, Importance, Benefits (2024)

What is “cloud computing”?

These days, it seems like everything is happening “in the cloud”. But what exactly is this nebulous concept?

Cloud computing is the on-demand delivery of computing services over the Internet via servers, storage, databases, networking, software, and more. It enables faster innovation, offers flexible resources, and provides economies of scale while allowing users to pay only for the services they use. This technology eliminates the need to buy and maintain physical data centres and servers, making it possible to access computing power, storage, and databases as cloud providers need. Cloud computing is available through various deployment models (public, private, hybrid) and service layers (IaaS, PaaS, SaaS), providing users with remote, on-demand access to computing resources and data storage over the Internet.

According to a Dell report companies that invest in big data, cloud, mobility, and security enjoy up to 53% faster revenue growth than their competitors. But more than that, they are using this technology to more efficiently run their organisations, better serve their customers, and dramatically increase their overall profit margins.

Moving to the cloud. Running in the cloud. Stored in the cloud. Accessed from the cloud: these days is seems like everything is happening “in the cloud”. But what exactly is this nebulous concept?

The short answer is that it's somewhere at the other end of your internet connection – a place where you can access apps and services, and where your data can be stored securely. The cloud is a big deal for three reasons:

  • It doesn't need any effort on your part to maintain or manage it.
  • It's effectively infinite in size, so you don't need to worry about it running out of capacity.
  • You can access cloud-based applications and services from anywhere – all you need is a device with an Internet connection.

That's important because there's a shift going on from office-based work to working on the move. This shift is reflected in computer hardware sales: in 2015 about 270 million desktop and laptop computers will be sold, compared to 325 million tablets and almost 2 billion smartphones.

That makes the cloud a very good place to run business software likecustomer relationship management (CRM)applications – software that users need to access reliably at any time, wherever they are, and on any device.

I don’t need a hard disk in my computer if I can get to the server faster… carrying around these non- connected computers is byzantine by comparison.

- Steve Jobs, 1997

Cloud Computing: Definition, Importance, Benefits (2024)

FAQs

What is cloud computing and its importance? ›

Simply put, cloud computing is the delivery of computing services—including servers, storage, databases, networking, software, analytics, and intelligence—over the Internet (“the cloud”) to offer faster innovation, flexible resources, and economies of scale.

What is cloud computing and what are its many benefits? ›

Cloud computing gives your business more flexibility. You can quickly scale resources and storage up to meet business demands without having to invest in physical infrastructure. Companies don't need to pay for or build the infrastructure needed to support their highest load levels.

What is a benefit of cloud computing quizlet? ›

-Cloud computing makes it more affordable for companies to use services that in the past would have been packaged as software and required buying, installing and maintaining on any number of individual machines. -A major type of service available via the cloud is called software as a service, or SaaS.

Why is cloud important? ›

The main reasons why cloud computing is important for business is that it allows organizations to scale, maintain flexibility, and focus their efforts on business operations – not managing complex IT infrastructure. One of the best ways to optimize cloud computing for your business is by working with a cloud partner.

Which of the 7 benefits of cloud computing is the most important? ›

Flexibility is one of the most important benefits of cloud computing, as it allows access to applications and data from anywhere, through a simple internet connection.

What is cloud service in simple terms? ›

Cloud services are application and infrastructure resources that exist on the Internet. Third-party providers contract with subscribers for these services, allowing customers to leverage powerful computing resources without having to purchase or maintain hardware and software.

What are the three types of cloud computing with their benefits? ›

With IaaS, companies control their own computing, networking, and storing components without having to manage them on-premises physically. PaaS, provides developers with a framework to build custom applications, while SaaS avails internet-enabled software to organizations via a third party.

What is an example of cloud computing? ›

Dropbox, Google Drive, and Amazon S3 are the most popular online storage that can keep our files readily accessible anytime, anywhere. They are the cloud computing examples that us take our data with us as long as we have the Internet connection to access them.

Which of the following is the main advantage of cloud computing? ›

Benefits of cloud computing

These advantages include: Efficiency and cost savings — The use of the cloud can reduce the resources for the deployment and maintenance of your infrastructure/application. You'll save money on equipment as there's no need to invest in hardware, facilities, data centers, and others.

What are the key characteristics and advantages of cloud computing? ›

Automated management and provisioning, self-healing and self-optimizing systems, and the ability to support multiple deployment models (such as private, public, and hybrid clouds), are some other core features of Cloud Computing. One of the biggest advantages of cloud computing is its scalability.

What are the biggest benefits of cloud computing? ›

The Top 10 Benefits of Cloud Computing
  • Accessibility anywhere, with any device. ...
  • Ability to get rid of most or all hardware and software. ...
  • Centralized data security. ...
  • Higher performance and availability. ...
  • Quick application deployment. ...
  • Instant business insights. ...
  • Business continuity. ...
  • Price-performance and cost savings.

Which two of the following are benefits of cloud computing? ›

The benefits of Cloud Computing
  • Cloud Computing saves money. By its very nature, the cloud is designed for cost savings. ...
  • Cloud Computing is fast. ...
  • Cloud Computing grants SMEs access to cutting-edge technology. ...
  • Cloud Computing offers mobility. ...
  • Cloud Computing is secure. ...
  • Cloud Computing means enhanced data storage.
Feb 26, 2023

What is a benefit of using cloud computing network? ›

Cloud-managed networking provides the following advantages: Faster rollout and adoption of new software and feature updates, as well as a reduction in onsite network management devices. Simplified network management lifecycles, with more efficient provisioning, deployment, monitoring, reporting, and troubleshooting.

Why is cloud computing important to study? ›

It Helps Organizations with Security

Those with cloud computing skills can help ensure their organization's data is safe from outside hackers and maintained in a secure environment. Because of how important data security is to organizations, cybersecurity is currently a popular profession.

What are the 4 types of cloud computing? ›

There are four main types of cloud computing: private clouds, public clouds, hybrid clouds, and multiclouds. There are also three main types of cloud computing services: Infrastructure-as-a-Service (IaaS), Platforms-as-a-Service (PaaS), and Software-as-a-Service (SaaS).

How is cloud computing used in today's world? ›

Communication: Cloud-based communication tools, including email, calendars, and WhatsApp, rely on cloud infrastructure, ensuring seamless data storage and access for users. Banking and financial services: Cloud storage is used for financial data and tax record backups, offering security and accessibility to customers.

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