Cloud Computing

Cloud computing is a paradigm of computing in which dynamically scalable and often virtualized resources are provided as a service over the Internet.

The concept generally incorporates combinations of the following:
infrastructure as a service (IaaS)
platform as a service (PaaS)
software as a service (SaaS)
Other recent technologies that rely on the Internet to satisfy the computing needs of users. Cloud computing services often provide common business applications online that are accessed from a web browser, while the software and data are stored on the servers.

Cloud computing customers do not generally own the physical infrastructure serving as host to the software platform in question. Instead, they avoid capital expenditure by renting usage from a third-party provider. They consume resources as a service and pay only for resources that they use.
Cloud computing users can avoid capital expenditure (CapEx) on hardware, software, and services when they pay a provider only for what they use. Consumption is usually billed on a utility (e.g. resources consumed, like electricity) or subscription (e.g. time based, like a newspaper) basis with little or no upfront cost
SAP has announced that maintenance for R/3 V4.6 will end as of March 2010; and maintenance for SAP R/3 4.7 will be extended, but at a higher cost. According to Cambridge, Mass.-based Forrester Research, these changes will affect approximately 70 percent of SAP users who now face difficult decisions: whether to pay increased costs for maintenance or upgrade to SAP ERP 6.0.
In a cloud computing system, there's a significant workload shift. Local computers no longer have to do all the heavy lifting when it comes to running applications. The network of computers that make up the cloud handles them instead. Hardware and software demands on the user's side decrease. The only thing the user's computer needs to be able to run is the cloud computing system interface software, which can be as simple as a Web browser, and the cloud's network takes care of the rest.
I am finishing my gatherings with an option to organizations whether to opt for Cloud computing or not…. See you all Soon.. J

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