One of the buzzwords in IT at the moment is cloud computing. But what is it, how does it affect businesses and what does it mean to you?
What is Cloud Computing?
Put simply, cloud computing represents a new way for businesses to get access to software and services from vendors across the internet using just your web browser. The ‘Cloud’ word comes from the standard diagram symbol used to represent the internet in technical drawings.
The types of services on offer through your web browser include:
- Office applications such as Google Docs, Google Sheets etc...
- CRM and Project Management tools
- Photo and Image Editors
- News and Media services
How does it affect businesses?
The reasoning behind cloud computing is to make systems and services that are usually expensive to invest in and install, much more cost effective and easier to access. Customers do not need to invest in hardware or software licenses. Instead the Cloud service provider will have already made this investment. The advantages are:
- Less cost to you – you are “renting” the use of the software, which is provided as a service by the vendor.
- Less IT support and a shallow learning curve – you are not required to have an IT network or learn how to manage or install software.
- Latest Facilities – You get access to the latest version of the service and generally get free upgrades and options with your packages.
- You pay for what you use – Most vendors provide pricing options that are based on your usage level. Most also charge on a rolling monthly basis.
What do this mean to you?
Cloud computing is a growing phenomenon and is ideally suited to small and medium businesses that want access to professional and useful digital services without investing in IT. All you need is a basic computer and access to the Internet.
There are disadvantages however. Firstly, you can only operate a service when the vendor allows you. If they go offline or decide to shut down their service, you lose access. If your business is dependent on the service then this may add an element of risk.
If you lose access to the Internet (e.g. your broadband goes down) then you cannot access the service. Cloud computing does provide the advantage that you could go to an Internet Cafe or another location and access the service elsewhere.
All you business information involved in the service is stored with the vendor. You have to rely on their security and data protection policies to ensure your information is in safe hands.