Cloud computing can bring important benefits to both organisations and individuals. Perhaps the most obvious benefit is cost reduction. On-site ICT facilities are generally over-provisioned to allow for future growth or spikes in demand. In a data centre run by a cloud supplier, different clients will need computing resources at different times and provision does not need to be made for individual demand peaks: instead, cloud providers can quickly re-allocate resources away from those who currently need less towards those who need more. Server utilisation rates are therefore much higher and the resulting lower costs can be passed on to cloud customers. Due to this aggregation of demand, cloud suppliers also benefit from economies of scale, saving on purchasing and operating costs, including the cost of maintaining and upgrading hardware and software. The result is that four out of every five companies adopting cloud computing were able to reduce costs by 10% to 20%.
Benefits of the cloud, 2015. % of survey respondents reporting these benefits
Benefits of the cloud, 2015. % of survey respondents reporting these benefits
Categories:
European Parliamentary Research Service
Related Articles
In focus
We write about
Blogroll
Disclaimer and Copyright statement
The content of all documents (and articles) contained in this blog is the sole responsibility of the author and any opinions expressed therein do not necessarily represent the official position of the European Parliament. It is addressed to the Members and staff of the EP for their parliamentary work. Reproduction and translation for non-commercial purposes are authorised, provided the source is acknowledged and the European Parliament is given prior notice and sent a copy.
For a comprehensive description of our cookie and data protection policies, please visit Terms and Conditions page.
Copyright © European Union, 2014-2021. All rights reserved.
Be the first to write a comment.