Cloud computing offers a value proposition that can be both appealing and unsettling to the CFO. However, CIO.com columnist Bernard Golden explains why freeing up capital investment should more than make up for the uncertainty of variable monthly pricing. As I've noted a number of times, cloud computing promises both greater IT agility and reduced costs. No one disputes the agility issue. Compared to traditional resource deployment that can drag on for weeks or months, cloud computing offers the enormous improvement of a timetable measured in minutes.
On the subject of cost, however, there is no consensus. I discussed the subject a couple of weeks ago here. The other perspective made itself known last week with this opinion piece in InformationWeek. The author evaluated the historical price changes in AWS S3 storage vs. on-premises, disk-based storage and concluded that AWS isn't cost competitive. Moreover, he asserted that AWS storage isn't realizing (or at least, isn't passing on) the benefits of Moore's Law, since its prices aren't dropping as rapidly as on-premises storage pricing.
I don't want to get into a debate about the article, as I believe there's ample evidence that, for a broad range of uses, cloud storage is more cost-effective than on-premises alternatives. One has only to look at the enormous growth of Amazon S3 to confirm that a very, very large number of organizations have come to the same conclusion.
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Source: cio.com
By: Benard Golden

2 comments:
Currently I work for Dell and I think your article about Cloud computing is really helpful. cloud computing offers much more flexibility than past computing methods. It has more flexibility than other network computing systems and saves time plus money for people who are in a time crunch.
Cloud Computing lets end users utilize a shared collection of configurable computing resources for their own business perspectives. Such resources are data, servers and related services.
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