The cloud drives business innovation. It allows service providers to pool computer and infrastructural resources to serve large numbers of clients simultaneously. This approach dynamically allocates real and virtual resources and loads to meet customer demand. Multi-tenant (or public cloud) services share the same computer resources, whereas single-tenant (or private cloud) services are structured to serve only one customer. Multi-tenant architecture is cheaper and easier to manage, but it sacrifices flexibility and security. Having a single tenant is more flexible and secure, but it requires more technical involvement from the client and is more costly to manage.
An important feature of cloud software is its ability to create tangible innovation that can be used for a number of applications and reap advantages across a variety of sectors. Dispersed innovation has always been a difficult challenge for many organizations to solve. Innovators and entrepreneurs are routinely challenged with creating solutions for niche industries using platforms and languages that have little or no link to mainstream applications, like Java.
However, the cloud computing environment and culture are fast developing. Increasingly, businesses can capture innovation and leverage it to produce real economic benefits thanks to the cloud. Standard formats, languages, and platforms are increasingly used. Innovative vendor ecosystems and platform services are emerging in the ERP sector today, helping to speed the development of new concepts. Organizations can now utilize RPA, machine learning, and conversational AI without the learning and cost obstacles that previously existed.
Innovation
Cloud computing has the ability to be creative and to provide value across a wide range of domains and industries. Increasingly, as cloud computing becomes more widely available as a commodity, the value received from cloud computing usage grows with time. Cloud computing, with its nimble size and global reach, gives access to a platform that would otherwise be out of reach for most companies. It also minimizes the risk and maintenance expenses associated with maintaining a global software and infrastructure platform. At the end of the day, cloud computing is a natural platform for future creative software applications that will make use of mobility and Internet of Everything (IoE) devices.