Cloud computing is the process of moving applications and data to the cloud, which allows users to access them from anywhere connected to the internet. When businesses migrate to the cloud, they can eliminate expensive hardware investment and swiftly expand or reduce infrastructure according to the need. This allows businesses to develop faster without waiting for new technology.

Enterprises make use of the cloud most commonly by hosting their software on the servers of cloud service providers. This type of cloud computing is called Software-as-a-Service (SaaS). SaaS providers provide all the hardware, middleware and application software required to run enterprise apps in their data centers. The service is usually offered on a pay as basis, which means that the user only pays for what they use.

Another popular cloud service is called Infrastructure-as-a-Service (IaaS). With IaaS the company rents the storage and hardware needed to build their own software in a data centre that is managed by the cloud computing provider. It’s like renting a home where you pay only for rooms that you use, for instance the kitchen when you eat what to include in a data room dinner, or the bedroom after you’re ready to go to bed.

Finally, a newer cloud service called Function-as-a-Service (FaaS) is emerging that offers even more scalability and agility for business users. FaaS splits cloud applications into smaller components that are only activated when they are needed, so that you can pay for the resources you need only when you require them.