7 Reasons Cloud Computing Is Fed By The Bad Economy - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

06:28 PM

7 Reasons Cloud Computing Is Fed By The Bad Economy

Cloud computing is everywhere these days, with talk of it saving businesses money and streamlining their equipment. And now one company explains how the recession is feeding cloud computing.

Cloud computing is everywhere these days, with talk of it saving businesses money and streamlining their equipment. And now one company explains how the recession is feeding cloud computing.Cloud computing emerged in 2008 as a viable alternative to software and hardware. And it's expected to continue to be incorporated into more businesses in 2009 as they look for ways to save money. That's because cloud computing allows you to reduce the costs of equipment, software licensing, energy, and IT.

Southern California-based 3Tera, Inc. is a vendor of cloud computing technology and utility computing services, and it's come up with seven reasons the down economy is feeding cloud computing:

  1. Lower up-front costs. Instead of buying hardware and software and paying consultants to set up and run applications, businesses can pay a cloud-based provider "by the drink."
  2. Faster time to market. Cloud computing allows the ability to deploy and scale your app in hours without changing code, ultimately enabling companies to see profits sooner.
  3. Reduced financial risk. Instead of taking on the entire financial risk up-front, with uncertain return, a company's financial risk is taken monthly and matched to return.
  4. Lower capital expenses. The cloud computing model leverages commodity hardware and eliminates unnecessary overprovisioning, allowing a utility pricing model.
  5. Lower operating expenses. Administrators are freed from tedious manual provisioning and management of servers, so application operations are streamlined.
  6. Decreased downtime and costly delays. Cloud computing provides the ability to add capabilities quickly without investing in new hardware or having uncertainty of data loss and downtime.
  7. Additional services. Services include more security, redundancy, bandwidth, and dedicated expert staff than most small and midsize businesses can afford on their own.

And who makes all this cloud computing happen? The ManeyDigital blog lists its 2008 cloud computing all-stars:

  • Jeff Barr of Amazon.
  • Michael Sheehan of GoGrid.
  • Reuven Choen of Enomaly.
  • Sam Charrington of Appistry.
  • Chris Gladwin of Cleversafe.

Click here to see ManeyDigital's reasons behind his choices. And check out the IT Management and Cloud Blog for its first Cloudies Awards, which, among all the "Cloud Heroes" and "Best Cloud Vendors" includes a nod to the "Worst Cloud CTO."

More From bMighty:

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
2020 State of DevOps Report
2020 State of DevOps Report
Download this report today to learn more about the key tools and technologies being utilized, and how organizations deal with the cultural and process changes that DevOps brings. The report also examines the barriers organizations face, as well as the rewards from DevOps including faster application delivery, higher quality products, and quicker recovery from errors in production.
The State of Chatbots: Pandemic Edition
Jessica Davis, Senior Editor, Enterprise Apps,  9/10/2020
Deloitte on Cloud, the Edge, and Enterprise Expectations
Joao-Pierre S. Ruth, Senior Writer,  9/14/2020
Data Science: How the Pandemic Has Affected 10 Popular Jobs
Cynthia Harvey, Freelance Journalist, InformationWeek,  9/9/2020
Register for InformationWeek Newsletters
Current Issue
IT Automation Transforms Network Management
In this special report we will examine the layers of automation and orchestration in IT operations, and how they can provide high availability and greater scale for modern applications and business demands.
White Papers
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Sponsored Video
Flash Poll