Understanding Cloud Computing
Updated on 16th Feb, 21 3701 Views

As the world was busy in dealing with one of the most severe recessions of the century, revolution was underway in computing. It was a revolution that was capable of shaking the foundations of how technology is being delivered to all organizations. This revolution was nothing else than cloud computing and structure of the knowledge economy is being reshaped by it.

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What is Cloud Computing?

Cloud computing is heavily used in the corporate environment nowadays for following reasons:

  • Security concern associated with data
  • Concern regarding dependency on services which are controlled by third parties
  • Some organizations will become leaders in the charge while other will lag from the others.

The National Institute of Standards and Technology (NIST) define Cloud Computing as;

“A model for enabling convenient, on-demand network access to a shared pool of configurable computing resources that can be rapidly provisioned and released with minimal management effort or service provider interaction.

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In simple words, it demands running computer/network applications that are present at some other place on other people’s servers with the use of a simple user interface or application format. Still confused?  In layman terms cloud computing can be understood as using other people’s servers for running applications for your own organization remotely.

It is believed that presently, most people are making use of cloud computing. It varies in the way they use the cloud, but everyone is using the cloud. Cloud computing provides plethora of business opportunities to the entrepreneurial businesses in following way:

  • Cost reduction by leveraging cloud computing environment by providing infrastructure and services;
  • Bringing an expanded portfolio of products at a reduced cost to access large complex infrastructure;
  • Expanding services quickly and economically.

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Cloud computing environment is based on service models which can be categorized into three basic service models which are as follow –

Infrastructure-as–a-Service (IaaS)

Platform-as-a-Service (PaaS)

Software-as-a-Service (SaaS)

IaaS It provides access to fundamental resources which include physical machines, virtual machines, virtual storage, etc.
PaaS It provides the runtime environment for applications,  tools for development and deployment, etc.
SaaS This model allows end-users to use software applications as a service.

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But as everything has its own pros and cons. Cloud computing also faces some challenges such as

  • Security and Privacy of organization information
  • Portability of data
  • Computing Performance
  • Reliability and Availability of services provided by third-party.

Two newer module which are added in order to enhance cloud computing technique are

  • Identity-as–a-Service (IDaaS).
  • Network-as-a-Service

Managed AWS and other cloud services is also available by brands having certified cloud engineers.


As the cloud market is still a new technique and major players such as IBM and HP have yet not arrived in full force thus for many organizations in the short term the apparent potential of the cloud might not be sufficient to make the transition to cloud computing. But when we talk about the longer term, cloud computing is increasingly appearing to be a major change in the business landscape. Also the cost benefits of cloud computing services has started gaining acceptance in today’s economy where organizations are highly focused towards addressing financial challenges.

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