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5  Benefits :Why SMBs should consider Moving to the Cloud

9/11/2014

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1. Fully utilized Hardware :The practicalities of cloud computing means high utilization and smoothing of the inevitable peaks and troughs in workloads. Your workloads will share server infrastructure with other organizations' computing needs. This allows the cloud-computing provider to optimize the hardware needs of its data centers, which means lower costs for you.

2. Lower Electricity (Power) costs : Cloud computing uses less electricity. Better hardware utilization means more efficient power use. When you run your own data center, your servers won't be fully-utilized (unless yours is a very unusual organization). Idle servers waste energy. So a cloud service provider can charge you less for energy used than you're spending in your own data center.

3. Lower Resource costs : Staffing budget is perhaps the biggest single line item which makes up more than half of the total of organizations' computing costs. This happens because Good IT people are expensive; their salaries, benefits, and other employment costs usually outweigh the costs of hardware and software. And that's even before you add in the cost of recruiting good staff with the right experience

When you move to the cloud, some of the money you pay for the service goes to the provider's staffing costs. But it's typically a much smaller amount than if you did all that work in-house. 

4. Zero capital Investments : When you run your own servers, you're looking at up-front capital costs. But in the world of cloud-computing, financing that capital investment is someone else's problem. If you run the servers yourself, the accounting wizards do their amortization magic which makes it appear that the cost gets spread over a server's life. But that money still has to come from somewhere, so it's capital that otherwise can't be invested in the business—be it actual money or a line of credit.

5. Resilience without redundancy: When you run your own servers, you need to buy more hardware than you need in case of failure. In extreme cases, you need to duplicate everything. Having spare hardware lying idle, "just in case," is an expensive way to maximize uptime.

Instead, why not let a cloud computing service deal with the redundancy requirement? Typical clouds have several locations for their data centers, and they mirror your data and applications across at least two of them. That's a less expensive way of doing it, and another way to enjoy the cloud's economies of scale.

It’s True, Cloud computing is now a proven, mainstream alternative for SMBs. Moving to the cloud will save you money, not just for your cloud security needs, but for many other types of data center workloads

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