The Lighter Side Of The Cloud – Due Diligence
The Lighter Side Of The Cloud – Data Breach
The Lighter Side Of The Cloud – Disaster Recovery
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

Lauris Veips

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

Latest posts by Lauris Veips (see all)

2 Responses to Saving Money With The Cloud

  1. I agree that “Companies and governments save a lot of money using the cloud.” but the security issues should not be ignored.

    A recent report “Data Breach: The Cloud Multiplier Effect” by the Ponemon Institute reveals how the risk of a data breach in the cloud is multiplying. 66 percent of respondents say their organization’s use of cloud resources diminishes its ability to protect confidential or sensitive information and 64 percent believe it makes it difficult to secure business-critical applications.

    Ponemon asked “Can a data breach in the cloud result in a larger and more costly incident?” and found that an average data breach cost of $2.37 million it could be as much as $5.32 million if the data is in the cloud. A data breach in the cloud can be 2x more costly.

    The good news is that new cost effective data protection solutions can address this issue.

    Gartner concluded that the “Emerging Technology” defined as “Cloud Data Protection Gateways” provides a “High Benefit Rating” and “offer a way to secure sensitive enterprise data and files stored in SaaS applications”.

    I also read an interesting report from the Aberdeen Group about protecting PII and PCI data. The report revealed that “data tokenization users had 50% fewer security-related incidents (e.g., unauthorized access, data loss or data exposure than tokenization non-users)”.

    Cloud Gateways that tokenize sensitive data looks like a promising approach for cloud security.

    Ulf Mattsson, CTO Protegrity

Popular

Cloud-Based VOIP – 4 Alternatives To Skype

Cloud-Based VOIP – 4 Alternatives To Skype

Cloud-Based VOIP – 4 Alternatives To Skype Skype is the most popular cloud-based VOIP service. Since being bought out by Microsoft for $8.5 billion in 2011 the company has grown to more than 300 million users and now accounts for 34% of all international calls. Some people don’t want to use Skype though. Reports of…

Cloud Infographic – The Internet Of Things In 2020

Cloud Infographic – The Internet Of Things In 2020

The Internet Of Things In 2020 The growing interest in the Internet of Things is amongst us and there is much discussion. Attached is an archived but still relevant infographic by Intel which has produced a memorizing snapshot at how the number of connected devices have exploded since the birth of the Internet and PC.…

Five Reasons SMBs Fear The Cloud

Five Reasons SMBs Fear The Cloud

Five Reasons SMBs Fear the Cloud Fear of the cloud has been around since the Cloud began. SMBs were traditionally afraid of security issues, while large companies fretted about increasing the complexity of their IT infrastructure. What many budding start-up companies don’t realise is Cloud Computing helps place them on a level playing field with…

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…

The Global Rise of Cloud Computing

The Global Rise of Cloud Computing

The Global Rise of Cloud Computing Despite the rapid growth of cloud computing, the cloud still commands a small portion of overall enterprise IT spending. Estimates I’ve seen put the percentage between 5% and 10% of the slightly more than $2 trillion (not including telco) spent worldwide in 2014 on enterprise IT. Yet growth projections…

Recent

Thinking About Doing Business In China? Consider This…

Thinking About Doing Business In China? Consider This…

Doing Business in China? Consider This…  China’s economy continues to outperform both regional and global markets with double-digit growth for the last decade. IDC believes China’s GDP will maintain growth around 7.2% until 2020, allowing GDP to reach US$18 trillion or 17% of the world total. And with a population of over 1.35 billion people,…

Big Tech Trends For The 21st Century

Big Tech Trends For The 21st Century

Tech Trends For The 21st Century When the historians of the future look back on the 21st century, what will they say? Inevitably, the biggest stories in the coming century will be political and environmental – wars, revolutions, and natural disasters always dominate historical memory. But perhaps more than any previous epoch, the 21st century…

The Lighter Side Of The Cloud – Inferiority Complex

The Lighter Side Of The Cloud – Inferiority Complex

By Al Johnson Are you looking to supercharge your Newsletter, Powerpoint presentation, Social media campaign or Website? Our universally recognized tech related comics can help you. Contact us for information on our commercial licensing rates. About Latest Posts Lauris VeipsLauris Veips is a freelance writer, hailing from cold and distant Latvia. A cloud enthusiast and…

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…

Contact Us

Contact Us
Sending
cisco_logo_100x100 vmware citrix100
Site 24x7 200px-KPMG


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