What Is Cloud Computing? 15 FAQs for Beginners

Cloud computing is the delivery of computer services, such as data storage, over the Internet. It enables users to access their files and applications online, effectively eliminating the need to download and store all of their data on a personal machine. Apple's iCloud, for instance, is an example of cloud computing that allows users to back up their phones, store photos, and access saved files online.

There are many more types of cloud computing beyond just personal use. Here, you'll learn more about cloud services, including the benefits of cloud computing and types of cloud computing, as well as find answers to several frequently asked cloud technology questions. 

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What is cloud computing? 

Cloud computing refers to the delivery of computer services and resources via the Internet. Beyond personal use cases, such as backing up your phone on iCloud or Google One, cloud computing has applications for both large and small companies. For example, it can scale services as the company grows or allow the company to access ground-breaking technologies like large language models or blockchain.

What are cloud computing examples?

You probably use cloud technology at home in one form or another. Streaming services like Netflix, Disney+, or Spotify use cloud computing to store media remotely, which you can access through an online portal. At work, you might use customer relationship management (CRM) tools or a service like Dropbox, both of which use cloud technology. 

Benefits of cloud computing

Cloud computing has many benefits. While it allows individuals to easily access software without running it locally for personal use, businesses rely on cloud services for scalability and elasticity. Learn more about some of the benefits – and buzzwords – associated with cloud computing technology.

What is scalability in cloud computing?

Scalability measures a cloud system's ability to increase or decrease IT resources as needed. It’s often regarded as one of the most significant benefits of cloud computing. Especially in enterprise-level businesses, cloud infrastructure must be able to accommodate fluctuating demands. For example, if a company expands, more employees are likely to access its cloud technology. Despite handling more users, the system should not suffer from performance issues. 

What is elasticity in cloud computing?

In cloud computing, elasticity refers to an IT system's ability to match the resources administered to the resources required. It's often used in pay-as-you-go cloud services such as IaaS models because it helps ensure the customer only pays for the resources that are actually required at a given time. Although it's very similar to scalability, scalability focuses more on removing or adding resources based on demands. Elasticity can be part of a scalability plan. 

Who uses cloud computing?

Virtually everyone uses cloud computing, from individuals to professionals to small businesses and large corporations. Individuals use the cloud to store photos and documents, stream videos and music, collaborate with remote colleagues, and attend courses. Companies use the cloud to handle data and conduct global operations. Some jobs specific to cloud computing include cloud administrator, cloud security engineer, and cloud architect.

Types of cloud computing

A notable benefit of cloud computing is customizability. You can design cloud infrastructure to support a business, individual, or organization's specific needs. Another way to describe types of cloud computing is public, private, or hybrid.  

What are public clouds?

Public clouds are offered to users by third-party providers, such as Microsoft Azure or IBM Cloud, who also run them. However, while users don't run their own clouds, this doesn't mean that anyone can access them. Public cloud environments can be separated and distributed to multiple entities. iCloud is a public cloud service.

What are private clouds?

Private cloud services are dedicated to an individual or a group of individuals. The environment operates behind that person or group's firewall, providing isolated access. You can build a private cloud on a third-party cloud provider's data center or on-premises. 

What are hybrid clouds?

Hybrid cloud computing is a combination of public and private cloud computing, and each hybrid cloud varies from IT system to IT system. If applications can move through separate environments through connectivity or integration, the cloud environment can be considered hybrid. However, it must be managed as a single environment. Examples of a hybrid cloud system include one private cloud and one public cloud, two or more private clouds, or two or more public clouds. It can also include virtual environments that are connected to public or private clouds. 

Cloud computing services

Another factor in understanding cloud computing is the type of service offered. This is determined by how you use the technology: either to access software ("software as a service"), outsource infrastructure ("infrastructure as a service"), or access a platform of tools ("platform as a service"). Explore these cloud computing service types below, as well as a type of service used by developers called function as a service. 

What is SaaS in cloud computing?

SaaS stands for "software as a service," and it refers to a cloud-based software delivery model. It's a cloud service that enables users to access on-demand software applications over the internet rather than having to install them. Examples of these cloud applications include DropBox and Google Workspace.

What is IaaS in cloud computing?

IaaS stands for "infrastructure as a service," and it refers to cloud-based services that allow you to rent IT infrastructure components. Cloud vendors provide things like networks and cloud servers on a pay-as-you-go basis so that organizations don't need to purchase and maintain cloud infrastructure independently. It's similar to the way you might rent your router from your WiFi service provider instead of purchasing your own. Amazon Web Services (AWS) is an example of an IaaS cloud provider. 

Read more: What's the Difference Between AWS vs. Azure vs. Google Cloud?

What is PaaS in cloud computing?

PaaS stands for "platform as a service." Similar to IaaS, cloud platforms provide organizations with access to application software and tools. However, PaaS focuses on providing application development tools rather than compute resources. This cost-effective cloud computing model enables businesses to utilize a development, testing, and deployment environment all through the internet. 

Read more: Intro to Cloud Computing: IaaS vs PaaS vs SaaS

What is FaaS (or serverless) cloud computing?

FaaS stands for "function as a service." This serverless, back-end cloud computing model enables users to develop and deploy event-driven code. In other words, developers can write code to be executed in response to certain events without manual intervention. 

Uses of cloud computing

Virtually every industry uses cloud computing. Some examples include:

- Health care: Storing and analyzing patient data, developing new treatments

- Education: Conducting online courses, managing student records

- Government: Streamlining citizen services, storing sensitive data

- Retail: Managing inventory, personalizing customer experiences

- Entertainment: Developing video games, managing digital content

- Finance: Detecting fraud, processing financial transactions

Cloud computing concepts

There are some foundational concepts underlying cloud computing technology. Below, you’ll explore some of these concepts, like cloud computing components, along with common cloud computing software you should know. 

What are computing resources?

The goal of cloud computing is to provide internet-based access to technology traditionally only accessible through physical servers. In the context of cloud technology, computing resources can describe anything from databases to processing power to software applications.

What is IT infrastructure?

Information technology (IT) infrastructure is what makes it possible for an organization to build and run the technologies that they rely on. It is a set of hardware, software, networks, and processes that support business requirements. The two primary types are traditional and cloud infrastructure. Traditional or on-premises infrastructure is made up of physical devices like servers and data centers. Cloud infrastructure enables users to access those resources via the internet (through a process called virtualization).

Read more: What is ITIL? A Beginner’s Guide to the ITIL Process

What is virtualization?

Virtualization refers to creating a virtual version of something. Through the use of specialized software, virtualization enables us to mimic hardware functionalities. One way to conceptualize virtualization is as software pretending to be hardware.   

What is a hypervisor in cloud computing?

A hypervisor is a thin layer of software that separates a system's operating system (OS) and resources from the physical machine. Hypervisors are sometimes referred to as virtual machine monitors (VMM) because they organize these separated resources into files called virtual machines.

Read more: What is a Hypervisor? Types, Use Cases, and Career Opportunities

What is a virtual machine in cloud computing?

A virtual machine is a file that replicates the computing environment of a physical machine. By imitating these environments, virtual machines enable us to perform computer system functions with software instead of hardware.

Read more: Introduction to Virtualization: What is a Virtual Machine?

What is a container?

Containers are similar in purpose to virtual machines. However, virtual machines virtualize more components of a physical device, including a version of its operating system (OS). Instead of creating a new, virtual version of the hardware's OS, containers share the same one. This frees up space and computational power for a smaller, faster, and more portable system.

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