The Lighter Side Of The Cloud – The Crystal Ball
The Lighter Side Of The Cloud – Fear Of Heights
The Lighter Side Of The Cloud – Growing Pains

Saving Money on Energy by Going on the Cloud

Saving Money on Energy by Going on the Cloud

You’ve often heard of the expression, “It’s all about the money, honey.” Ultimately, that’s what most businesses are about. And this relates to environmental consciousness as well. Show a business that it can save money by being environmentally friendly, and you will have a much higher chance of getting buy-in than if you just spout the altruistic effects of such efforts.

Now, saving money is one of the big draws of going on the cloud (How Cloud Computing Can Save You Money ). Even in areas where you won’t usually expect cloud computing to save you dollars, it can make a significant contribution (Saving Money on Rent by Going on the Cloud ). Today, I am going to write about how cloud computing can potentially reduce your energy bills.

A recent report by research firm Verdantix and sponsored by AT&T, titled “Cloud Computing: The IT Solution for the 21st Century,” estimates that cloud computing could enable large US companies, those with more than  $1 billion in annual revenues, to save $12.3 billion off their energy bills. That translates into carbon emission savings of 85.7 million metric tons per year by 2020.

While this report makes an argument for cloud computing’s environment-friendliness, there are contrary opinions as well. I had written about both these views in two earlier articles (How Green Is Cloud Computing?  and Environmental Challenges to Cloud Computing ). The thing worth exploring is whether cloud computing actually reduces energy consumption, or merely transfers it to another area.

For research on the study, Verdantix conducted interviews with several big names across industries, including insurance company Aviva, aerospace firm Boeing, financial services behemoth Citigroup and IT firm Juniper Networks. As per the projected savings, the report expressed the belief that this will happen by 2020 when large companies spend 69% of their IT budgets on cloud services, up from around 10% currently.

While these figures sound impressive, they come qualified by the fact that AT&T has its own reason for promoting cloud computing – it sells the technology. I had earlier written about a contrary opinion on this subject; here’s another.

A report by University of Melbourne researchers Rod Tucker and Jayant Baliga, published in the Proceedings of the IEEE in October last year, found some possible drawbacks to cloud computing as far as energy consumption is concerned. They found that studies supporting cloud computing’s environment-friendliness usually focus on the storage aspects and not on data transfers.

The most important conclusion in our analysis is that, when comparing the energy consumption of cloud-based services with that of a typical desktop PC, we must include the energy consumption required to transport the data from the user into the cloud resources and back,” Tucker was quoted as saying.

This is particularly important if the cloud service is provided via the public Internet. Some papers that have claimed that cloud computing provides a “greener” alternative to current desktop computing fail to include the energy consumption involved with transporting the data from the user into the cloud. In many cases, we may find that the data center used by the cloud-based services is located in another city, state or even country,” he added.

So, is cloud computing environmentally-friendly or not? Can it actually save money in energy costs? If so, how much money can be thus saved? Personally, I believe that this issue needs to be studied in much greater detail, by several impartial parties, before definitive answers are obtained. The jury is still out on this one.

By Sourya Biswas

sourya

Sourya Biswas is a former risk analyst who has worked with several financial organizations of international repute, besides being a freelance journalist with several articles published online. After 6 years of work, he has decided to pursue further studies at the University of Notre Dame, where he has completed his MBA. He holds a Bachelors in Engineering from the Indian Institute of Information Technology. He is also a member of high-IQ organizations Mensa and Triple Nine Society and has been a prolific writer to CloudTweaks over the years... http://www.cloudtweaks.com/author/sourya/

Sorry, comments are closed for this post.

Recent

Improving Safety On The Digital Highway

Improving Safety On The Digital Highway

Digital Highway Safety When it comes to transportation, safety is highly consequential. From educational programs to legal penalties, safety is principle to the way that travel is spoken about and acted upon. But what about digital travel? Although user files are hardly as important as users themselves, they often contain sensitive information. As cloud computing’s momentum…

From AOL To Twitch: A Decade Of Big Data Hacks

From AOL To Twitch: A Decade Of Big Data Hacks

A Decade Of Big Data Hacks The idea of hacking has been around forever. Popular in science-fiction films for decades, hacks have now become a reality for many people who engage in basic activities online. Here is a look at a list ten years in the making, a decade of hacks year-to-year. Included is an…

Popular

Surprising Facts and Stats About The Big Data Industry

Surprising Facts and Stats About The Big Data Industry

Facts and Stats About The Big Data Industry If you start talking about big data to someone who is not in the industry, they immediately conjure up images of giant warehouses full of servers, staff poring over page after page of numbers and statistics, and some big brother-esque official sat in a huge government building…

Unusual Clandestine Cloud Data Centre Service Locations

Unusual Clandestine Cloud Data Centre Service Locations

Unusual Clandestine Cloud Data Centre Service Locations Everyone knows what the cloud is, but does everybody know where the cloud is? We try to answer that as we look at some of the most unusual data centre locations in the world. Under the Eyes of a Deity Deep beneath the famous Uspenski Cathedral in the…

Using Big Data To Make Cities Smarter

Using Big Data To Make Cities Smarter

Using Big Data To Make Cities Smarter The city of the future is impeccably documented. Sensors are used to measure air quality, traffic patterns, and crowd movement. Emerging neighborhoods are quickly recognized, public safety threats are found via social networks, and emergencies are dealt with quicklier. Crowdsourcing reduces commuting times, provides people with better transportation…

The Cloud Above Our Home

The Cloud Above Our Home

Our Home – Moving All Things Into The Cloud The promise of a smart home had excited the imagination of the movie makers long ago. If you have seen any TV shows in the nineties or before, the interpretation presented itself to us as a computerized personal assistant or a robot housekeeper. It was smart,…

Cloud Infographic – Interesting Big Data Facts

Cloud Infographic – Interesting Big Data Facts

Big Data Facts You Didn’t Know The term Big Data has been buzzing around tech circles for a few years now. So much, in fact, that you’re probably getting sick of hearing about it. Here are some interesting facts you might not know about big data via The Visual Capitalist: Big Data got its start in the…

Sponsored Posts

From C:\Prompt To CYOD – The Timely Shift To Desktop as a Service

From C:\Prompt To CYOD – The Timely Shift To Desktop as a Service

The Timely Shift to Desktop as a Service There may be some colleagues lurking within any given workforce who remember what a C:\> prompt meant. Much like the ring from Middle Earth, it had the power to make things happen. Desktop computers at that time were large grey beasts, with their only wired connection being…

Cloud Logo Sponsors

hp Logo CityCloud-PoweredByOpenstack-Bluesquare_logo_100x100-01
cisco_logo_100x100 vmware citrix100
Site 24x7


Contributor Spotlight

Established in 2009, CloudTweaks is recognized as one of the leading influencers in cloud computing, big data and internet of things (IoT) information. Our goal is to continue to build our growing information portal, by providing the best in-depth articles, interviews, event listings, whitepapers, infographics and much more.

Branded Content Programs

Advertising