Cloud computing does not rely on having local servers but rather using shared computing resources or personal devices. It is a type of internet-based computing where different types of services –such as servers, storage and applications are delivered through the internet to an organisations computers or devices.
There are three types of cloud computing services and the first one is private, the services from a private cloud are distributed from a business’ data centre to the internal users using the cloud service. The second type is public cloud service, a third-party provider and it delivers the service over the internet. Hybrid is the third and is a combination of the other two.
It allows e-commerce applications allows companies to respond quicker to opportunities and also evaluate these opportunities without large investment. It can also save the user money as it is a pay as you go basis and will only be charged for what they have used, but when the cost of equipment and software is compared and evaluated, it is usually cheaper than setting up an in house structure.