What is cloud computing?

Benefits, Models, & Services Explained

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Cloud computing is delivering on-demand computing resources, such as servers, storage, databases, networking, software, analytics, and intelligence, over the Internet (the cloud). Cloud removes the necessity for individuals and businesses to manage physical resources on their own, and they only pay for what they use.

The operational mechanics of cloud computing rely on a vast network to connect users to a cloud platform where they can request and access rented computing services. It works through large networks of remote data centers operated by providers such as Amazon, Microsoft, and Google.

But like any technology, it comes with its own set of benefits and challenges. So, to get the most out of cloud technology, you need to understand the foundations.

Cloud Computing Infrastructure

Cloud Computing Core Concepts

Before diving into further details, it’s helpful to outline the key characteristics that define how cloud computing works:

Virtualization

Virtualization makes cloud computing possible. It allows one physical server to run many virtual servers, which helps providers use hardware more efficiently while keeping each customer’s data private and secure.

On-Demand Self-Service

Self-service allows users to provision computing resources whenever needed, automatically, without relying on IT administrators.

For example, a software developer who needs a new server to test an app can log into a cloud service's website and create a virtual server in minutes. This can be done anytime, day or night, without submitting a support request or waiting for someone to help.

Broad Network Access

Cloud services are accessible over the network through standard, universal methods like web browsers and APIs on portable devices, such as mobile phones, tablets, laptops, and desktop computers.

Public clouds connect via the internet, while private clouds usually use a local area network. Factors like latency and bandwidth directly affect the quality of the user experience.

Broad Network Access in Cloud Computing

Resource Pooling

The provider's computing resources of any kind, like storage, processing power, memory, and network bandwidth, are pooled together. This ensures consistent use and availability of resources.

Any resource from the pool can either be given to one user or application only, or it can be shared among several users or apps using a multi-tenant model.

Additionally, resources are provided as needed rather than being fixed to one user at all times. This flexibility ensures efficient use when demand rises or falls.

Common types of resource pools include:

  • Physical server pools
  • Virtual server pools
  • Cloud storage device pools
  • Network pools (interconnect pools)
Network Architecture With Separate Backend Customer and Service Networks

Rapid Elasticity

Cloud services can be elastically provisioned and released, which allows customers to scale computing capabilities freely based on demand. The available capacity feels virtually unlimited, with users able to access what they need, whenever they need it.

Furthermore, cloud elasticity helps users manage their usage and costs without having to sign new contracts or make large investments in local infrastructure.

Measured Service

Cloud systems automatically track resource usage through metering. This includes storage, processing power, and network bandwidth, providing transparency for both the provider and the consumer. It ensures resources are used efficiently, and users pay only for what they actually consume.

Types of Cloud Services

There are three main types of cloud computing services you can choose from based on your control, responsibility, and flexibility needs.

Main Service Models of Cloud Computing

Infrastructure as a Service (IaaS)

IaaS offers on-demand access to IT infrastructure components, including compute resources (such as virtual machines), storage, networking, and virtualization. It gives you the most control over your IT resources, managing elements like operating systems, middleware, applications, and data.

IaaS is similar to traditional on-premises IT resources. It provides the raw building blocks for IT environments without the need to manage the physical hardware. For instance, Google Compute Engine, Amazon EC2 (Elastic Compute Cloud), and Microsoft Azure Virtual Machines are prominent examples of IaaS offerings.

Advantages of IaaS

  • On-Demand Scalability: Resources can be scaled up or down to meet fluctuating demands.
  • No Single Point of Failure: Designed for high reliability, often featuring built-in redundancy.
  • Reduced Upfront Capital Expenditures: Pay-as-you-go pricing eliminates large initial investments.
  • Accelerated Development: Less provisioning delays and wasted resources enable quicker development cycles.

Challenges of IaaS

  • Customer Responsibility for Security: Users are responsible for securing their data, applications, runtime, middleware, and operating systems within the infrastructure.
  • Challenges With Legacy Applications: Securing and migrating older applications to cloud-based infrastructure can be complex.

Common Use Cases

IaaS is well-suited for backup and disaster recovery, big data analytics, website hosting, and high-performance computing (HPC). It provides the processing power and flexibility needed for these demanding use cases.

Infrastructure as a Service

Platform as a Service (PaaS)

PaaS provides a complete environment for developing, running, and managing applications. It does so without the complexity of building and maintaining the infrastructure typically associated with creating and launching an app.

Platform as a service includes all the necessary hardware and software resources, such as operating systems, programming language execution environments, databases, and web servers.

For example, instead of manually configuring servers, patching operating systems, or setting up runtime environments, developers can focus directly on writing code, deploying applications, and integrating APIs. Examples of PaaS platforms include Heroku and AWS Elastic Beanstalk.

Advantages of PaaS

  • Provider Manages Infrastructure: Reduces operational overhead since the provider manages maintenance and security of the underlying infrastructure.
  • Accessibility: Available over any internet connection on any device.
  • On-Demand Scalability: The platform can scale automatically to meet application demands.

Challenges of PaaS

  • Limited App Stack: The available application stack might be limited to components supported by the provider.
  • Less Control: Users have less control over operations and the entire infrastructure.
  • Limited Customization: Customization options are usually more limited than in IaaS.

Common Use Cases

PaaS is mainly used for API development, management, and data sharing between apps. It simplifies cloud migration and supports re-platforming and refactoring with microservices and containers. It is also suitable for Internet of Things (IoT) applications and developing enterprise AI models.

Platform as a Service

Software as a Service (SaaS)

SaaS delivers a full application stack as a service. Instead of installing programs on your computer, you access them online. The SaaS service providers take care of hosting, maintaining, and updating the software. You can use the software on your phone, tablet, or computer through a web browser. Examples of SaaS include email services like Gmail, MailChimp, or Salesforce for managing customer information.

Advantages of SaaS

  • Easy Setup and Use: Simple to deploy and ready to use immediately.
  • Provider manages everything: The provider handles all aspects from hardware to software maintenance.
  • Anywhere Accessibility: Software can be accessed from any device with an internet connection.

Challenges of SaaS

  • No Control Over Infrastructure: Users have no control over the underlying infrastructure or security controls.
  • Potential Integration Issues: SaaS tools may not always integrate smoothly with existing systems and applications.
  • Possible Vendor Lock-In: Switching providers can be difficult and costly.
Software as a Service

Emerging Cloud Computing Models

Beyond the main models of cloud computing, new "as a Service" methods are becoming popular. Serverless computing, like the Function-as-a-Service (FaaS) model, lets developers create and run applications without worrying about servers, as the cloud provider handles the infrastructure automatically.

Containers as a Service (CaaS) is another new option that falls between IaaS and PaaS. It allows users to upload, organize, run, and manage containers using the provider's infrastructure. Some other models include:

  • Desktop as a Service (DaaS): Virtual desktops delivered to end-users.
  • Artificial Intelligence as a Service (AIaaS): Pre-built AI models and services accessible via APIs.
  • Database as a Service (DBaaS): Managed database services.

Here is the comparison table of cloud service models:

Service Model

What you Manage

What the Provider Manages

Use Cases and Examples

IaaS

OS, middleware, virtual machines, applications, data

Servers, networking, virtualization, storage, and physical data centers

Virtual machines, storage, networks, website hosting, and disaster recovery

PaaS

Applications, data, code

OS, middleware, runtime, servers, networking, storage, physical data centers

Application development, API management, DevOps, IoT apps, AI models

SaaS

User data

Applications, runtime, OS, middleware, servers, networking, storage, physical data centers

Email (Gmail), CRM (Salesforce), Streaming (Netflix), Google Workspace

CaaS

Containerized applications, data

Container orchestration platform, OS, underlying infrastructure

Microservices architectures, containerized app deployment like Google Kubernetes Engine

FaaS/Serverless

Functions (code), data

Everything else (servers, scaling, OS, runtime)

Event-driven computing, APIs, data processing triggers (e.g., Cloud Functions)

Cloud Deployment Models

Cloud services can be deployed in different ways, depending on your business needs for control, security, and cost.

Public Cloud

Public clouds are operated by third-party providers like AWS, Microsoft Azure, or Google Cloud. They deliver computing resources such as servers, storage, and applications over the internet to numerous users. The cloud provider takes care of all the hardware, software, and other infrastructure.

Public cloud can benefit small businesses and startups with tight budgets for testing and development. They are also suitable for organizations that don't need strict security or compliance rules.

Advantages of Public Cloud

  • Cost-Effectiveness: Businesses skip large initial hardware costs, paying only for what they use.
  • Scalability: Provides nearly unlimited scalability, perfect for variable workloads.
  • Accessibility: Resources are easily accessible from anywhere with an internet connection.
  • Maintenance-Free: The cloud provider manages all updates, maintenance, and security patches.

Challenges of Public Cloud

  • Limited Control: Businesses have less direct control over the infrastructure compared to private models.
  • Potential Security Concerns: Sharing sensitive data in a multi-tenant environment can introduce security and compliance risks.
  • Performance Variability: Shared resources may lead to latency or performance issues during peak usage times.
Private vs. Public Cloud Architecture

Private Cloud

A private cloud is a cloud computing resource dedicated to a single organization. It can be set up either at the company’s own data center or by a third-party service provider that can host it. In a private cloud, services and infrastructure run on a private network and remain isolated from public access.

Private clouds are often chosen by large companies that handle sensitive information and must comply with strict regulations.

Advantages of Private Cloud

  • Full Control: Organizations have complete control over their data, applications, and underlying infrastructure.
  • High Security: Dedicated resources provide improved security, making it ideal for handling highly sensitive data.
  • Customizable: The environment can be tailored to meet specific business needs and regulatory requirements.

Challenges of Private Cloud

  • Higher Costs: Setting up and maintaining a private cloud requires substantial investment in hardware, software, and IT expertise.
  • Limited Scalability: Scaling resources can be slower and more expensive compared to public clouds.
  • Maintenance Responsibility: Businesses are responsible for managing updates, security, and hardware maintenance.

Hybrid Cloud

A hybrid cloud is a mix of a private cloud and one or more public cloud services. It uses proprietary software to connect these different services so they can work together.

In a hybrid cloud, the workload moves between the private and public clouds depending on what’s needed. When more computing power or processing is required, businesses can temporarily use the public cloud to handle the extra work, while keeping their data secure and not sharing it with third-party data centers.

Furthermore, companies only pay for the resources they use for a short time, instead of purchasing and maintaining resources that might not always be needed. In short, a hybrid cloud gives the advantages of a public cloud but with better security.

Advantages of Hybrid Cloud

  • Flexibility: Businesses can allocate resources according to specific needs, which maximizes both cost efficiency and performance.
  • Enhanced Security: Sensitive data can stay securely in the private cloud, while less critical tasks are managed by the public cloud.
  • Scalability: The public cloud provides scalability for peak workloads without overinvesting in private infrastructure.

Challenges of Hybrid Cloud

  • Complexity: Managing two different environments demands strong integration and monitoring tools.
  • Potentially Higher Costs: Combining public and private infrastructure can increase costs if not managed properly.
Hybrid-cloud vs. Multi-cloud Architecture

Multi-Cloud

Multi-cloud is the use of two or more cloud services from different providers in one system to diversify cloud infrastructure. Up to 92% of companies are going to adopt multi-cloud strategies by 2025. This approach aims to reduce reliance on a single vendor, prevent vendor lock-in, and use the best services from various providers.

Multi-cloud is best suited for large enterprises that require specialized services from multiple providers. It also helps organizations that operate across different regions and want to reduce latency and improve performance. In addition, businesses use it to strengthen redundancy and disaster recovery.

Advantages of Multi-Cloud

  • Avoid Vendor Lock-In: Businesses gain flexibility and reduce dependency on a single provider.
  • Optimized Costs: Companies can choose the best pricing options and specialized services from different providers.
  • Improved Redundancy: Using multiple providers enhances resilience and reduces downtime since services can switch between providers smoothly.

Challenges of Multi-Cloud

  • Complex Management: Managing multiple providers demands specialized expertise, strong tools, and a cohesive strategy.
  • Integration Challenges: Maintaining smooth operation and data transfer across various platforms can be difficult.

Community Cloud

A community cloud is shared by a group of organizations that have similar needs and concerns, like security and compliance. It's like a private cloud but designed for multiple organizations in the same industry to share. This helps address security issues and split the costs of building and running the cloud system.

Community cloud can be owned, operated, and managed by third-party vendors or community members, and it can be deployed on-site or off-site.

Advantages of Community Cloud

  • Cost Distribution: The infrastructure's operating and maintenance costs are shared among users. This makes it cheaper than a private cloud and lowers IT overhead costs.
  • Collaboration: Facilitates secure collaboration and sharing among organizations with similar needs, like those working on similar research or projects.
  • Improved Performance: Can offer better control and transparency to users compared to public clouds.

Challenges of Community Cloud

  • Privacy Issues: Resource sharing improves security compared to public clouds, but still creates privacy risks that are difficult to control. Determining service-level agreements (SLAs) for data and resource sharing can also be challenging.
  • Higher Cost Than Public Cloud: Although cheaper than private cloud, it remains more expensive than public cloud alternatives.
  • Limited Scalability: Unlike the public cloud, a community cloud has limited, shared resources like storage and bandwidth, which may cause performance lag.

Comparison table of cloud deployment models:

Deployment Model

Management

Best Use Cases

Public Cloud

The third-party provider owns and manages all infrastructure

Startups, dev/test environments, non-critical workloads

Private Cloud

A single organization owns and manages (on-premises or hosted)

Large enterprises, sensitive data, strict regulatory compliance, predictable workloads

Hybrid Cloud

A combination of private and public, with shared data/apps

Fluctuating workloads, legacy systems + cloud-native, disaster recovery

Multi-Cloud

Uses multiple public cloud providers (no private component)

Specialized services, multi-region operations, and high redundancy needs

Community Cloud

Shared by a specific community (owned/managed by members or a third party)

Government, financial, healthcare, and organizations with joint concerns/similar projects 

How Can Cloud Computing With emma Help Your Organization?

If cloud computing serves as the modern utility for your IT infrastructure, emma acts as the optimizer to boost efficiency, flexibility, and visibility throughout your cloud environment. Here’s how emma can help your cloud strategy:

  • A single, intuitive platform to manage different cloud environments, including public, private, hybrid, and edge clouds.
  • Real-time insights, intelligent rightsizing, and cost-control features that can help you find inefficiencies and cut expenses by up to 80%.
  • Built-in integrations to support your existing software and tool stack.
  • Complete control and real-time monitoring through centralized dashboards that show exactly how resources are being used, their performance, uptime, and compliance across all clouds.
  • Automated policy enforcement to keep your environment safe, meet regulations like GDPR and HIPAA, and make resource management easier.
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