Cloud computing benefits businesses through allowing them to save money on not having to buy and update their own computing infrastructure. As the name suggests, cloud computing is a nebulous system, here is our guide on how to navigate cloud computing:
- What is cloud computing?
- How does cloud computing work?
- Types of cloud computing
- How cloud computing saves money
1. What is cloud computing?
Firstly, what is cloud computing? The term ‘cloud’ is often thrown around these days, but essentially ‘the cloud’ is a metaphor for the internet as a whole. Cloud computing is often defined as “the on-demand delivery of IT resources over the Internet with pay-as-you-go pricing.” This on-demand service is used by a variety of industries, whether they are big or small, and has a number of uses, such as data storage, accessing software, email, and many more.
2. How does cloud computing work?
Cloud computing allows people and businesses to rent access to applications, services, and storage through a cloud service provider. One of the main benefits of cloud computing is that it is not a hard drive, meaning you can access your files, applications, and other storage that are saved on the cloud from any device, making cloud computing very accessible.
How this process works is that everything is run by a front-end and backend. The front-end is responsible for enabling users to access their data that is stored on the cloud through internet access or cloud computing software. The backend is then responsible for securely storing your data on the cloud itself.

3. Types of cloud computing
There are three types of cloud computing: Infrastructure as a Service (IaaS), Platform as a Service (PaaS), and Software as a Service (SaaS).
Infrastructure as a Service (IaaS)
IaaS is the most common type of cloud computing system as it most closely replicates the cloud, offering users virtual servers and data storage. IaaS gives its users the highest flexibility out of all the services making it optimal for small businesses. However, maintenance such as patching and server backups are required which will take time away from your business.
Platform as a Service (PaaS)
PaaS allows users to develop their own applications, it is built using components that are fully tested and secure so you can create bespoke applications. In turn, this allows businesses to be more time efficient as multiple users can work on a large project all at once. This type of system also does not need high maintenance, such as patching and capacity planning, which also saves on time.
Software as a Service (SaaS)
SaaS systems are run by the service provider typically over the internet, which is ideal for any short-term project as they will maintain the infrastructure, and it is most beneficial for applications that need a large amount of web or mobile access. Examples of this system would be: Canva, Office 365, and Google G-suite. With this type of system you must beware of subscription charges mounting up, subscriptions keep costs low but extra charges could be added on or incurred.
4. How cloud computing saves money
One of the main and most beneficial elements of cloud computing is its cost efficiency. These are the reasons why cloud computing saves money:
- Most cloud computing service providers operate on a pay-as-you-go basis which makes the service as in-expensive as you would like and means you are only paying for what you and your business specifically need.
- Using remote servers saves money from not having to physically buy the infrastructure and simultaneously having to maintain it. Keeping up with server and system updates will take time and money, meaning without the infrastructure and using cloud computing you will also save time as well as money.
There are also other benefits to businesses using cloud computing, such as its flexibility, high performance rate, availability, and security.
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