The Benefits of Cloud Services: Why is it Important for Businesses?

Cloud services (cloud computing) open up countless opportunities for companies, aiding them in agile approaches, boosting cost-effectiveness, and most importantly, ensuring a successful future. In this article, we provide a detailed overview of what you need to know about cloud services, and why they have become an important and indispensable part of modern businesses.

While cloud services offer great benefits for companies, many still hesitate to use them, perhaps because they don't fully understand how it works and what benefits it can provide for them. In this article, our goal is to clarify the concept of cloud services and eliminate uncertainty about the significant benefits its implementation can bring.

To make the most of this technological trend and apply it successfully in our business, we first need to understand the fundamentals of cloud services. Besides, we need to see the benefits, as well as the challenges of its introduction and ways to overcome them. Following this, we need to keep up with technological trends that shape the future of cloud services. Let's get started!

What is Cloud Service?

Imagine that all our data, files, applications, and other files are located in a central place from where we can access any time, from anywhere, and with any device. This is not just fantasy, this is reality: this is what cloud service is all about. But what is cloud service precisely?

Cloud service is essentially a service that provides storage, software, and data over the internet. It allows people and companies to store and manage data on their own computers or local servers without them being physically present at the given location.

There are different types of cloud services: there are public, private, and hybrid clouds.

• Public cloud services are services that are available to everyone over the internet. 
• Private cloud services are created within a company or organization's own internal network and are only accessible with limitations.
• We talk about hybrid cloud services when we combine public and private clouds into a single system. It can effectively and flexibly handle different amounts of data, combining the advantages of the other two types.

Cloud service bridges the gap between IT capacity and business needs. In the following, we can find out how this can help companies perform better and be more competitive in the market.

The Business Benefits of Cloud Services

Every business needs cloud services. But why? We've gathered the most significant benefits!

Cost Reduction with Cloud Services

Let's start with the most frequently mentioned advantage: cost reduction. When using cloud services, the infrastructure is not maintained by you but by the provider. This reduces the cost of hardware, software management, and also the number of necessary IT professionals, thus saving you money overall. Not to mention that cloud services are scalable in most cases, meaning that the capacity can be reduced and expanded to meet needs, so you only have to pay for the service that is actually needed. That's what makes the solution truly cost-effective.

Flexible Work with Cloud Service

Flexible work is the second major benefit of cloud services. Staff no longer need to sit at their office computer to get their tasks done. Whether it's home-based work or remote work - colleagues are able to do their jobs from anywhere.

Increasing Efficiency with Cloud Services

Cloud services enable the acceleration of processes, thereby increasing business efficiency. Data and applications are immediately accessible from the cloud, reducing administration and waiting time. Collaboration is smoother and more reliable, posing fewer chances of error.

Security in Cloud Services

Last but not least: security. Cloud services keep their servers up-to-date and constantly make backups. Yes, even when disaster strikes, lost data can be recovered, reducing the chance of data loss!

Challenges and Solutions of Cloud Services

The introduction of cloud services doesn't always go smoothly. We may face unexpected challenges. Data protection and security concerns are among the most common obstacles, as sensitive business information is at stake. Moving data to the cloud can pose a significant risk if not properly protected.

In addition, the costs of introducing cloud services can be a significant barrier for companies. Although the cloud can result in cost savings in the long run, initial investment can deter small businesses.

Recognizing these potential challenges can help us find effective solutions. In terms of data security, choosing the right cloud service provider is critical. Look for a provider that offers robust security protocols and has proven experience in handling security incidents.

In terms of initial costs, flexible packages can enable cost reduction. Many cloud service providers offer various packages that allow companies to switch to cloud services gradually, at their own pace.

Last but not least, it's worth considering enlisting the help of experts. A consultant experienced in cloud services can help not only with technical details but also in developing solutions tailored to the business. Learn about the cloud-based services SERCO offers!

The Present of Cloud Services in Hungary

Corvinus University, Bitport, and IPR-Insights conducted a study focusing on how cloud-based solutions have been integrated into companies' computing systems.

According to the data from the online questionnaire survey, the majority use public cloud solutions for office services, such as office applications, email, collaboration. This is followed by business applications, and then databases and data cloud services.

Among the challenges related to the cloud, most mentioned dependence on the service provider. In addition, integration into the existing IT architecture causes problems, as well as the high costs of transition.

54.7% of companies spend less than 10 million Forints on the public cloud, 28.1% spend between 10-100 million Forints, and 17.2% spend more than 100 million Forints. The research also touched on future plans. According to this, 57% of those surveyed plan to increase such expenditures in the coming years.

The Future of Cloud Services

In the world of IT and technology, the only constant is change, and cloud services are no exception. In just a few years, they have revolutionized business processes and our everyday lives right before our eyes. So, what can we expect in the future?

Artificial Intelligence (AI) and Machine Learning (ML) are increasingly embedded in cloud services. This opens up possibilities for more efficient data analysis, more precise business predictions, and even smarter, more automated processes. Therefore, we will undoubtedly see more AI-based cloud services appearing on the market in the near future.

The number of native cloud technologies is also increasing. These software programs have been using cloud computing from the beginning, leveraging all the advantages of the cloud. With these new software, companies can work more agilely and efficiently.

Security is also following this trend. With the increasing safety awareness of users, cloud service providers can integrate the most modern security technologies and solutions into their services.

Last but not least, edge computing can help make cloud services even faster and more reliable.

As you can see, cloud service is already greatly impacting us, and this will be even more the case in the future. New technologies and trends will make the clouds even more efficient, thus they can play a larger role in both our private and professional lives.