At the web services level, company's processes are making a "virtual" transformation. Everything can be accessed on the internet, and on-the-go. Take for example Salesforce.com. The company has revolutionized the way organizations of all levels manage their leads, staff, and sales. By storing contacts, managing sales territories, creating reports and analytics, users Managed Services Tulsa can access the knowledge from anywhere within the world, even on their cell phones. I could go on and on about different web services.
What does this mean for the company? Cloud computing is almost like outsourcing. Instead of running in-house servers, purchasing computer software, or maybe running your own data center, everything is placed externally. There has been a huge paradigm shift from in-house technology, to "out-sourcing" IT. For companies, this means less capital expenditure.
Cloud computing services are completely customizable and tailored to a company's or individuals needs. You only pay for what you need through a subscription, with practically no up front costs. These services are incredibly reliable with 24/7 support. The only disadvantage is that you are trusting the operations of your company in the hands of external vendors.
Many companies are beginning to use web based email services, like Gmail, for his or her corporations. This makes access to email accessible at anytime, without having to worry about connecting to your work pc through remote desktop, having to use your server provider's archaic mail system, or MS Outlook downloading your emails to a selected computer.
By purchasing virtual servers, as against in-house servers, companies can utilize web services by saving space and time. Setting up these servers can be a long and daunting process. Since technology is constantly being upgraded, companies don't have to worry about dumping servers and upgrading often. With a "subscription based IT department", upgrades are hassle free. When you lease a car, you don't have to worry about getting rid of a product that diminished a lot in value. You return it to the dealer and get the latest model.
For the enterprise-level, the benefits are clear and obvious. Although there are drawbacks, the advantages are much better. In the next few years, IT budgets will shift from hardware and software purchasing to virtual and web based services. What does this mean for the average individual? With common tasks becoming web based, people don't got to purchase ridiculously expensive computers anymore. That's why I think the netbook market will thrive in the near future. Unless you are a hardcore gamer, or video editer, you don't need to be spending more than $800 for a personal computer. In fact, many college students do just fine without having their own personal laptop. All you really need is a reliable computer with internet. Reliable computers these days cost less than a grand.
When problems with web based services occur, it's not really in our hands. We have to rely on third party vendors to resolve the problems and that can be a nuisance. But the hassles of handling in-house services and applications are often tons worse. Keep in mind this trend applies to everyone, not just enterprises. For startups, the advantages are huge, especially where space is a problem . In addition, these sorts of companies do not have to stress about expensive up front costs for IT. Many startups use Google applications (gmail, calendar, docs etc) to run their businesses. With online file storage, why ever spend thousands of dollars on a server again?
This is great news for web developers. Already we see many startups developing cloud computing products that are entirely "outsourced". This could be part of the reason why in such a troubled economy, there has been a surge in the demand for smart phones. There are many office related applications developed for mobile phones, or even mobile friendly services through the browser. And at least with this type of "outsourcing" there is no language or cultural barrier.