Cloud Computing - Economics, Service Model & Challenges

Customer Information is the ultimate form of delivery of computing resources. It runs the convention established in the Internet where clients and servers to interact at a distance and demand. In fact, the work and the revenue model is so similar that can be called "The Internet as a product."

Cloud computing offers services ranging from data storage from end to end computing. You can run SAP application or any relatives, file sharing, video store, run or e-mail clients use the platform to collaborate in real time from anywhere in the world through even the most basic computing devices.

Cloud computing takes the task of infrastructure deployment and makes the technology, software platform or commodity only available as electricity. You pay according to use, and create other costs that when combined, are much less than conventional forms of technology acquisition.

Economics of Cloud Computing

To be free to demand a solution, (cloudcomputing) has the innate ability to adapt to user needs. Following the recession of 2007-2009, when cost reduction became an important part of best business practices, cloud computing offers a new economic model for companies to exploit.

According to IDC's analysis, forecasts for 2013 amounts to 44.2 billion U.S. dollars. The reason for such a new economic order is the flexibility and cost effectiveness offered by cloud computing. Massive investments are being made to concentrate on hardware and architecture is being upgraded to offer global capabilities.

Cloud Computing Service Model

The real attraction of cloud computing is its versatility and adaptability. You can categorize the service provided by cloud computing in three classes:

Software as a Service (SaaS): A software, available upon request and provided by a third party provider, configurable remotely via the Internet. Best examples are the tools of online spreadsheet, processing and delivery of web content services of the word (SalesforceCRM, Google Docs, etc.) and CRM services.

Platform as a Service (PaaS): Allows customers to use the platform to develop new applications using the API, which can be deployed and configured remotely. The platform provides development tools and configuration management. Examples are Microsoft Azure PaaS, strength, and Google App Engine.

Infrastructure as a Service (AAI): This provides hardware abstraction, virtual machines and operating systems, which are controllable through an API service. Examples AAI is AmazonEC2 and S3, Terremark Enterprise Cloud, Windows Live Skydrive and Rackspace Cloud.


As cloud computing is a centralized form of the transaction, the clouds can be easily tracked and attacked. Moreover, as access remains global intrusion control becomes a challenge as well. Although the deployment of safe practices at the ends of the client can check the intrusion, the crowd makes the biggest task.

Another major challenge is the easy access platforms for cloud computing to user data. Moreover, many public cloud computing platforms are not open to audit of its security measures.

Cloud Computing Security Measures

With the danger of attack on the central configurations of clouds, cloud computing providers have responded with a security practice that includes:

* Risk assessment
* Defense in Depth
* Reassessment of cyclical risks
* Innovative Countermeasures

Companies like Microsoft have their cloud systems reviewed and audited for safety. Other practices, such as business continuity and data recovery have been launched for the worst case in which failure or technical problems may hamper the work process or destroy data. The companies now working on cloud computing security are Novell, Ping Identity, TriCipher and Symplified.

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