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					           ADVANTAGES OF
           CLOUD COMPUTING                                       

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         Advantages of the Cloud
         Switching to the cloud has many advantages over traditional computing models.
         They break down into three broad categories, platform advantages, economic benefits and
         technological benefits.

         Platform advantages
         Our cloud offers you both horizontal and vertical scalability. Horizontal scalability allows you
         to rapidly change the number of separate instances to match changes in demand. Vertical
         scalability allows you to rapidly change the size of instances themselves in a flexible way.
         Critically, the elasticity associated with Infrastructure-as-a-Service (IaaS) allows you to
         downscale quickly as well as upscale. This means you can meet peaks in demand but also
         not have excess capacity that you are paying for when you don’t need it. An ideal example is
         mobile application hosting with its explosive potential growth.

         Reliability and Availability
         Moving to a public cloud such as CloudSigma’s means you benefit from the economies of
         scale of a large scale hosting operation. We are able to have dedicated staff with specialist
         knowledge to ensure that our platform runs smoothly without disruptions. Our cloud is built
         from the ground up to produce a reliable service that eliminates and minimises service
         interruptions and data losses. We achieve this by employing high levels of redundancy in the
         way we store our data and the key hardware components that are essential for smooth
         operations. By migrating to the cloud, our customers benefit from our specialised knowledge
         and substantial investment in a robust hardware and software platform. Likewise, all our
         servers are located in high security, high service, dedicated data centres that ensure their
         physical integrity. We are very transparent and open about our infrastructure and are proud of
         the extra investment we have made to ensure our customers have the highest levels of
         reliability and service.

         Quality of Service
         We understand that the quality of our service is paramount for all our customers. That is why
         we are able to offer a 100% service level agreement (SLA) with a x50 compensation rate for
         qualifying service interruptions. Read our comprehensive cloud computing SLA.

         Agility and Adaptability
         By using the cloud you will gain new levels of agility and adaptability, allowing your computing
         needs to track and manage the demand you are facing over time. Automation of your
         computing resources also allows you to react in real-time to changing demands on your
         recourses. You can respond to ensure your customers receive uninterrupted, speedy service.
         The CloudSigma product allows full API control of your account allowing automation of your
         computing resources. Many customers use this to implement automatic horizontal and vertical
         scaling to allow them to maintain desired performance levels in the face of changing demand.
         We complement our powerful API with a browser based GUI and resource management tool
         allowing you to easily manage your computing resources.

IT Maestro | Advantages of Cloud Computing
         Economic Aspects

         Cost Reduction
         Significant cost savings can be achieved through transitioning existing infrastructure to cloud
         infrastructure. By not owning physical hardware users benefit from having no hardware
         maintenance costs or depreciation. Likewise scalability and pay per usage allow tight cost
         controls and avoid over purchase of capacity. This makes cloud hosting an ideal platform for
         CPanel reseller hosting and Plesk reseller hosting.

         Pay per Use
         This is the capability for users of cloud computing to make sure their usage reflects their
         actual consumption needs and, if need be, to adapt they capacity their purchase over time.
         Critically, it changes computing resources from being an upfront investment to an operational
         expense over time. Rather than trying to predict the capacity required and having either over-
         investment or under-investment in computing resources, the cloud allows for resources to be
         purchased as and when needed. Likewise, users of cloud infrastructure do not have to
         purchase their peak capacity need but can turn on and off capacity as their consumption need
         rises and falls. This change is particularly attractive to small to medium size enterprises
         (SMEs) and entrepreneurs. Mobile application developers often use cloud hosting to avoid
         large scale upfront investment in infrastructure ahead of having a clear idea of how popular
         their mobile application may become. This also leaves them with the ability to scale quickly if

         Quicker Time to Market
         By removing the need to purchase physical infrastructure, developing solutions and bringing
         new products to market more quickly. This relates not only to the lead times and management
         overhead associated with actually purchasing physical hardware and software but also to the
         decision making processes internally. By using cloud computing the up-front investment is
         vastly reduced and the user isn’t locked into longer term contracts that represent a significant

         Higher Return on Investment (ROI)
         Much higher ROI is possible by deploying cloud technologies however in order to achieve this
         the right cloud solution must be identified in advance and then adopted. The benefits from the
         cloud once deployed need to be weighed against the initial investment in terms of time and
         money in getting the new cloud infrastructure up and running. Generally speaking, the more
         flexible and the less restrictive the cloud platform, the less existing systems need to be
         adapted to work on that platform. Higher ROI can be achieved by using cloud computing that
         doesn’t need new users to significant change the way they use computing resources. The
         CloudSigma platform, by not bundling resources, by being independent of operating system
         or software and by not restricting how users deploy their computing resources aims to be that

         Turn CAPEX into OPEX
         In short, with traditional solutions, capital expenditure (CAPEX) is needed up front in order to
         get started. You are effectively purchasing all your computing resources for the next two
         years and in doing so attempting to predict what your needs will be for that period also. Using
         cloud infrastructure, you purchase the capacity you need as you go along, this turns your
         computing resource needs into on-going operational expenditure (OPEX). This has obvious

IT Maestro | Advantages of Cloud Computing
         cash flow benefits and also means you don’t need to make complicated investment decisions
         and predictions regarding future needs.

         Reduced Environment Footprint
         Computing and data transfer will continue to have a negative environmental impact largely
         due to the large electrical consumption that they entail. Until electrical production is largely
         replaced with green technologies, this will remain the case. There are a number of ways that
         its impact can however be reduced in a very real way, IaaS is one of them. Cloud providers
         work constantly to keep their clouds working at a high utilisation rate, these rates are typically
         much higher than dedicated hardware solutions where only one user with a varying utilisation
         rate over time is using that hardware. Cloud computing reduces that unused capacity through
         many mechanisms including utilisation rate based pricing which is how in fact CloudSigma
         prices short-term capacity. Increased utilisation rates means more work squeezed out of the
         same capacity with the same electricity consumption; this reduces individual users’
         environment footprint. CloudSigma has a strong environment policy and commitment which
         includes using high efficiency data centres and hardware. 95% of our electricity comes from
         green generation methods. This reduces our environment footprint significantly.

         Technological benefits
         Virtualisation is the key technological advance that supports the new world of cloud
         computing. Virtualisation serves to mask the technological complexity of the new cloud
         computing platforms and provides the user with the benefits. By hiding the underlying
         complexity of virtualising hardware, users can benefit from increased ease of use and be
         relieved of the overhead of managing and maintaining physical hardware. By not being tied to
         a particular capacity, users of cloud computing can vary their resource consumption in a way
         that is much more adaptable and flexible. Finally, by using virtual instead of physical
         computing resources, location becomes unimportant and invisible. Resources from many
         different physical locations can be managed as one resource. A user needing additional
         capacity in New York for example can add capacity instantly whilst at the same time
         managing capacity in London and Tokyo on the same system. If physical hardware was used,
         such flexibility and speed of deployment would be impossible.

         Cloud computing resources are generally controllable via an API. One of the key benefits of
         an API is its ability to grant the user meaningful control of their resources from anywhere.
         Likewise, it is possible for users to write code and scripts to automate and manage their
         computing resources based on their requirements. Such arrangements with physical
         hardware are impossible or require expensive sophisticated software management systems.
         CloudSigma has such a full API interface allowing management and control of resources
         remotely and if required in an automated fashion.

IT Maestro | Advantages of Cloud Computing

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