Why Companies Should Consider Cloud Computing

Daily Herald (Arlington Heights, IL), June 15, 2012 | Go to article overview

Why Companies Should Consider Cloud Computing


Byline: Paul Leonhardt

In the last few years, there has been a big buzzword in the IT field: cloud computing. In reality, it has been around since the 1990s. Like many technologies, it can take years to be realized.

History repeating

Cloud computing is following a path similar to how electricity evolved during the Industrial Revolution, when every company had to manufacture its own power in order to create their products. While this was a very necessary function, it was also extremely expensive. Over time, power companies were formed, and businesses were able to pay for their power usage instead of continuing to generate their own power.

Two hundred years later, cloud computing is becoming a commodity just like electricity. Businesses do not have to purchase, maintain, repair and replace their own servers anymore. Computing power can be purchased and scaled up or down as needed, saving your business money.

What does that really mean to my business?

Cloud computing technology can provide several benefits, including:

1. Transition IT costs from traditional Cap-Ex (Capital Expenditures) to Op-Ex (Operational Expenditures).

2. Shift the risk for businesses to maintain their servers to the hosting provider.

3. Provide built-in disaster recovery and business continuity.

4. Servers in the cloud are kept in data centers with redundant Internet connections, 24/7 monitoring, and backup power that most businesses cannot afford to implement themselves.

5. Allow employees to freely use any device, from anywhere, at anytime to access company information, making traveling users and multi-location businesses more efficient.

6. Save on licensing and equipment costs by only paying for what is used.

Too good to be true? …

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