What is Cloud Computing?
- Mike Barratt

- Apr 30, 2024
- 3 min read
Updated: Nov 20, 2024
Cloud computing isn’t exactly new, but the term has become widely used since 2006, when Amazon launched Amazon Web Services (AWS). Google followed in 2008, and Microsoft began in 2010 with the Azure platform. But what exactly is cloud computing?
Cloud computing refers to providing and delivering IT-based resources over the internet. This provides users with a pool of shared IT resources, such as servers, storage, networking, software, and applications, so instead of having these devices on-premises (say, in a datacentre or a server room managed by the business), these are hosted in vendor managed facilities that are located across the world. Some people say that “the cloud” is “just someone else’s server,” and that’s partially true, but it often changes the way businesses operate and helps them be more agile, which we’ll cover later.
Cloud computing platforms often have the following key characteristics:
Self-Service
Usually, this is on-demand and automated via a web portal or application programming interface (API). For example, someone can create cloud computing resources such as virtual servers or databases at any time by providing credit card details without the need to speak to another person.
Wide Network Access
Cloud services are accessed over the internet, allowing people to access applications and resources from anywhere, at any time.
Elasticity
Resources can be scaled up and down to meet demand. This isn’t always as simple as it sounds on paper depending on what you’ve provisioned, but as an example, say you had an application running on a virtual server in the cloud and the server needed more memory due to increased demand. It’s often a simple step to add more memory using a cloud platform and does not involve things such as procuring new physical hardware that can take time.
Pooling
The cloud providers have a large pool of resources to serve multiple users, optimising their utilisation.
Pay-per-Use Billing
Cloud usage is typically metered and billed based on consumption, allowing users to pay for what they use. However, this can introduce new challenges, as it's very easy to over-consume resources if sufficient restrictions and monitoring aren’t in place. The last thing you want is a large, unexpected bill.
Types of Cloud Service
At a high level, there are three core types of services that are designed to accommodate a variety of use cases and needs.
Infrastructure-as-a-Service (IaaS)
This service provides virtual computing resources such as virtual machines, storage, and networks. Suppose you’re used to ‘traditional’ virtualisation platforms such as VMware vSphere, Microsoft Hyper-V and Nutanix (etc.). In that case, this is similar, with the exception that the underlying resources are entirely managed by the cloud vendor.
Platform-as-a-Service (PaaS)
This service offers a platform for developers to develop, test and deploy applications.
Software-as-a-Service (SaaS)
This service is designed to deliver applications over the internet on a subscription-based model. Services such as Microsoft 365 and Google Gmail for email and office productivity fit into this category.
Summary
Cloud computing gives businesses and IT departments more options when deploying new IT applications and services. As the business world moves more and more to using fast-changing digital technologies, using these platforms helps them stay agile and competitive, but that’s not to say that we think every business application needs to be cloud-based. As with anything in life, there are many pros and cons to consider, and using cloud computing services successfully often requires changes to existing business processes, too.
For further insights, you may find our article What are the pros and cons of Cloud Computing? helpful.
At Vorago IT, we believe in the simplest and best option for any particular use case. If you’re interested in using cloud services for your business or want to know about some of the pros and cons, then please get in touch. We’ll be posting more on the types of cloud services and the pros and cons in future articles, so stay tuned.






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