Choosing to migrate to the cloud not only has technology benefits, but it also provides compelling business advantages.
Companies are increasingly under pressure to do more, while spending less and the cloud enables organisations to do just that. If not through the elimination of redundant hardware but through the ability for users to pay only for the resources they are using.
1) Lower power costs
With the cloud, the service provider only charges you for the resources that you use. If you were managing your own data centre facility you would have to pay for powering all the servers, even if they were not being fully utilised. This particularly applies to disaster recovery solutions, where typically redundant hardware would have to be powered on and available at all times in case of an emergency. Idle servers waste energy, so by eliminating redundant hardware you are immediately paying less.
2) Lower maintenance costs
The IT staff budget is usually the biggest expense, but with cloud computing, some of the service fee you pay, goes towards the provider’s staffing costs. This fee will be a much smaller amount than it would cost for you to hire someone to maintain your internal data centre.
Having your systems maintained by the service provider also frees up the time for your existing staff to focus on other internal projects.
3) No capital expenditure
When you rent space on a server you have no upfront capital costs, the financial investment of purchasing and running the server belongs to the cloud provider. This capital can now be invested back into the business in other ways.