How Cloud is Shaping New form of Businesses


Nishant Kadian

Senior editor

Parul Saxena

Chief editor

Last updated: May 1, 2021

In one way or other, almost every business that somehow needs IT depends on cloud-based services now. The magnitude of this dependency may vary, but working in an environment completely isolated from the cloud is closest to impossible. If any business is able to do that, then most likely it is not doing any good for the business.

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Hosted applications for different needs (like- email, online collaboration, conferencing, and so on), social media, online storage, etc. are some of the ways in which cloud has been serving the different scales of business. Further digging into its offerings with SaaS, PaaS, and IaaS, the cloud becomes almost irresistible worthy for the Small and Medium Businesses (SMBs). Considering the importance of these services for business and effectiveness that the cloud offers with them, it is quite obvious that businesses will rely on the cloud heavily very soon. Many of them already are.


Talking about SMBs, Forbes reports that from 37% in 2015, the number of SMBs in The US that have adopted cloud computing will rise to 78% in 2020. That figure already appears more than double, but it’s even bigger because that will include the expected new businesses as well. Cloud computing changes the way in which different business operations are executed in a big way. 6 Ways As To How Cloud Computing Is Changing the Mobile SpaceHence, the impact on the overall business is various and very significant.

Availing More Services to the Business:

Simply think of a small business that functions with a number of employees located at various locations (read as freelancers). The expenses and infrastructure required to construct a communication network that connects them all with a dedicated telephonic extension so that external callers can reach them. This will sound very expensive and weary to achieve with the traditional Private Branch Solution (PBX). A cloud hosted PBX will take less than 30 minutes to set up the network without asking for much-dedicated hardware. So, the expenses saved by using cloud can be used avail more services, like- Internet Fax. Moral of the story is cloud needs lesser investment and infrastructure, which can be used to gain additional services. Read more: how to Fax From Your Computer, PC & Mac.

This is one of the greatest ability of the cloud. One can avail a number of services on the same platform. Most of the IT pros are already using such services without even noticing. For example, most of the online document storage services offer the option to view and edit the documents online and can even be worked upon in collaboration with other users. This is just a little sample of the cloud application. As the cloud service gets more intense, the number multiplies even further and overall it will contribute to the business productivity.

Better IT Leading to Specialization and Outsourcing:

IT, perhaps, is the biggest earner in the last 3 decades is still on a growth path. With the cloud popularity growing, software and internet will hold more potential than hardware in future. This also means that one can control the different IT operations from a remote destination and thus, it will bring in easier updating, upgrading, and issue resolutions. With quite a handy number of choices already available ‘as a service’, the IT outsourcing is already in demand. Further improvements will mean greater demand for IT outsourcing.

The outsourcing of IT will emphasize the growth of specialized services, or in other words, the fall of departmental operations in business. The most probable concept goes like- instead of hiring two accountants, buying new machines for them, and constructing their cabins in precious office space, one can easily outsource it to a specialized organization that can deliver accounting operations over a cloud. Same could be done with other ‘non-core’ departments of the business. Only the core operations will be performed by the particular business. Focused operations are likely to bring in better results. With the developing trust in the cloud, entrepreneurs will rely more heavily on their specialization than housing several departments that actually drains the crucial times and expenses from the businesses.

Increased Training Burden:

Cloud is not always a bed of roses for the businesses. While availing more services and being more specialized with the business operations, one would also have to face the task of training the employees for the new challenges that cloud offers.

There are many businesses that are not related to computers very closely and are now planning to move to the cloud for some good reasons. For them, the training task is certainly going to be very painful. Even those who have been working on computers day in and day out will have to go through some vigorous training. Arguably, most of the usual computing practices are different from the ones that cloud computing demands. Adapting to the changing security measures, storage processes, cross-devices handling, etc. may not be easy for everyone.

All this will lead to an increased burden of training and, on the brighter side, might give rise to another specialized business. The irony is the cloud will be helping in sharing that burden of training about the cloud. By adding muscles to Unified Communications, the cloud has been helping businesses in various fields; Training and education can easily be among those fields.

Splendid Development Environment:

All the possible impacts mentioned above are, in a way, solely dependent on the application development. Cloud brings a productive cycle of improvements with it. It offers the possibility of new services, which demands better application development. This demand asks for improved development services, which allows improved applications for users and again opens the possibility for new services.

The cycle has been rolling very well so far. While using the amazing applications that are empowering the businesses in various aspects, most of the users ignore that the development techniques have also progressed a lot in the recent years. Another reason for the improved development environment is that when developers are working for themselves, they ought to deliver the best.

Even with these improvements, the contribution of the cloud to the betterment of the development environment has not gigantic so far. But that trend is all set for a certain change. Application development over the cloud has gained focused very recently. Hulks in business, such as- Google, Microsoft, and Amazon, are already going neck and neck for offering better platforms for developers over the cloud. Apache has its Hadoop packing some wallops ever since it was launched. With the cloud, it just got better. The evergreen VMware has gone cloud-friendly as well. All this narrows down to furnish major improvements in the development abilities.

Another reason that is helping this development is that the cloud is not a regular seeker of infrastructure upgrades. Thus, the change in the development practices is not very expensive and well within the acceptable limits of the organizations.

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