Cloud computing may only be in its infancy, but it has already exhibited tremendous effects on the business world, the culture of communication (with its social media platform) and, obviously, the world of computing in general. This fast-growing, revolutionary way of computing, in which the network is the computer, has already underscored major developments that have significantly transformed what lies ahead in the future of business, and, subsequently, consumer behavior and the marketplace as a whole.
While it seems the term is a relatively new marketing buzzword, anyone who has used Web-based email, such as Gmail or Yahoo!, or who has purchased travel accommodations online, played an online game, or who has benefited from social networking uses of Facebook, Myspace, or Twitter, has experienced cloud computing. All of the activity, communication, and data of the end user is stored and processed remotely, on the “cloud.” In business, this software solution has greatly benefited internal communications, customer relationship management, sales and marketing initiatives, overall responsiveness in the marketplace, and the time and cost for IT work associated with on-premise software.
Customer relationship management (CRM) is an important aspect of business success, and the advantages of cloud computing have been notably exhibited in this arena. The concept of cloud computing is based on providing a service. While branches have manifested from the fundamental notion of cloud computing—such as SaaS (software as a service), PaaS (platform as a service), and IaaS (infrastructure as a service), among others—the definition of the term has broadened. The essential objective and infrastructure of cloud computing solutions, however, is the same; and from the business model perspective, so, too, are its benefits. Cloud computing provides Web-based software solutions that require little to no software or hardware of the end-user’s computer. An Internet connection and a Web-browser are all that is required for use of the software.
While cloud computing’s contributions to the business world have been tremendous, there are still skeptics who question the reliability and security of these remote clouds. All of a business’s information is stored remotely, which means that legally (contracts will specify) the cloud computing service provider is responsible for all of that company data. Some people are not comfortable with the idea of all of a company’s data being under the “control” of an outside source, and note the possibility of that data becoming lost or damaged, or even hacked. Legally, the service provider would be responsible, should any of the aforementioned occur, but skeptics still say that at the end of the day, the possible losses endured by the business that invested in the cloud computing solution are greater than the solution service providers could be, since such actions could result in the complete destruction of the business.
However, security and reliability should be viewed from the perspective of the capabilities of the cloud computing systems versus the capabilities of internal software systems. Firstly, the infrastructure of cloud computing systems is comprised of machinery and technology—in addition to the far-advanced skills and knowledge of workers—on the cutting edge of technological advancements and not readily accessible to the average business or computer user. The security systems in place have capabilities that surpass those that could be acquired by a business. Therefore, the business has a greater chance of loss handling the company data and software internally. This also applies to security—say, in the prevention of hackers. The hacking of a system is always possible, regardless of system security. A well-built cloud computing system will have less of a chance of being hacked than a company’s internal network. This does not eliminate the possibility of hacking all together, however, such an occurrence could not be faulted solely on a cloud computing infrastructure. Legally, the liability is massive for a cloud computing service provider, which is even more incentive, since it is a business like any other—to build, maintain, and provide systems that are both secure and reliable. The cloud computing service provider does, in fact, have as much vested in maintaining and storing the data as the company, if not more so, since a loss or damage of any data does not only implicate a possible demise of the business to which the service was provided, but to the cloud computing service business as well.
Related posts: