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'''Cloud computing''' is "a paradigm for enabling network access to a scalable and elastic pool of shareable physical or virtual resources with self-service provisioning and administration on-demand," according to [[International Organization for Standardization|ISO]].<ref name=":0">{{Cite news |date=2023 |title=ISO/IEC 22123-1:2023(E) - Information technology - Cloud computing - Part 1: Vocabulary |work=International Organization for Standardization}}</ref>
==Essential
In 2011, the [[National Institute of Standards and Technology]] (NIST) identified five "essential characteristics" for cloud systems.<ref name="nist">{{cite tech report|title=The NIST Definition of Cloud Computing|number=Special publication 800-145|institution=National Institute of Standards and Technology: U.S. Department of Commerce|date=September 2011|author1=Mell, Peter|author2=Timothy Grance|doi=10.6028/NIST.SP.800-145}}</ref> Below are the exact definitions according to NIST:<ref name="nist" />
* On-demand self-service: "A consumer can unilaterally provision computing capabilities, such as server time and network storage, as needed automatically without requiring human interaction with each service provider."
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==History==
{{main|History of cloud computing}}
The history of cloud computing extends
The "cloud" metaphor for virtualized services dates to 1994, when it was used by [[General Magic]] for the universe of "places" that mobile agents in the [[Telescript (programming language)|Telescript]] environment could "go". The metaphor is credited to David Hoffman, a General Magic communications specialist, based on its long-standing use in networking and telecom.<ref>{{cite magazine |last=Levy |first=Steven |date=April 1994 |url=http://archive.wired.com/wired/archive/2.04/general.magic_pr.html |title=Bill and Andy's Excellent Adventure II |archive-url=https://web.archive.org/web/20151002033751/http://archive.wired.com/wired/archive/2.04/general.magic_pr.html |archive-date=2015-10-02 |magazine=Wired}}</ref> The expression ''cloud computing'' became more widely known in 1996 when [[Compaq Computer Corporation]] drew up a [[business plan]] for future computing and the [[Internet]]. The company's ambition was to supercharge [[sales]] with "cloud computing-enabled applications". The business plan foresaw that online consumer file storage would likely be commercially successful. As a result, Compaq decided to sell [[Server (computing)|server]] hardware to [[internet service provider]]s.<ref>{{Cite book|title= To the Cloud: Big Data in a Turbulent World |url=https://books.google.com/books?id=YwbvCgAAQBAJ&pg=PA15 | author1=Mosco, Vincent |publisher= Taylor & Francis |year=2015 |isbn= 9781317250388 | pages=15}}</ref>
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== Value proposition ==
{{Page numbers needed|section|date=January 2024}}
Cloud computing can enable shorter time to market by providing pre-configured tools, scalable resources, and managed services, allowing users to focus on their core business value instead of maintaining infrastructure. Cloud platforms can enable organizations and individuals to reduce upfront capital expenditures on physical infrastructure by shifting to an operational expenditure model, where costs scale with usage. Cloud platforms also offer managed services and tools, such as artificial intelligence, data analytics, and machine learning, which might otherwise require significant in-house expertise and infrastructure investment.<ref name=":7">{{Cite book |title=Cloud Computing: Concepts, Technology & Architecture |isbn=978-0133387520 |last1=Erl |first1=Thomas |last2=Puttini |first2=Ricardo |last3=Mahmood |first3=Zaigham |date=2013 |publisher=Pearson Education }}</ref><ref name=":8">{{Cite book |title=Cloud Computing, revised and updated edition |isbn=978-0262546478 |last1=Ruparelia |first1=Nayan B. |date=August 2023 |publisher=MIT Press }}</ref><ref name=":9">{{Cite book |title=Cloud Computing |isbn=978-1284233971}}</ref>
While cloud computing can offer cost advantages through effective resource optimization, organizations often face challenges such as unused resources, inefficient configurations, and hidden costs without proper oversight and governance. Many cloud platforms provide cost management tools, such as AWS Cost Explorer and Azure Cost Management, and frameworks like FinOps have emerged to standardize financial operations in the cloud. Cloud computing also facilitates collaboration, remote work, and global service delivery by enabling secure access to data and applications from any ___location with an internet connection.<ref name=":7" /><ref name=":8" /><ref name=":9" />
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Cloud providers offer various redundancy options for core services, such as managed storage and managed databases, though redundancy configurations often vary by service tier. Advanced redundancy strategies, such as cross-region replication or failover systems, typically require explicit configuration and may incur additional costs or licensing fees.<ref name=":7" /><ref name=":8" /><ref name=":9" />
Cloud environments operate under a [[shared responsibility model]], where providers are typically responsible for infrastructure security, physical hardware, and software updates, while customers are accountable for data encryption, identity and access management (IAM), and application-level security. These responsibilities vary depending on the cloud service model—Infrastructure as a Service (IaaS), Platform as a Service (PaaS), or Software as a Service (SaaS)—with customers typically having more control and responsibility in IaaS environments and progressively less in PaaS and SaaS models, often trading control for convenience and managed services.<ref name=":7" /><ref name=":8" /><ref name=":9" />
== Factors influencing the adoption and suitability of cloud computing ==
{{Page numbers needed|section|date=January 2024}}
The decision to adopt cloud computing or maintain on-premises infrastructure depends on factors such as scalability, cost structure, latency requirements, regulatory constraints, and infrastructure customization.<ref name=":3">{{Cite book |title=Cloud Computing For Dummies |isbn=978-0470484708 |last1=Hurwitz |first1=Judith S. |last2=Bloor |first2=Robin |last3=Kaufman |first3=Marcia |last4=Halper |first4=Fern |date=16 November 2009 |publisher=John Wiley & Sons }}</ref><ref name=":4">{{Cite book |title=Hybrid Cloud for Architects: Build robust hybrid cloud solutions using AWS and OpenStack |isbn=9781788623513}}</ref><ref name=":5">{{Cite book |title=Security Architecture for Hybrid Cloud: A Practical Method for Designing Security Using Zero Trust Principles |isbn=9781098157777}}</ref><ref name=":6">{{Cite book |title=Architecting the Cloud: Design Decisions for Cloud Computing Service Models (SaaS, PaaS, and IaaS) |isbn=978-1118617618 |last1=Kavis |first1=Michael J. |date=28 January 2014 |publisher=John Wiley & Sons }}</ref>
Organizations with variable or unpredictable workloads, limited capital for upfront investments, or a focus on rapid scalability benefit from cloud adoption. Startups, SaaS companies, and e-commerce platforms often prefer the pay-as-you-go operational expenditure (OpEx) model of cloud infrastructure. Additionally, companies prioritizing global accessibility, remote workforce enablement, disaster recovery, and leveraging advanced services such as AI/ML and analytics are well-suited for the cloud. In recent years, some cloud providers have started offering specialized services for high-performance computing and low-latency applications, addressing some use cases previously exclusive to on-premises setups.<ref name=":3" /><ref name=":4" /><ref name=":5" /><ref name=":6" />
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===Public===
{{
Cloud services are considered "public" when they are delivered over the public Internet, and they may be offered as a paid subscription, or free of charge.<ref>{{cite web|first=Margaret|last=Rouse|title=What is public cloud?|access-date=12 October 2014|url=http://searchcloudcomputing.techtarget.com/definition/public-cloud|publisher=Definition from Whatis.com|archive-date=16 October 2014|archive-url=https://web.archive.org/web/20141016022343/http://searchcloudcomputing.techtarget.com/definition/public-cloud|url-status=live}}</ref> Architecturally, there are few differences between public- and private-cloud services, but security concerns increase substantially when services (applications, storage, and other resources) are shared by multiple customers. Most public-cloud providers offer direct-connection services that allow customers to securely link their legacy data centers to their cloud-resident applications.<ref name="idc">{{cite web |date=2008-09-23 |title=Defining 'Cloud Services' and "Cloud Computing" |url=http://blogs.idc.com/ie/?p=190 |url-status=dead |archive-url=https://web.archive.org/web/20100722074526/http://blogs.idc.com/ie/?p=190 |archive-date=2010-07-22 |access-date=2010-08-22 |publisher=IDC}}</ref><ref>{{cite web|url=https://cloud.oracle.com/en_US/fastconnect|title=FastConnect {{!}} Oracle Cloud Infrastructure|website=cloud.oracle.com|access-date=2017-11-15|archive-date=2017-11-15|archive-url=https://web.archive.org/web/20171115232022/https://cloud.oracle.com/en_US/fastconnect|url-status=live}}</ref>
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The ''Communication'' set out a series of "digital agenda actions" which the Commission proposed to undertake in order to support the development of a fair and effective market for cloud computing services.<ref name=ec529 />{{rp|Pages 6–14}}
== Cloud Computing Vendors ==
As of 2025, the three largest cloud computing providers by market share, commonly referred to as hyperscalers, are Amazon Web Services (AWS), Microsoft Azure, and Google Cloud.<ref>{{Cite web |title=Global cloud infrastructure market share 2024 {{!}} Statista |url=https://www.statista.com/statistics/967365/worldwide-cloud-infrastructure-services-market-share-vendor/ |archive-url=http://web.archive.org/web/20250118002217/https://www.statista.com/statistics/967365/worldwide-cloud-infrastructure-services-market-share-vendor/ |archive-date=2025-01-18 |access-date=2025-03-20 |website=Statista |language=en}}</ref><ref>{{Cite web |title=Gartner Says Worldwide IaaS Public Cloud Services Revenue Grew 16.2% i |url=https://www.gartner.com/en/newsroom/press-releases/2024-07-22-gartner-says-worldwide-iaas-public-cloud-services-revenue-grew-16-point-2-percent-in-2023 |access-date=2025-03-20 |website=Gartner |language=en}}</ref> These companies dominate the global cloud market due to their extensive infrastructure, broad service offerings, and scalability.
In recent years, organizations have increasingly adopted alternative cloud providers, which offer specialized services that distinguish them from hyperscalers. These providers may offer advantages such as lower costs, improved cost transparency and predictability, enhanced data sovereignty (particularly within regions such as the European Union to comply with regulations like the General Data Protection Regulation (GDPR)), stronger alignment with local regulatory requirements, or industry-specific services.<ref name=":10">{{Cite book |last=Linthicum |first=David |title=AN INSIDER'S GUIDE TO CLOUD COMPUTING |date=2022 |publisher=ADDISON WESLEY |isbn=978-0-13-793578-9 |___location=Erscheinungsort nicht ermittelbar}}</ref>
Alternative cloud providers are often part of multi-cloud strategies, where organizations use multiple cloud services—both from hyperscalers and specialized providers—to optimize performance, compliance, and cost efficiency. However, they do not necessarily serve as direct replacements for hyperscalers, as their offerings are typically more specialized.<ref name=":10" />
==Similar concepts==
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* [[Edge computing]]
* [[Edge device]]
* [[Exchange-traded fund]]
* [[File system]]
** [[Clustered file system]]
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