Sky's the limit: experts discuss cloud computing.

• Author: Stewart, Heather
• Position: Techknowledge - Discussion

What is cloud computing?

McDonagh: Cloud computing is Internet-based computing, whereby shared resources, software and information are provided to computers and other devices on demand.

Robinson: Cloud computing allows users and businesses to have an entire computer infrastructure available to them, without having to pay for an entire in-office computer infrastructure.

How can small companies use cloud computing services?

Robinson: Any company, no matter how small or large, can use cloud computing services. Companies can start small by using a hosted exchange program, or they can use cloud services to host a website. With cloud computing, more and more applications can be gradually outsourced, bringing them closer to the cloud model. Cloud computing also helps companies cut down on in-house infrastructure. You can do more with less hardware, like thin-clients and net books, as opposed to powerful workstations that often need to be replaced every three years. Less hardware means fewer IT staff, which means lower overall operating costs.

McDonagh: SaaS or cloud-based software offerings are the ideal fit for the small to midsized company. These offerings enable smaller organizations to tap into the power of enterprise software applications, making them more affordable. Instead of expensive upfront capital outlays, SaaS enables smaller companies to get new business software up and running quickly with minimal operating expense budgets. And because of the pay-as-you-go model, SaaS can be a great benefit for smaller companies that face spikes and dips due to seasonality.

How is it different than SaaS?

McDonagh: SaaS, or software-as-a-service, is a cloud-based offering which enables companies to access business software applications online. Instead of buying servers and paying millions of dollars for licensed software, companies that choose the SaaS alternative can pay as they go on a monthly basis.

Robinson: Cloud computing, unlike SaaS, runs more than just one software application. It can be your entire environment. SaaS is usually just one application/function, but cloud computing has the capability to let you run everything in the cloud, both hardware and software.

When is a company large enough to start its own, private cloud?

Robinson: Any company can have its own private cloud. I have a client with five employees that uses a cloud-based solution. Cloud services allow a company of any size to run its entire server through one remote data...