Cloud Computing | Where & Where Not to Invest Your Resources
If you’re just beginning to embrace the idea of incorporating cloud computing into your business, you may not yet have taken cost into consideration – in particular the amount of money it takes to get cloud computing up and running for the first time. Not only should you consider the investment and user agreements involved with cloud migration, but you also need to think about your employees’ needs, the computing power required, and how networking will function after implementation.
In reality, you’re faced with two choices: 1) put in the money and time to implement cloud services yourself, or 2) find (and pay) someone who is willing to do this critical step for you.
As you’re working to implement cloud computing, you also need to decide where you are looking to invest your resources in order to see a return on your investment. Below are three scenarios of migrating a business to the cloud, along with a few suggestions on how your resources should (and should not) be spent.
Survivors (A good bet for your money)
While there are many cloud computing services that may not survive the business—such as Box Inc. who recently admitted that they’ve experienced irreparable past losses and have low expectations at future profits—there are others that stand to succeed. VoIP services, for instances, are expected to be high performing in terms of profitability. Likewise, Microsoft cloud computing technology is so integrated into the business world already that you can be sure it will be here for the long haul. Investing in an established cloud provider offers greater security than smaller, new cloud services.
Losers of the Game (No longer available)
Chances are the biggest factor to companies going belly-up lies in the capital they have (or don’t). With enough capital, you can practically do anything you want; however, when you don’t have much capital to play with, it’s even more important to be savvy with your money in order to survive.
Having a lot of capital at your disposal isn’t always a redeeming quality anyway. Take Nirvanix for example. At one point, Nirvanix had a $70 million surplus. Nevertheless, pressure from competitors and too much trading led to their demise.
Scams (Avoid at all costs)
Mixed in with the good and bad cloud computing services are businesses that are just looking to make money off you. Recently, the U.S. Securities and Exchange Commission broke up a pyramid scheme that was taking money from small businesses under the guise that they would double the investment. The entity (WCM and WCM777) was able to amass $65 million in a single year. Avoid cloud scams. If it sounds too good to be true, it probably is.
There are plenty of ways to lose money with poor cloud computing migration, but even more ways businesses can see sizable returns on their investment. As long as the cloud is implemented in a strategic and intelligent manner, the financial benefits of cloud computing are indisputable.
Contact a cloud computing consultant at Innovative Architects to discuss your company’s transition to the cloud. If you’d like to learn more about the potential of the cloud first, visit our blog and knowledge center.