Many companies are considering moving part or all of their IT requirements to the cloud. There are many services that can bring your infrastructure to the cloud including some of the following services however making the biggest key point in the switch to cloud-based services will save you money.
University of Manchester Business School released a recent study showing that 88 per cent of cloud users saying they had reduced IT costs and 56 per cent agreeing that moving to the cloud made them more profitable.
So how can cloud help you cut costs?
- No need to buy hardware and software
There are no significant capital expenditures on hardware and software with cloud-based services. Instead of purchasing and maintaining expensive servers and software applications, you simply rent from your cloud provider.
- Cloud service providers absorb security, backup and update costs
Cloud service providers maintain security protocols. They maintain standards for redundancy and data backup. Cloud applications are regularly updated allowing you to have access to the latest features and functions.
- Save on IT personnel and support costs
Cloud services allow all IT infrastructure tasks to be maintained by your cloud service provider. This allows your in-house IT team to focus its attention on high-priority projects as well as internal IT functions unless you are using managed IT services.
- Scaling up is cheaper thanks to usage-based billing
Usage-based billing means you pay only for the services you actually use. This reduces the costs of bringing new employees on board or supporting additional customers. Now instead of buying a new server, configuring it and installing software, now you simply request the cloud services you need from your provider. For example, adding a new employee who needs access to a full suite of office applications can be expensive if you need to purchase a complete new license, but if you’re using a cloud-based service like Microsoft 365 from Microsoft, each additional employee can be added quickly and at a much lower cost than purchasing a completely new license.
- Power costs are reduced
If you currently maintain your own in-house servers, outsourcing to cloud-based services will ensure that your company’s power consumption will be vastly reduced by simply eliminating racks of servers and their power-hungry cooling requirements from your premises.
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