When you stream a movie on Netflix, shop at an online e-commerce store or answer your work email from home, you’re benefiting from cloud computing. This technology allows companies to deliver high-quality customer experiences without the burden of maintaining data centers and other expensive hardware. It also makes it easier for companies of all sizes to increase their competitiveness and compete with larger competitors.
A key aspect of cloud computing is the ability to remotely access data and applications from any internet-enabled device. This feature was what gave rise to the name “cloud,” inspired by the cloud symbol often used to represent the internet in flowcharts and diagrams. Cloud-based services are delivered over the internet and run on servers, storage systems and other infrastructure owned by cloud service providers (CSPs). These vendors are responsible for storing, managing, processing and maintaining all data users send to the cloud.
CSPs typically charge customers based on the amount of resources they use, such as storage space, network bandwidth and compute time. In some cases, this usage is charged on a pay-as-you-go basis, while in others it’s billed in an upfront, monthly subscription.
One of the biggest misconceptions about cloud computing is that it’s only for large multinational enterprises. However, this technology can help even small local businesses gain a foothold in their markets by eliminating the expense of purchasing and maintaining specialized hardware and software. It also empowers businesses to innovate quickly and develop new technologies that improve their products and services.