The Case for Cloud Computing
In the environment of business software programs, the existing software have typically been very involved and costly. They require a business in Pond Creek to spend heavily on capital expenditure to establish an in-house data center with offices, environmental controls, electrical power, dedicated servers, storage disks, and network bandwidth. On top of all this costly infrastructure is the need for a complex software stack for the program. After the software has been implemented, you will also must have a team of experts to install, manage, and run the software. But that was before the introduction of cloud computing.
Cloud computing is a technological innovation that works by using the internet and centralized off-site servers to manage data and applications. Cloud computing allows clients and businesses to use applications with no set up and access their private files at any computer with internet access. This innovation permits considerably more economical computing by using common hard drives, memory, processing, and bandwidth.
Cloud computing is so efficient and cost-competitive that a highly admired investment research bulletin has recently dubbed it the "$59 computer." Needless to say there is not in fact an actual piece of hardware called the $59 computer -- it is merely a general term to refer to the general idea of cloud computing being so cheap that using it can reduce your company's computing costs to the level where your overall expenditures would be equivalent to spending just $59 per computer end user.
One crucial issue that many IT departments overlook or miscalculate is the T1 Line Internet demands for supporting cloud computing. In a recent report, the chief information officer of a insurance company said he had to increase the company's network power by a factor of five when they switched to another vendor's cloud computing solution. This is not a guideline for every person, but it's a great example of what a single organization implemented. If you are preparing to migrate to a cloud computing solution, do yourself a big favor by initially talking about your bandwidth needs with an independent T1 line consultant who can provide you all your available options such as 10 Gig Ethernet service.
