Is cloud computing profitable

Abstract

Cloud Computing is stated as the next revolution in Information Technology sector, as it addresses some of the challenges faced by it - a way to increase capacity or add capabilities without investing in new infrastructure, training new people, or licensing new software. It has the potential to deliver leaner, agile and optimized IT services to its employees and end customers. The purpose of the project is to understand cloud computing, its business models and evaluate the total cost of ownership on the IT services for the organization based on legacy and cloud computing models. The first step is to study the existing literature on cloud computing, the different types and models of cloud computing and understand the benefits, challenges and risks involved for an organization in transitioning its IT services under cloud computing. The next step is to study the current service providers of cloud computing, their pricing models and then compare the cost of dedicated server set up with the cost that will be incurred in moving towards the cloud set up. The final step is to provide a framework based on which the right model will be recommended for the organization.