How Can Cloud Computing help SMEs

How Can Cloud Computing help SMEs

How Can Cloud Computing help SMEs

Cloud Computing is an internet based computing based computing where various resources like software, information, storage, processors are shared and provided to computers and other users on demand. It marks a paradigm shift from traditional computing based on mainframes to client server model. User is on one side, abstracted from the details and devoid of control over severs, and the technology infrastructure in form of cloud on other, which supports them as and when need arises. This usually takes form of a remote computer where user with the help of web based tools can access and use through a web browser as it was locally available on his computer.

Thus it not only reduces the cost per terminal for user, but also results in optimal and efficient use of available resources and technologies. Also increased reliability, scalability via dynamic allocation, device and location independence, security due to centralization of data and maintenance costs get better managed and executed. Thus it offers immense opportunities for users as they can opt to pay for what they use, while it opens a new era for corporate also.

Cloud computing has created a buzz in the IT industry and is being hailed as future of computing, where everything will be moved to cloud. It will extend capabilities being offered currently and will change the entire business model of IT industry. According to Frost and Sullivan, the global on-demand software market is expected to grow from the current level of USD 40 million to USD 800 million by 2015, with SMEs fuelling the growth.

Benefits offered by Cloud

Cost: Cost of owning resources greatly reduces and capital expenditure is converted to operational expenditures.

Device and Location Independence: It enables user to access system via web applications and browsers, irrespective of physical location of system. User can connect from anywhere and anytime.

Cloud computing holds great promise for SMEs for its three basic offerings:

1. Services on Demand: Thus SMEs end up paying for what they need and only for quantum they use that service

2. Flexible: SMEs need not worry about future demands or scalability issues. Cloud computing provide them with enough flexibility to adapt according the business needs.

3. Hassle Free Service: Since services are maintained and offered by provider, they can use them without having to worry about maintenance and other issues.

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