The Case for Cloud Computing
In the setting of enterprise software programs, the existing software have in most cases been very complex and costly. They require a corporation in New Orleans to spend deeply on capital expenditure to construct an in-house data center with offices, temperature controls, electrical power, dedicated computers, storage arrays, and network bandwidth. On top of all this costly computing equipment is the requirement for a complicated software stack for the application. After the software has been written, you will also need a staff of experts to set up, configure, and execute the software. But that was before the introduction of cloud computing.
A straightforward instance of cloud computing is email provided without software installation from suppliers such as Microsoft's Hotmail or Google's Gmail. You don't need to set up any software or buy a dedicated server in order to utilize them. All a company needs is just an internet link so the users can begin sending emails. The server and email management software is entirely on the cloud and is totally managed by the cloud service provider such as Microsoft, Yahoo, or Google. The user will get the use of the software and enjoy the advantages.
Cloud computing is so efficient and inexpensive that a much revered financial research bulletin has just dubbed it the "$59 computer." Obviously there is not really an actual product called the $59 computer -- it is simply a generic term to make reference to the general notion of cloud computing being so affordable that using it can decrease your company's computing expenses to the level where your total costs would be like to spending just $59 per computer end user.
One important point that quite a few IT departments ignore or miscalculate is the T1 Line Bandwidth requirements for supporting cloud computing. In one case study, the chief information director of a insurance firm said she had to enhance the company's network capacity by over 500 percent when they moved to one vendor's cloud computing product. This is not a rule of thumb for everyone, but it's a good example of what one company implemented. If you are planning to migrate to a cloud computing solution, do yourself a big favor by initially discussing your bandwidth needs with an independent T1 line consultant who can provide you all your available options such as 10 Gig Ethernet service.
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