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While most business owners have heard or read about cloud computing by now, it is still a new enough part of the IT world that many of these owners haven’t had time to investigate what it means to their own business. In the simplest terms, the IT cloud has come into existence because of three factors:
1. Lightening fast and inexpensive global communications
2. Computers that continue to decrease in cost and increase in power
3. Creation of modern cloud-capable data centers
These elements allow companies to purchase all the computing power they want on a scalable basis without building large IT infrastructures within their own companies. Instead of continually adding and upgrading servers, it is possible to simply increase the level of services to which you subscribe and use as a remote customer.
The Impact of the Cloud
As the power and flexibility of the cloud continues to grow, it is increasingly reshaping how businesses view and use IT services. Even colleges and universities are racing to update their popular computer science degrees, such as the NJIT Masters Degree in Networking, to reflect the new world of cloud computing.
There are several examples of how these changes are opening new opportunities and introducing new challenges for a growing business. It has become essential for owners and managers of these companies to take the time to understand how their market is being affected by the cloud. They can be assured that their more aggressive competitors are engaged in such an analysis.
Just a few of these examples include:
Perhaps the most immediate impact for many growing businesses is the concept of SaaS. Instead of buying a software application and continually outgrowing it, as well as dealing with constant updates and maintenance, companies simply “lease a seat” and use the application online. You can add or drop users easily.
Local networks and hardware
Internal networks have become increasingly important to businesses over the past two decades. They are also expensive and require constant support from IT personnel. A remotely supported network in the cloud dramatically changes this paradigm.