When we talk about cloud computing we do know that traditionally businesses had to buy expensive systems, hardware and software in order to use it. However with the advent of cloud computing companies can now use the software and can focus on the value they derive from it, rather than first focusing on obtaining it and then trying to learn and adapt to it. With cloud computing, they can merely subscribe to a web service or company that provides these applications and then use them as required. Further, the use can be discontinued as subscription is monthly, hourly or is pay-as-you-go where usage determines the fee you have to pay for obtaining that service. So if the service is not required it can be terminated or put on hold without incurring additional costs.
Cloud computing is often compared to network computing but it is not exactly that. In network computing, the data or documents that are created on one computer can be accessed from another computer in the same network and in that the networked technology is PC-Centric. However using the cloud computing methodology, the documents can be retrieved via the internet which makes it easier for teams to collaborate keeping in mind that only the organization’s members can access it and in that cloud computing is termed to be document-centric. (Miller, 2009)