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What is Cloud Computing? Services, Examples and Advantages

Created by Amar Singh in Cloud Computing 4 Jun 2025
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«Uses of Cloud Computing

Cloud computing means the delivery of computing services such as servers, storage, databases, networks, software, analytics, and intelligence over the Internet or cloud to enable quicker innovation, Scalability, adaptability, and more.

In this article, we have explained cloud computing in simple words, discussed the types, components, and uses of cloud computing. By reading this guide, you will be proficient in cloud technology and have basic information about it.

Furthermore, if you are interested in professional training in cloud computing, you can check out our online cloud computing courses, where we have provided cloud training and certification courses.

What is Cloud Computing?

Cloud computing is a very high-end technology that allows users to access and store data, applications, and services over the Internet instead of their local servers or personal devices. This offers great flexibility, scalability, and cost-efficiency by providing on-demand resources such as virtual machines. storage, and databases.

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Major players in the cloud computing market include Amazon Web Services (AWS), Microsoft Azure, and Google Cloud Platform (GCP). They individually offer a wide range of services and tools to help different organizations build, deploy, and manage applications and infrastructure in the cloud.    


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History of Cloud Computing  

The following is the history and evolution of cloud computing  

DecadeKey Developments
1950sCompanies used expensive computer systems, leading to time-sharing methods, laying the groundwork for cloud computing.
1960sARPANET aimed to connect global computers, pioneered by JCR Licklider.
1970sThe introduction of VMs enabled multiple systems on one setup, foundational for virtualization.
1980sApple, IBM, and Microsoft developed technologies for cloud servers and hosting.
1990sSalesforce delivered business applications via a website in 1999.
2000sAmazon launched AWS in 2006, followed by similar services from Google and Microsoft.
2010sMicrosoft launched Azure (2010) and Office (2011); Docker containers, microservices, and serverless platforms emerged.
2020sServerless and edge computing advanced, integrating AI and machine learning; vendors began offering cloud computing courses.

How Cloud Computing Works?

Cloud computing models are mostly demand-oriented resource sharing primarily over the Internet. Companies pay to get access to the digital supply of resources and services like computing, storage, and networking.

One of the major benefits of cloud computing is that it can be delivered at remote locations over the Internet, and companies only have to pay for what they use. This significantly helps the users to grow without draining their finances on infrastructure development.

The central server acts as a communication link between the client's equipment and servers to allow the healthy exchange of data. The flexible and adaptable cloud services help in meeting the growing needs of an emerging organization.  

Components of Cloud Computing


components of cloud computing


Cloud computing consists of several key components that work together to deliver a wide array of services over the Internet. These components include:

1. Data Centers: Cloud Service Providers (CSPs) operate remote data centers that house physical hardware, storage systems, and other infrastructure essential for cloud computing.

2. Networking Capabilities: Networking is crucial for cloud computing. Wide Area Networks (WANs) connect users with backend functions. Technologies like load balancers, Content Delivery Networks (CDN), and Software-Defined Networking (SDN) ensure efficient, secure, and rapid data transmission.

3. Virtualization: Virtualization involves using specialized software to create virtual versions of physical resources like servers and operating systems. This allows a single physical server to be divided into multiple virtual servers, optimizing data center resources and enabling scalable cloud services.

These components work together to deliver a wide array of services over the Internet, ensuring efficient, flexible, and scalable cloud computing.

Types of Cloud Deployment Models

A cloud deployment model refers to the framework and structure by which cloud computing services are delivered to users. This encompasses the deployment method (how the cloud infrastructure is set up and managed) and the service delivery method (the type of services provided). The primary cloud computing models are:

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1. Public cloud: IT is a third-party cloud computing service providing computation, storage, and networking services on demand as per their requirements to achieve their business goals 

2. Private clouds: Private cloud service is created, controlled, owned, and hosted privately on specific data centers. They are called on-premises. It offers more safety and better control over the resources.  

3. Hybrid clouds: It is essentially a combination of both. It can shift the workloads constantly between public and private cloud platforms. Here, companies pay for the temporary use of resources rather than purchasing them for one-time use.  

4. Multicloud: Multicloud involves using services from multiple cloud providers to meet different business needs, enhancing redundancy and optimizing performance. 

5. Community Cloud: Community clouds are shared by multiple organizations with common requirements, such as regulatory compliance or specific industry standards. 

Read our detailed article on Cloud Models 

Types of Cloud Computing Services

Cloud computing offers services in various forms. There are 3 primary types of cloud computing services - Infrastructure as a Service (IaaS), Platform as a Service (PaaS), and Software as a Service (SaaS). Let's learn about each of them:

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1. IaaS (Infrastructure as a Service): This service allows you to rent IT infrastructure such as servers, virtual machines, storage, networks, and operating systems from a cloud provider on a pay-as-you-go basis. Examples: Amazon Web Services (AWS), Microsoft Azure, Google Compute Engine.

2. PaaS (Platform as a Service): PaaS simplifies the development of web or mobile apps by providing an on-demand environment for development, testing, delivery, and management of software applications without the need to manage underlying infrastructure. Examples: Google App Engine, AWS Elastic Beanstalk, Microsoft Azure App Service.

3. SaaS (Software as a Service): SaaS delivers software applications over the Internet on a subscription basis. Cloud providers host and manage the software and underlying infrastructure, handling updates and patches. Users access applications via web browsers on various devices. Examples: Salesforce, Microsoft 365, Slack.


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Latest Cloud Computing Trends

Cloud computing is a rapidly growing market. This has been valued at a whopping 321 billion in 2019 and is expected to rise above $1025. 9 billion in seven consecutive years.

1. Increased Spending: Companies are investing more in cloud technologies, with public clouds expected to grow by 18% to $304.9 billion.

2. Multi and Hybrid Cloud: These technologies reduce downtime and mitigate risks associated with a single vendor.

3. Container Technologies: Containers provide a flexible environment for applications, aiding in cloud segmentation.

4. Virtual Desktop Infrastructure (VDI): VDI is crucial for remote work, simplifying application deployment over the internet.

5. Security: Enhanced security measures are vital for cloud-native and edge-first technologies, addressing shared risks.

Advantages of Cloud Computing 

Business operations all over the world have been completely transformed by cloud computing. With its numerous advantages and benefits, it is impossible not to switch to cloud computing.

● Efficient data backup and restoration without needing infrastructure investment.

● Enhanced team collaboration and productivity through shared information.

● Accessible data from anywhere, enabling flexible remote work.

● Significant cost savings as providers handle maintenance and upgrades.

● Easy migration and mobility of data across devices.

● Pay-as-you-use policy reduces costs for one-time usage products.

Disadvantages of cloud computing  

● Over-dependence on vendors can lead to issues like downtime and cyberattacks.

● Requires a fast internet connection for optimal performance.

● Limited customization options from generalized vendor services.

● Rising concerns over data security and privacy.

● Hidden costs can make the pay-as-you-use model less affordable.

● Data location compliance issues due to global data centers.

Even after facing these challenges, organizations continue to shift toward cloud computing. This is because their benefits far exceed their disadvantages.

Cloud Computing Examples  

The wide adoption of cloud computing can be seen in your everyday life. Here we have picked some real-world cloud computing examples.

1. Dropbox: Provides up to 1 terabyte of free storage, accessible on any device.

2. Gmail: Offers unlimited email storage, revolutionizing email communication.

3. Salesforce: A cloud-based CRM platform for sales, marketing, and customer service.

4. AWS: Amazon Web Services for K-12 education, streamlining IT operations and ensuring data safety.

5. Dell's Secure Healthcare: Protects health information from cyberattacks and stores it securely.

6. IBM Cloud: Provides secure and innovative healthcare solutions.

7. US Federal Cloud Strategy: Accelerated cloud adoption across government departments for enhanced security.

How Businesses Choose the Right Cloud Service Provider?

The following are the various factors to be considered while choosing a cloud service provider. They are  

● Business factors: IT includes making a suitable decision considering various things like financial health, trust, plans, business knowledge, and compliance that have to be noted in selecting a cloud service provider   

● Administrative support: This includes SLAs, Performance reporting, resource monitoring and configuration management, billing and Accounting, and many other related aspects which is to be considered while choosing a cloud vendor  

● Technical capabilities: Various facts like deployment capability, upgradation, management, standard interfaces, event management, change management, and hybrid capacity have to be considered while looking at vendor choice  

● Security measures: The security of the infrastructure, policy, identity management, data backup and retention, physical security, etc has to be given additional focus during vendor analysis. Many cloud courses online will help you cover this elaborate area.

How to Learn Cloud Computing?

Learning cloud computing involves a combination of theoretical knowledge and practical experience. Utilize online resources, such as tutorials, courses, and certifications from leading providers like AWS, Microsoft Azure, and Google Cloud Platform (GCP).

Engage in hands-on practice by using free tiers or trial accounts offered by these providers to build and manage cloud-based projects. Join cloud computing communities and forums to stay updated on trends and best practices.

You can check out our Popular Cloud Computing Courses:

Google Cloud Free Course for Beginners 

Free Beginner Course on Azure 

AWS Cloud Practitioner Certification Course 

Google Associate Cloud Engineer Course 

Conclusion

Cloud computing revolutionizes business operations with scalable, flexible, and cost-effective solutions. Key components like storage, networking, and computing power support services such as IaaS, PaaS, and SaaS.

Deployment models—public, private, and hybrid—offer tailored strategies for security, control, and cost. Embracing cloud computing drives innovation, efficiency, and growth across sectors, making it a strategic move for a resilient future.

Top Cloud Computing Examples You Should ...»
Amar Singh

Amar Singh is a senior security architect and a certified trainer. He is currently working with a reputed organization based out of India. His accomplishments include CCNA, CCNP Security, CEH, Vmware, Checkpoint and Palo Alto Certifications. He is holding more than 12 years of experience in Network security domain. In his career he has been ...

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FAQ

Cloud computing is the delivery of computing services, such as storage, processing, and networking, over the internet. It allows users to access and use shared resources and applications on demand, without the need for local infrastructure.
The main types of cloud computing are public cloud, private cloud, hybrid cloud, and multi-cloud. Each type offers different levels of control, flexibility, and management, catering to various business needs.
Cloud computing offers several benefits, including cost savings, scalability, flexibility, improved collaboration, and disaster recovery. It allows businesses to access powerful computing resources without significant upfront investments.
Cloud computing works by hosting data, applications, and services on remote servers managed by cloud service providers. Users access these resources via the internet, allowing for easy scaling, maintenance, and updates.
The common cloud service models are Infrastructure as a Service (IaaS), Platform as a Service (PaaS), and Software as a Service (SaaS). Each model provides different levels of abstraction and control over computing resources.

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