Saving Money With The Cloud

Saving Money With The Cloud

Saving Money With The Cloud

Companies and governments save a lot of money using the cloud. Small businesses cut their costs with 3rd party services, while enterprises and governments often opt for hybrid solutions, outsourcing their storage only partially and using public cloud for a fraction of their computing requirements, for example, hosting the main website.

On the whole, governments and businesses approach the adoption of cloud computing on their own, idiosyncratic terms, which serves the point: there are considerable differences between the needs and wants of each sector.

The government

Governments adopt cloud technologies pragmatically and slowly. The principles, however, remain the same for public and private sectors alike. Cloud computing is used to cut costs and to focus on services, rather than the technology to provide them. The use of the cloud for sharing Curiosity’s photos was a notable exception. Government organizations have been pioneers in making Big Data stand up to its name, with the US Department of Defense taking bids for 4 exabytes of storage back in 2013.

Starting with email optimization, a secure cloud system for the State of California and numerous others, the last few years have indeed seen rapid growth in government adoption of cloud services. Governments are, however, slow to adopt cloud technologies due to perceived security issues, lack of standardization and limping collaboration. We might well have to wait for a few years until governments start taking bolder strides towards moving their apps and data to the cloud.

BusinessesCloud_Econ

It’s suggested–by a study covering 7 businesses with revenues from $50m to $550m–that cloud computing can save about 15% in IT costs. Small and medium-sized businesses benefit greatly from the scalability, the reduced labor expenses and the sheer quickness of deploying something new on a readily available infrastructure. The private sector is more active in adopting the cloud, but its needs are no match to those of military technology and nationwide data.

(Image Source: http://www.computereconomics.com/article.cfm?id=1932)

Businesses with apps that have huge load spikes benefit from the cloud as computing power is readily available and can be switched off at any moment. However, even businesses with a static workload benefit in some other way. When IT staff has the resources to deploy three apps instead of one, good things happen. Failure becomes less of a drag as you didn’t buy 12 state-of-the-art servers just to launch an app, and development costs decrease dramatically.

Skeptics, on the other hand, lament businesses diving into the cloud without prior research. As there are hidden costs associated with cloud computing, it might be sensible to… to do what?

Some suggest waiting for the services to become more cost-efficient. The massive price drops seen in Q2 just might propel more entrepreneurs into taking action. Others suggest waiting for extras that facilitate porting legacy software, a concern Microsoft seem to be acutely aware of, as is made evident by the amount of stuff Azure is equipped with.

This, however, stands true: as with all major decisions, it’s wise to do a metric ton of research, concentrating first and foremost on ROI, before committing to skip the cloud.

What do you think? What are the main benefits, in terms of costs or otherwise, of the cloud? How did your migration work out?

By Lauris Veips

About Lauris Veips

Lauris Veips is a freelance writer, hailing from cold and distant Latvia. A cloud enthusiast and supporter of anything innovative.

View All Articles

Sorry, comments are closed for this post.

Comics
Maintaining Network Performance And Security In Hybrid Cloud Environments

Maintaining Network Performance And Security In Hybrid Cloud Environments

Hybrid Cloud Environments After several years of steady cloud adoption in the enterprise, an interesting trend has emerged: More companies are retaining their existing, on-premise IT infrastructures while also embracing the latest cloud technologies. In fact, IDC predicts markets for such hybrid cloud environments will grow from the over $25 billion global market we saw…

Why Security Practitioners Need To Apply The 80-20 Rules To Data Security

Why Security Practitioners Need To Apply The 80-20 Rules To Data Security

The 80-20 Rule For Security Practitioners  Everyday we learn about yet another egregious data security breach, exposure of customer data or misuse of data. It begs the question why in this 21st century, as a security industry we cannot seem to secure our most valuable data assets when technology has surpassed our expectations in other regards.…

Despite Record Breaches, Secure Third Party Access Still Not An IT Priority

Despite Record Breaches, Secure Third Party Access Still Not An IT Priority

Secure Third Party Access Still Not An IT Priority Research has revealed that third parties cause 63 percent of all data breaches. From HVAC contractors, to IT consultants, to supply chain analysts and beyond, the threats posed by third parties are real and growing. Deloitte, in its Global Survey 2016 of third party risk, reported…

Cloud Security Risks: The Top 8 According To ENISA

Cloud Security Risks: The Top 8 According To ENISA

Cloud Security Risks Does cloud security risks ever bother you? It would be weird if it didn’t. Cloud computing has a lot of benefits, but also a lot of risks if done in the wrong way. So what are the most important risks? The European Network Information Security Agency did extensive research on that, and…

Three Tips To Simplify Governance, Risk and Compliance

Three Tips To Simplify Governance, Risk and Compliance

Governance, Risk and Compliance Businesses are under pressure to deliver against a backdrop of evolving regulations and security threats. In the face of such challenges they strive to perform better, be leaner, cut costs and be more efficient. Effective governance, risk and compliance (GRC) can help preserve the business’ corporate integrity and protect the brand,…

Disaster Recovery – A Thing Of The Past!

Disaster Recovery – A Thing Of The Past!

Disaster Recovery  Ok, ok – I understand most of you are saying disaster recovery (DR) is still a critical aspect of running any type of operations. After all – we need to secure our future operations in case of disaster. Sure – that is still the case but things are changing – fast. There are…

Technology Influencer in Chief: 5 Steps to Success for Today’s CMOs

Technology Influencer in Chief: 5 Steps to Success for Today’s CMOs

Success for Today’s CMOs Being a CMO is an exhilarating experience – it’s a lot like running a triathlon and then following it with a base jump. Not only do you play an active role in building a company and brand, but the decisions you make have direct impact on the company’s business outcomes for…

The Security Gap: What Is Your Core Strength?

The Security Gap: What Is Your Core Strength?

The Security Gap You’re out of your mind if you think blocking access to file sharing services is filling a security gap. You’re out of your mind if you think making people jump through hoops like Citrix and VPNs to get at content is secure. You’re out of your mind if you think putting your…

2017 Brings DLP Technology and IoT’s Weaknesses to Light

2017 Brings DLP Technology and IoT’s Weaknesses to Light

DLP Technology In regards to data loss prevention (DLP), in the last five years many companies rushed to implement DLP solutions without taking the time to first identify the data that should not transit egress points. Most of these rushed implementations have not been successful. Security analysts, in particular 451 Research, have been recommending that…