Cloud services let businesses hand off infrastructure management to third-party providers which allows them to concentrate on business applications and utilize data to boost innovation. For example, a company could swap expensive server centers and IT departments for fast Internet connections that allow employees to access files and applications online. The service provider handles the hardware, middleware, application software, and security, while clients simply use the service on-demand to complete their work. This is particularly effective for commodity applications like social media management or email.

For systems that are large-scale, cloud providers also offer infrastructure as a service (IaaS), platform as service (PaaS) and software as service (SaaS). IaaS provides the greatest control over IT resources. PaaS is geared towards developers. SaaS gives the least control to users. These three models allow users to pay per use, which reduces the cost of maintenance.

Cloud computing can bring real benefits to companies even if some remain skeptical. Dropbox, for example, lets you upload files and save directly to your computer. Cloud storage is a physical device located in a myriad of locations across the globe.

Cloud services are extremely flexible and can work with different types of environments without forcing users to use one service for all their needs. This flexibility has led to the development of multi-clouds, an approach that allows companies to mix and match cloud capabilities from a variety of providers.

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