The Benefits of Cloud Computing
In the setting of commercial enterprise software applications, the readily available software have generally been very complicated and overpriced. They call for a corporation in Ellison Bay to invest heavily on capital expenditure to construct an in-house data center with offices, temperature controls, electrical power, dedicated servers, storage disks, and network bandwidth. Along with all this pricey computing equipment is the need for a complicated software stack for the program. Even after the software has been written, you will also need a staff of professionals to set up, configure, and execute the software. But that was before the development of cloud computing.
An easy instance of cloud computing is email provided without software set up from providers such as Microsoft's Hotmail or Google's Gmail. You don't need to install any software or purchase a centralized server to be able to use them. All an organization needs is just an internet connection so the users can start sending emails. The server and email administration software is entirely on the cloud and is fully handled by the cloud service supplier such as Microsoft, Yahoo, or Google. The client will get the use of the software and enjoy the benefits.
Cloud computing is so reliable and inexpensive that a much respected investment research newsletter has recently called it the "$59 computer." Needless to say there is not really an actual product called the $59 computer -- it is simply a general term to refer to the basic idea of cloud computing being so cheap that using it can reduce your company's computing expenses to the level where your total expenditures would be analogous to paying just $59 per computer end user.
One crucial point that numerous IT departments neglect or underestimate is the T1 Line Service requirements for supporting cloud computing. In a recent report, the chief information officer of a insurance firm said he had to increase the company's network power by a factor of five when they moved to another vendor's cloud computing product. This is not a rule of thumb for everyone, but it's a good example of what one organization had to do. If you are planning to switch to a cloud computing strategy, do yourself a big favor by initially talking about your bandwidth needs with an independent T1 line consultant who can give you all your available alternatives such as Gigabit Ethernet service.