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Why Cloud Computing Is Set To Become Even More Relevant In 2021

The global lockdown has provided a flip to cloud services, and now that its credentials are firmly established, the importance of cloud computing is only going to grow in the coming year.

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Before we discuss why cloud computing matters, let's go back to what cloud computing actually means. Many people still think of the "cloud" in the context of outsourcing essential tools and services to traditional on premise IT deployments. Cloud computing much more than that. For me, one of the best definitions of the "cloud" is the put forward on the Microsoft Azure website: "Put simply, cloud computing is the delivery of computing services – including servers, storage, databases, networking, software, analytics and intelligence – over the Internet ("the cloud") to offer faster innovation, flexible resources, and economies of scale."

Cloud computing is not a new concept, but unlike many similar "disruptive" ideas, it has stood the test of time. Over the past decade, cloud computing has become the backbone of the current IT ecosystem. The outbreak of the COVID-19 pandemic and ensuing lockdown have highlighted the agility, flexibility, and innovative power that the cloud brings to the table. From home productivity to food delivery to even more critical areas such as contact tracing, every single area has benefited and become even more effective through cloud services.

The global lockdown has provided a flip to cloud services, and now that its credentials are firmly established, the importance of cloud computing is only going to grow in the coming year. Cloud computing comes with several advantages, each of them important at any given time but especially so in the face of the new emerging normal in the post-COVID world.

One of these is cost-efficiency. This has long been touted as one of its chief advantages, and it will become even more critical in the months to come as IT budgets come under increasing scrutiny and CIOs need to cut corners. A recent study from Rackspace found that 88% of cloud users recorded cost savings, and 56% noted a massive increase in profits. Add to this the fact that cloud computing has proven scalability and flexibility benefits.

Another reason why cloud computing will continue to record traction in the coming year is that the big cloud providers, Microsoft, Google and Amazon, are fast realizing the massive potential in moving away from their walled garden approaches. This collaborative approach can give an enormous boost to the entire ecosystem – helping increase adoption among new users and creating opportunities for new start-ups that help bridge this gap. The possibilities are endless!

But it is not just in the enterprise segment that cloud computing is proving its worth. Take a look at the modern smartphone, app-intensive culture – it would not exist without cloud computing. Market leaders like Microsoft, Nvidia, Amazon, and Google, are increasingly turning to an on-demand model for consumer services like gaming, music, etc. It might not be too far in the future when one does not need to shell out money for expensive consoles to enjoy the latest games! Instead, one might be able to access all their entertainment needs via an online library for a monthly subscription. It has already started to happen and is likely to pick up pace in the near future.

Lastly, the change in our working habits is also emerging as a driving factor in cloud computing. The year 2020 has led to wider acceptance of remote working and working-from-home model. The coming year will witness more and more organizations enabling working from home for an extended period of time for their workforce. In this scenario, how do you provide a secure, scalable environment? Why the answer is in the cloud!

Disclaimer: The views expressed in the article above are those of the authors' and do not necessarily represent or reflect the views of this publishing house. Unless otherwise noted, the author is writing in his/her personal capacity. They are not intended and should not be thought to represent official ideas, attitudes, or policies of any agency or institution.

Sven Sommerfeld

Managing Director - ATCS GmbH

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