Academic journal article Manager

The Economic Impact of Cloud Computing Technology on New Business and Employment in Romania

Academic journal article Manager

The Economic Impact of Cloud Computing Technology on New Business and Employment in Romania

Article excerpt

Due to the current global economic sit- uation, all the companies are now involved in searching effective ways of improving ef- ficiency and profitability (C. Christauskas and R. Miseviciene, 2012). Many research- ers like Gatautis et al., 2009, Melnikas, 2008, Zavadskas et al., 2010 and C. Christauskas and R. Miseviciene, 2012 claim that the dig- ital technologies are used to improve the decision making process for businesses. As shown by the recently published studies, the latest trend in information technology is "cloud computing".

Expert Group (2012) considers that the responsibility for the confusion regarding the definition and the characteristics of the "cloud computing" concept, lies with both the high number of existing cloud provid- ers that promise different capabilities and the fact that terminology used and the frame- work of the cloud coincide with other fields, such as, Data Centre Clusters, Grids, High Performance Computing and Web Services as well.

Moreover, Expert Group (2012) sup- ports the idea of establishing a common defi- nition for the cloud which would separate the concept and its characteristics of other fields. In the short term, this would enable a better understanding of the cloud concept and, in the long term, the establishment of recommendations for best practices. The current definitions of this concept reflect, in particular, the current status and capabilities without highlighting the long-term essential characteristics or their full potential in vari- ous fields.

As Expert Group (2012) has stated, we can see that most definitions related to the "cloud computing" concept describe it as an- other means of providing services, resources or servers on the Internet. In this respect, a suggestive example might be the Oxford Dictionary definition of cloud computing:" the practice of using a network of remote servers hosted on the Internet to store, man- age, and process data, instead of using a local server or a personal computer."

The most famous definition of "cloud computing" is provided by the National Institute for Standards and Technology (NIST) in 2009 and updated in 2011: "CLOUD computing is a model for enabling ubiqui- tous, convenient, on demand network access to a shared pool of configurable computing resources (e.g., networks, servers, storage, applications, and services) that can be rap- idly provisioned and released with minimal management effort or service provider in- teraction. This CLOUD model is composed of five essential characteristics, three service models (Software / Platform / Infrastructure as a Service), and four deployment mod- els, whereas the five characteristics are: on- demand self-service, broad network access, resource pooling, rapid elasticity, and mea- sured service. The deployment models in- clude private, community, public and hybrid CLOUD".

Expert Group (2010) details the modali- ties for providing cloud services, as follows:

a) Infrastructure as a Service (IaaS or Infrastructure as Service) - provides en- hanced virtualization capabilities. Resources may be provided by two types of service interface:

* Date and Storage Clouds: allow re- liable access to data with dynamic potential size, balancing resource access or quality re- quirements defined. (examples: Amazon S3, SQL Azure)

* Compute Clouds: provide access to computing resources. (Examples: Amazon EC2, Zimory, Elastichosts)

b) Platform as a Service (PaaS or Platform as Service) - provides computing re- sources via a platform on which applications and services can be developed and hosted. Examples: Force.com (United States), Google App Engine, Windows Azure.

c) Application as a service (Software as Service or SaaS) - provides implementations of specific business functions and processes are provided with specific cloud capabilities. Example: Google Docs, Salesforce CRM, SAP Business by Design.

The deployment models of cloud archi- tecture are the following:

a) Private cloud - is owned by a private or rented organization. …

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