Advantages of Cloud Computing
Cloud computing relies on sharing of resources to achieve coherence and economies of scale similar to an utility (like the electricity grid) over a network. At the foundation of cloud computing is the broader concept of converged infrastructure and shared services.
The cloud also focuses on maximizing the effectiveness of the shared resources. Cloud resources are usually not only shared by multiple users but as well as dynamically re-allocated as per demand. This can work for allocating resources to users in different time zones. For example, a cloud computer facility which serves European users during European business hours with a specific application (eg. email) while the same resources are getting reallocated and serve North American users during North America's business hours with another application (eg. web server). This approach should maximize the use of computing powers thus reducing environmental damage as well, since less power, air conditioning, rackspace, and so on, is required for the same functions.
The term moving cloud also refers to an organization moving away from a traditional capex model (buy the dedicated hardware and depreciate it over a period of time) to the opex model (use a shared cloud infrastructure and pay as you use it)
Proponents claim that cloud computing allows companies to avoid upfront infrastructure costs, and focus on projects that differentiate their businesses instead of infrastructure. Proponents also claim that cloud computing allows enterprises to get their applications up and running faster, with improved manageability and less maintenance, and enables IT to more rapidly adjust resources to meet fluctuating and unpredictable business demand.
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