Benefits of Cloud Computing

If you think perhaps you could benefit from using cloud computing – but you’re not sure – then you need to read this page!

I’m often called upon to help explain these benefits, so I’ve put together this little site as a reference and reminder.

Why? Because my clients tend to use a lot of long words and jargon, confusing everybody including themselves!

OK, so first a quickie over-view…

 

What is Cloud Computing?

I have helped dozens of software companies offering online services and even some of them are confused and call themselves “cloud based” when technically they are “software as a service (SaaS).

Here’s what cloud computing is not:

  • It is not merely software hosted remotely
  • The Internet and a cloud are not the same thing
  • Software as a Service, or ‘SaaS is not (necessarily) the same thing

Cloud computing is more about the computing than any software, i.e. it’s about computing power as a service.

Any software supplied is simply to facilitate your use of their computers. That’s the technical cloud computing definition, which could also be expressed as:

You’re outsourcing your computing requirements to people with the skills and capital investment for providing faster, higher capacity and more reliable computing than you can.

For most providers it’s also true that you only pay for the capacity you use and need, yet your provider can supply a lot more for any sudden or unexpected surges in demand.

Most people talk a lot about the cost savings of not paying for what you’re not using. Personally I think the fact you’re not paying for all that back-up redundancy is the more important part of the value of cloud computing!

The buzzword is “scalable”.

It’s priced less because it’s pay as you go but for peace of mind it’s literally priceless.

The benefits of cloud computing are more than just cost savings though…

 

The Cloud Computing Benefits

 

World Class Power…

…for pennies!

Ever noticed when you’re dealing with a really big company online that their website is quick and responsive, while their downloads are really fast?

YOUR company, big or small, can have that same kind of power.

What about storage?

Oh yes…

Super Storage

Quick, think of the hard drive in your PC or Mac?

I’m guessing you’re not thinking of its silvery color, the green circuit boards or funny whirring noises – you’re thinking storage capacity.

That’s the stuff that matters, right?

So how do you fancy “unlimited”?

Without Capital Investment?

 

Cloud computing - not an actual photo

I try hard to follow the Rule of Wealth (RoW) which is to ensure you invest in assets rather than buying liabilities. However it is usually a falsehood for most companies to think of their computing hardware as an asset.

Enterprise-level computing facilities cost a lot of money, they rapidly deteriorate – despite expensive on-going costs – and have little resale value.

In short such things are certainly investments but NOT assets, so why blow your capital on them?

Besides, cloud computing is…

Cheap(er) to Run

You may have to sift through the numbers to see it, then it soon becomes obvious; one of the major benefits of cloud computing is it’s cheaper over the long run!

Servers (a fancy name for computers) cost a fair bit to run just for the electrical energy. Yes, modern machines are “efficient” yet they still suck up energy and produce considerable heat.

Before you go thinking that could cut your heating bills (!) bear in mind computers need cool and stable conditions. Sudden changes in temperature, such as opening a door, can play havoc with condensation, uneven heat expansion (warping) etc.

Yep, data loss.

Then you have to think of physical security.

Once you factor in aspects such as climate-controlled and physically secure premises, well the costs soon add up – and that’s before you consider the full-time experts on your payroll!

Hiring real experts means 99% of the time they’re sitting around being expensively idle or “updating” stuff but cloud computing is…

Always Up to Date

Another issue is how quickly both software and hardware become out of date. You might not realize how big an issue that is; for example many websites were crippled when their hosting providers stopped allowing earlier and insecure database software such as mysql4

Keeping up to date in the computing world isn’t about keeping up with the Joneses, it’s about ensuring compatibility! It also makes repairs (or upgrades) a heck of a lot easier.

Talking of which…

…and Very Easy!

Just how hard is it to set up a bunch of interlinked servers, complete with all the hassles such as firewalls, authentication, long stringy cable thingies and… well who cares about that stuff? With cloud computing someone else does all that for you!

They’re usually smart cookies too, because…

It Does Take Skill

You know that go-to guy in your favorite IT department?

Cloud computing specialists are just that, specialists. They’re the kind of people that your go-to guy goes to when HE gets stuck!

Now imagine not having to go anywhere, because an entire TEAM of these people are giving your system the kind of warm hugs and affection it desperately deserves – because it’s their system too.

Motivated, see?

It also means you’re not paying through the nose for all this serious expertise just for stuff that can be easily…

Automated!

Backups, updates, defragmentation, all that stuff? Done for you.

Not to mention it’s all very…

Flexible!

Cloud computing allows for rapid changes of plan, which can be virtually impossible if you’ve already sunk capital into an existing system.

However one of the best benefits of cloud computing’s flexibility is…

Disaster Resiliency

Earthquakes, volcanoes, planet-destroying asteroids, NOTHING can bring your system down!

Well, 99.9% of the time anyway, because automated fail-safes re-route your data, just like the Internet itself. Sometimes things can still go wrong, like Amazon’s famous failure (F2?) but it’s extremely rare and the cloud is generally much, much more robust than anything you or your company can provide privately.

Of course if you really do have to get out of Dodge it’s good to know your entire IT department can be…

Mobile Too

Any time, any place, get yourself online and you’re already there.

If you’re already using Yahoo Mail or Gmail or anything similar then you’re already using a form of cloud computing, so I don’t need to explain those benefits, right?

But…

 

Common Objections to Cloud Computing

Suppose you can’t access the Internet?

Suppose the company goes broke, or racks their prices sky high, or…

I can list 100 different benefits of cloud computing but that doesn’t necessarily answer the objections, so let’s look at the 4 most common:

Suppose I/we can’t access the Internet?

That certainly would be a horrible problem but does it really affect you?

Statistically the most common reason you lose your internet connection is because you’ve lost electrical power, which would also knock out a local non-cloud system, true?

The Internet was literally designed to withstand a nuclear strike. It’s incredibly resilient and usually comes back again after a short delay. When you compare that to the failure risks of running your own hot hard drives, backup power systems and so on, you’ll probably find your internet connection actually has less downtime than your private hardware!

Let me put it this way, which would spoil your day worse, losing your net connection for 3 hours – or your C: drive seizing up?

Suppose My Cloud Supplier Goes Broke and Closes Down?

Ouch!

Realistically though you’d probably have plenty of warning and time to make up-to-date backups.

If your data is in cloud-ready formats, such as simple HTML, it’s also very easy to upload to a new supplier. Talking of which…

Suppose My Cloud Supplier Dramatically Increases Their Fees?

That would also be painful but it’s a bit like asking “Suppose MacDonald’s started charging $50 for a burger?”

No, there’s nothing stopping them from doing that – apart from the desire to stay in business!

Some simple backups and being careful what you sign should be enough for peace of mind. The idea is to outsource your computing power, not your common sense…

They’ll be Able to Access Our Data!

This IS a serious concern, mostly for companies in Europe, as privacy laws can make you liable for data revealed.

There is of course one perfect failsafe – encrypt your data before it goes up into the clouds.

I can tell you one thing though, after years of working in the advertising industry I’ve seen vastly more paranoia than I’ve ever seen abuse of “secrets”.

Don’t be that guy that asks me to write their sales copy but doesn’t want me to reveal the features or prices “In case the competition find out”!

Your success is about the implementation, not the inspiration.

 

The Bottom Line

The benefits of cloud computing are many, the few downsides are barely relevant and I leave you with this thought – your competition almost certainly will make use of cloud computing.

Why give them such an edge?