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Week Four: Chapter Six: The Cloud (6.2 How do organisations use the cloud?…

- - - - CLOUD-BASED HOSTING
        
        Advantages
        
        small capital requirements
        
        speedy development
        
        flexibility and adaptability to growing or fluctuating demand
        
        known cost-structure
        
        possibly best-of-breed security/ disaster preparedness
        
        no obsolescence
        
        industry-wide economies of scale, hence cheaper
        
        Disadvantages
        
        dependency of vendor
        
        loss of control over data location
        
        little visibility into true security and disaster preparedness capabilities
      - IN-HOUSE HOSTING
        
        Advantages
        
        control of data location
        
        in-depth visibility of security and disaster preparedness
        
        Disadvantages
        
        significant capital required
        -significant development effort
        -annual maintenance costs
        
        ongoing support costs
        -staff and train personnel
        
        increased management requirements
        
        difficult to accommodate fluctuating demand
        
        cost uncertainties
        
        obsolescence
      - WHY NOW?
        
        cheap processors, essentially free data communication and data storage
        
        virtualisation technology enables near instantaneous creation of a new virtual machine
        
        internet-based standards enable flexible, standardised processing capabilities
    - - When law or standard industry practice require physical control or possession of the data