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The benefits of cloud computing

Dec 2nd 2019 at 1:30 PM

The benefits of cloud computing

By Mathias Blicher Jensen (


Cloud technology is the future of computing, it allows for more flexibility and scalability than traditional self-hosted solutions, while also reducing IT-costs.

In this report, I will cover the basic benefits of cloud computing, explain cloud computing in both B2B market and private households and include an interview with a Danish company that depends on cloud computing.

To fully understand the report it is recommended to have basic knowledge of cloud computing beforehand.

The basic benefits of cloud computing for B2B:

It used to be a very common practice that big companies had their own datacenters, with their own hardware and staff, which was very costly, while smaller companies would rent space in a data center and buy and place hardware in them as well, which was also costly. This practice is still performed by many companies today, but cloud computing has driven a lot of companies away from this method, mainly due to reduced costs and also the flexibility and scalability. With cloud computing companies won't have to invest in hardware or datacenters, neither do they need to pay or maintain services that they don't use all the time. They can rent resources on demand, and pay for it only when they use it, meaning that if their resources aren't used at night, they can turn it off and save money until It's turned back on. This is possible because the provider of the cloud solution can rent out these resources to another client meanwhile, meaning they can still make money off their resources 24/7 even though clients only pay when they use it.

Besides the flexibility and reduced costs comes scalability, you can easily scale your resources up and down depending on consumer demand. This saves you money because you only pay for what you use, but it also allows you to quickly scale up in case of increased consumer demand, without having to experience any downtime.

Cloud computing for private households:

Cloud computing has dominated the B2B market heavily, but the average household probably still owns one or multiple home computers, or perhaps even gaming computers, but maybe that is to change in the near future when cloud computing aims for new horizons, especially gaming.

Shadow Tech is a company based in Paris, and they aim to put cloud gaming into the average household because It’s cheaper and more convenient for the end-user.

Shadow Tech owns multiple data centers where they host powerful gaming computers that they rent out as cloud gaming solutions, this means that any cheap computer or phone can connect remotely to Shadow Tech and enjoy smooth and high-quality gaming.

This first of all means that the end-user doesn’t have to invest in an expensive computer to get a great gaming experience, but it also means that you only have to pay when you use it, meaning you can rent it for one month, and then end your subscription the month after if you no longer have time for gaming. You also won’t have to think about hardware or operating system upgrades, as Shadow Tech takes care of all this for you.

Shadow Tech is a growing company, and many other companies are also investing in this field, it seems very convenient but only the future can tell if it will dominate the same way cloud computing did in B2B and hosting industries.

A real-life case study of cloud computing:

A real-life scenario is a great way to put something into perspective and to really explain why something is very convenient. I reached out to Froggaming, a Danish provider of high-quality gaming computers, and we spoke about what cloud computing has done for their business.

"Cloud computing has allowed us to scale our business even further. In our industry sales are very varying throughout the year, and cloud computing allows us to easily scale our infrastructure, to save us money, and to secure us against losing revenue to downtime,” says Stefan Bargisen, founder of Froggaming.

Stefan made the message clear, cloud computing allows you to save money while still being more convenient than traditional solutions.

Conclusion and personal thoughts:

I truly believe in the concept of cloud computing, I think it will save companies a big amount of money, and allow for easier scaling of online business. I also think this concept will replace electronics in private households, meaning our home PC's, consoles, etc. will soon be small computers that connect to a cloud solution externally.


My only concern could be privacy, but our society is already relying so much on IT, that It's not really something I am worried about.

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