The drive for cost savings and added pressure of ensuring resources are used in a way that is environmentally sound has seen technological developments take on even greater significance for businesses.
Finding economies of scale through amalgamating an organization's IT portfolio, combined with ways to use redundant processing power, is vital.
Cloud computing helps facilitate these goals but also presents several factors and risks that should be considered by any business using the technology.
First, cloud computing challenges current methods of licensing and payment. The traditional model is the standard ROI model: the developer spends time and money creating new software, protects the source code (human-readable and easily copyable) and then licenses the object code of the new offering.
From there, the software is sold in the normal way, whereby restrictions are imposed relating to number of users, scope of use and geographical usage. These models do not fit the virtualized services, such as software-as-a-service (SaaS), so will need to be re-examined, and in some instances, discarded.
The manner in which technological knowledge is provided has and will continue to dramatically shift. While the cloud exists because of a complex scheme of interconnected networks, these complexities are hidden from the end user. From their perspective, the applications and data are stored in servers on the internet and then cached on a temporary basis on the user's desktop (or other device) when needed.
But this means there are additional security and legal issues to address, as the licensing model is quite different and information is no longer contained within one server.
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Source: zdnetasia.com
By: Mark O'Conor
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