6 reasons why companies are moving to the cloud?

6 reasons why companies are moving to the cloud?

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The reasons for enterprises are moving to the cloud because of the improvement of technology. Even though there are some Risk of moving to the cloud, but the companies or enterprises opt to moving application to the cloud.

Organizations experience the demand of end-users needs and the growth of technology. The organizations have their own physical data centers where physical servers sitting, these servers need multiple maintenance systems, license, and an administrator to keep these servers up and running all the time.

The situation of an on-premises server go worse when any component of the physical server gets corrupted and the restoration time keeps the server down for a longer period of time. The end-users face a bad experience and that causes an unhappy customer and loss to the business.

6 reasons why companies are moving to the cloud - know more

Reasons why companies are moving to the cloud?

Reasons to move to the cloud could be the scalability and elasticity feature provided by the cloud service provider vendors. Let us discuss the most compelling reason to migrate information to the cloud.

1.The outdated server on Datacenter and Their License renewal:

Why move applications to the cloud?

One of the reasons could be the License cost or the end of support for the underlying operating system. Most of the applications come with their own license and renewal of the license within a certain period of time.

The hardware vendors also include some License option, so to maintain an in-house data centre, the enterprises deal with a lot of Licenses and their invoices. Few of the application needs to run on certain server configuration including its Operating system.

But, each operating system has its own support life period. So if that application moves into the cloud with upgraded underlying OS and better server configuration, the end-user experience would be improvised and there would not be any worry to renew the license because the cloud providers take care of that.

2.Research and Development:

With the improvisation of the technology, most of the applications are trying to upgrade to the latest benefits with advanced technology, but the developers find it’s tough to test their applications because of the lack of servers or facilities provided.

Cloud provides the flexibility to spin up a server and test the code and application. Once the test is completed, developers can terminate the server. This approach provides a great amount of flexibility to the Enterprise developers to concentrate more on their core function of development.

3.Focusing on Global customers:

The network bandwidth restricts the request-response time and so the enterprises are restricted to a certain customer base within their region. But the cloud technology takes advantage of their global footprint through content delivery, which benefits the enterprises expand their products and services to global customers beyond their region boundary.

4. Scalability:

It is a challenge to predict the server resource use for any applications, so it would be difficult to get an optimal amount of servers resource ready to serve the upcoming web traffic. At the same time, it would be a loss if there are multiple servers but un-utilized.

So to provide a solution to this complexity, cloud providers provide the scalability facility where the servers can be spin up or down based on the resource utilization and that saves a lot of expenditure cost.


Enterprises maintain a backup of their servers, but if the backup server is in the same physical location, the chances of business disruption during any natural disaster or accident are high. So the cloud provides the redundancy to place the backup mechanism to a different location. 

6.Total cost of ownership:

It’s an upfront cost for an organization to buy physical servers as per the projected demand of the incoming traffic and sometimes, the servers remain unutilized and the cost of ownership and initial setup is very high on-premises.

But the cloud provides the facility of pay as you go, model, which benefits the enterprises to pay for the resources that they used.

We are sure the above points are enough to justify why cloud computing is important for the business.Looking for a dedicated cloud migration partner to move your data center from on-premises to the cloud? reach out to LIA INFRASERVICES.

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