What is Cloud Computing?
Cloud computing is the Internet-based delivery of various services. Tools and applications such as data storage, servers, databases, networking, and software are included among these resources.
Instead of storing files on a proprietary hard drive or local storage device, cloud-based storage enables their storage in a remote location. As long as an electronic device has Internet connectivity, it can access the necessary data and software programs.
People and businesses favor cloud computing for various reasons, including cost savings, increased productivity, speed, efficiency, performance, and security.
A cloud can be either public or private. A public cloud provides services to all Internet users. A private cloud is a proprietary network or data center that supplies hosted services to a limited number of users based on their access and permission settings. The objective of cloud computing, whether private or public, is to give simple, scalable access to computer resources and IT services.
Cloud infrastructure comprises the necessary hardware and software components for implementing a cloud computing architecture. Cloud computing is also known as utility computing and computing on demand.
Why Business Needs Cloud Computing?
According to Forrester, 47% of global organizations will use cloud services by the end of 2020. And by 2022, the global public cloud services market is expected to reach $266 billion, up from $180 billion in 2019.
So, what's driving this tremendous growth?
There are many reasons businesses are making the switch to cloud computing. Here are just a few of the benefits:
Cost savings: The most obvious benefit of cloud computing is that it can save your business money. Cloud services are typically priced on a pay-as-you-go basis, so you only pay for what you use. This can be a significant advantage over traditional on-premises software, which often requires a significant up-front investment.
Flexibility and scalability: Cloud computing is also highly scalable. This means that you can easily adjust your use of cloud resources to match changing business needs. For example, if your business is experiencing a surge in demand, you can quickly scale up your cloud resources to meet the increased demand. Similarly, you can scale back your use of resources when demand is lower, which can help save money.
Improved collaboration and productivity: Cloud computing can also improve collaboration and productivity within your organization. For example, your employees can easily access and share documents from any location with cloud-based document sharing. This can help them work more efficiently and improve communication.
What's more, cloud-based productivity tools like Google Apps can help your team stay organized and on track.
Increased security: Many businesses are reluctant to move to the cloud because of security concerns. However, the reality is that the cloud can offer improved safety. Cloud providers invest heavily in security and have experts devoted to keeping their data safe.
Amazon Web Services
Amazon Web Services (AWS) is a secure cloud services platform offering computing power, database storage, content delivery, and other functionality to help businesses scale and grow.
AWS offers global cloud-based products, including computing, storage, databases, analytics, networking, mobile, developer tools, management tools, IoT, security, and enterprise applications. These services help organizations move faster, lower IT costs, and scale.
Applications that run on AWS are stored in Amazon S3 and delivered using Amazon CloudFront, a global content delivery network (CDN).
Some of the most popular Amazon Web Services products include:
Amazon EC2: Amazon Elastic Compute Cloud (Amazon EC2) is a web service that provides secure, resizable compute capacity in the cloud. It is designed to make web-scale cloud computing easier for developers. Amazon EC2 offers various instance types with different computing, memory, and storage capabilities.
Amazon S3: Amazon Simple Storage Service (Amazon S3) is an object storage service that offers industry-leading scalability, data availability, security, and performance.
Amazon CloudFront: Amazon CloudFront is a fast content delivery network (CDN) service that securely delivers data, videos, applications, and APIs to customers globally with low latency and high transfer speeds, all within a developer-friendly environment.
Market share of different cloud computing providers
In recent years, the market share of the cloud has exploded. The market for cloud computing has expanded rapidly to encompass a wide range of complicated technology, products, engineering, and customer services.
As a result, it spawns a multibillion-dollar industry in which several cloud computing businesses strive to increase their cloud market share.
1. Cloud Market Leader: Amazon Web Services (AWS)
Statista reports that Amazon Web Services holds 34% of the global IaaS+PaaS+SaaS cloud market. Thus, Amazon Web Services led the market in Q1 2022. Statista reported $18.5 billion in cloud computing and hosting revenue for AWS in Q1 2022.
2. Cloud Market Share: Microsoft Azure
Microsoft Azure has a 21% market share and 50% revenue growth over the previous quarter. Compared to the 46% analysts predicted. Azure's Intelligent Cloud services grew 26% to $20.9 billion, including servers and cloud services.
3. Cloud market share: Google Cloud Platform (GCP)
Google Cloud has a 10% cloud market share and $6.3 billion in second-quarter 2022 sales. 35% year-over-year growth is outstanding. Google cloud also contains Google Workspace.
Alphabet, Google's parent company, made $69.7 billion. It includes all Google search and other advertising operations, including YouTube's $7.4 billion and Google's $8.3 billion advertising network.
4. Cloud market share- Alibaba
According to Parkmycloud, Alibaba has a 5% public cloud market share and produced USD 11.7 billion worldwide in 2022, a 23% year-over-year increase. Alibaba also attributed the quarter's slower revenue growth to top cloud customers' payment declines.
This Alibaba cloud customer has an extensive global reach. It terminated the contract exclusively for its foreign company owing to non-product-related obligations. Alibaba thinks cloud computing will diversify its consumers so much that a single customer won't influence them substantially.
NYT (New York Time)
The New York Times is a well-known newspaper that has been around since 1851.
The company has been delivering newspapers to homes since 1979, but their old system was making costs go up. The NY Times hired CIS to take care of billing, client accounts, logistics, the product catalog, pricing, and financial reporting.
The newspaper tried to digitize home delivery from 2006 to 2009, but it didn't work. In 2017, the CIS system was completely moved to global cloud computing, and it got a new name: Aristo.
Aristo is now part of the New York Times' digital subscription platform. Each subscription brings in more than $500 million, and in the first year, the platform handled 6.5 million transactions.
When the old system was used in 2015, the company's operating costs were 70% higher than they are now.
Netflix, which lets people watch movies and TV shows online, has 193 million subscribers in more than 190 countries. Netflix began as a place to buy movies.
In 1997, the company let people rent and buy DVDs online in the US. In 2008, problems with shipping forced a 7-year change to the cloud. After moving to cloud computing, Netflix made its streaming platform available to millions of people around the world.
Future of Cloud Computing
Companies that moved to the cloud got a digital presence, saved money, and grew a lot, as you can see.
The cloud speeds up deployment, innovation, security, cost, growth, and visibility around the world. The future of cloud computing It has no limits. Cloud computing is necessary for growth.