Why are companies moving to The Cloud?

April 15, 2021

What is the advantage?

The term “the cloud” is synonymous with a lot of things to a lot of people these days, but to the lay person the cloud only recently became part of our daily vernacular. Business however have been aware of the cloud since companies such as Google and Amazon started offering on-demand storage and compute resources beginning around the year 2006.

Fast forward fifteen years and Cloud Computing has given rise to business-critical technologies all being delivered via the XaaS model. AI, Machine Learning, and Deep Learning powered by neural networks have transformed the way companies do business and ushered in the concept of the gig economy.

Cloud computing presents numerous beneficial opportunities for businesses. More companies are migrating to cloud computing to leverage on features such as viewing real-time data and effortless transfer of data.

So, what is Cloud Computing

Cloud Computing is a platform that synchronizes computers and software to bring accessibility, efficiency and reliability in one place. To remain competitive, more companies are shifting to cloud computing.

Traditionally, companies had to employ people who would run software programs on computers or servers installed in a specific premise.

Cloud computing eliminates the need to keep on installing essential software by providing all services online. These services can be accessed anywhere and updates appear instantly.

According to Forbes, the use of cloud computing was expected to grow by 35% in the year 2021. It was thought that more companies would be compelled to simplify their activities and make them faster through the power of the cloud.

But, why are multiple businesses moving to cloud?

  • Enhanced Flexibility

Cloud computing is ideal for firms that are constantly dealing with shifts in demand. With cloud services, scaling up your operations is easy because you only need to call on remote servers.

In a similar way, so is scaling operations down.

This brings competitive advantage, which is key to outdoing your competitors. The operational agility of cloud computing makes it desirable to many companies.

  • Enhanced data safety even during disasters

It is imperative to invest in robust safety systems to ensure that data is protected at all times. But what if the resources needed to access such systems are out of reach?

Small businesses deal with this predicament all year round. Fortunately, cloud computing brings data safety to an affordable level. Furthermore, the recovery solutions are efficient and reliable enough to get operations back to normal in no time.

Simply, cloud computing brings previously unreachable systems within easy grasp.

  • Cloud computing spawns cooperation

A team that is able to access, share and edit useful documents at their convenience is able to work together and achieve concrete results.

Cloud based services such as file distribution applications make it possible to view updates as they happen. This kind of transparency plays a major role in the success of collaborations.

  • Companies are now spending less on capital

Traditional computing require significant investments such as acquiring hardware. Cloud computing eliminates such high costs because you pay for services on a need basis. Most cloud providers run subscription modules that are kind on the budget.

Considering that the service is easy to set up and manage, the venture seems even more appealing.

  • Anything as a Service (XaaS)

There are now literally hundreds of different acronyms to define software being delivered as a service via the cloud. Companies pay for these services typically via subscription models which provide them with the necessary software but eliminates the need to have hardware that needs to be managed. Some familiar terms in the Anything as a Service world are things like PaaS (Platform as a Service), IaaS (Infrastructure as a Service) CCaaS (Contact Center as a Service), and UCaaS (Unified Communications as a Service) to name a few.

The Bottom Line

Let’s face it, the cloud is here to stay. If the Covid-19 pandemic taught us anything about the cloud, it is that companies can no longer afford to rely on premise-based software and services anymore. The number of companies migrating to the cloud as a consequence of the work from anywhere model is staggering. It is estimated that the growth in cloud computing will remain above 30% at least through the year 2025.

Migrating to cloud opens up a new world of technology for every company. Even small businesses get to act as smoothly as bigger companies do.

Cloud applications that are paid for on a need business make it possible for small firms to compete in a market that is already dominated by big corporations. And they still manage to cause disruptions in their nimble and lean form.

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