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Explore the core concepts of cloud computing and how it can help your business. In this module, you will:
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When you turn on a light, you simply want the light to work. You know you need electricity for that to happen, but in that moment, the details of how the electricity gets to the light bulb aren’t important. You might not think about electricity being created in a power plant, traveling through a large network of high-voltage transmission lines to your town, going through a substation, and eventually making its way into your home.
The process of turning on a light is hidden behind the simple act of flipping a switch. At this point, electricity becomes a utility, which has many benefits. First, you only pay for what you need. When you buy a light bulb, you don’t pay your electricity provider up front for how long you could possibly use it. Instead, you pay for the amount of electricity that you actually use. Second, you don’t worry about how or when power plants upgrade to the latest technology. Finally, you don’t have to manage scaling the electricity. For example, as people move to your town, you can rest assured that your light will stay on.
As a technology professional, it would be nice to have these same benefits when developing and deploying applications. Storing data, streaming video, or even hosting a website all require managing hardware and software. This management is an unnecessary obstacle when delivering your application to your users. Luckily there is a solution to this problem: cloud computing.
Learning objectives
In this module, you will:
Cloud computing services
The goal of cloud computing is to make running a business easier and more efficient, whether it's a small start-up or a large enterprise. Every business is unique and has different needs. To meet those needs, cloud computing providers offer a wide range of services. You need to have a basic understanding of some of the services it provides. Let's briefly discuss the two most common services that all cloud providers offer – compute power and storage.
Compute power
When you send an email, book a reservation on the Internet, pay a bill online, or even take this Microsoft Learn module you're interacting with cloud-based servers that are processing each request and returning a response. As a consumer, we're all dependent on the computing services provided by the various cloud providers that make up the Internet. When you build solutions using cloud computing, you can choose how you want work to be done based on your resources and needs. For example, if you want to have more control and responsibility over maintenance, you could create a virtual machine (VM). A VM is an emulation of a computer - just like your desktop or laptop you're using now. Each VM includes an operating system and hardware that appears to the user like a physical computer running Windows or Linux. You can then install whatever software you need to do the tasks you want to run in the cloud.
Serverless computing lets you run application code without creating, configuring, or maintaining a server. The core idea is that your application is broken into separate functions that run when triggered by some action. This is ideal for automated tasks - for example, you can build a serverless process that automatically sends an email confirmation after a customer makes an online purchase.
The serverless model differs from VMs and containers in that you only pay for the processing time used by each function as it executes. VMs and containers are charged while they're running - even if the applications on them are idle. This architecture doesn't work for every app - but when the app logic can be separated to independent units, you can test them separately, update them separately, and launch them in microseconds, making this approach the fastest option for deployment.
Here's a diagram comparing the three compute approaches we've covered.
Storage
Most devices and applications read and/or write data. Here are some examples:
In all of these cases, data is either read (looking up a price) or written (taking a picture). The type of data and how it's stored can be different in each of these cases.
Cloud providers typically offer services that can handle all of these types of data. For example, if you wanted to store text or a movie clip, you could use a file on disk. If you had a set of relationships such as an address book, you could take a more structured approach like using a database.
The advantage to using cloud-based data storage is you can scale to meet your needs. If you find that you need more space to store your movie clips, you can pay a little more and add to your available space. In some cases, the storage can even expand and contract automatically - so you pay for exactly what you need at any given point in time.
Summary
Every business has different needs and requirements. Cloud computing is flexible and cost-efficient, which can be beneficial to every business, whether it's a small start-up or a large enterprise.
Cloud computing isn't an all-or-nothing service approach. Companies can choose to use the cloud to store their data and execute logic as much, or as little as necessary to fulfill their business requirements. Existing businesses might choose a gradual movement to save money on infrastructure and administration costs (referred to as "lift and shift"), while a new company might start in the cloud.
Let's learn some of the top benefits of cloud computing.
It’s cost-effective
Scaling can be done manually or automatically based on specific triggers such as CPU utilization or the number of requests and resources can be allocated or de-allocated in minutes.
It's elastic
As your workload changes due to a spike or drop in demand, a cloud computing system can compensate by automatically adding or removing resources.
For example, imagine your website is featured in a news article, leading to a spike in traffic overnight. Since the cloud is elastic, it automatically allocates more computing resources to handle the increased traffic. When the traffic begins to normalize, the cloud automatically de- allocates the additional resources to minimize cost.
Another example is if you are running an application used by employees, you can have the cloud automatically add resources for the peak operating hours
during which most people access the application, and remove the resources at the usual end of the day.
It's current
When you use the cloud, you’re able to focus on what matters: building and deploying applications. Cloud eliminates the burdens of maintaining software patches, hardware setup, upgrades, and other IT management tasks. All of this is automatically done for you to ensure you're using the latest and greatest tools to run your business.
Additionally, the computer hardware is maintained and upgraded by the cloud provider. For example, if a disk fails, the disk will be replaced by the cloud provider. If new hardware update becomes available, you don’t have to go through the process of replacing your hardware. The cloud provider will ensure that the hardware updates are made available to you automatically.
It's reliable
When you're running a business, you want to be confident your data is always going to be there. Cloud computing providers offer data backup, disaster recovery, and data replication services to make sure your data is always safe. In addition, redundancy is often built into cloud services architecture so if one component fails, a backup component takes its place. This is referred to as fault tolerance and it ensures that your customers aren't impacted when a disaster occurs.
Cloud providers offer a broad set of policies, technologies, controls, and expert technical skills that can provide better security than most organizations can otherwise achieve. The result is strengthened security, which helps to protect data, apps, and infrastructure from potential threats.
When it comes to physical security – threats to cloud infrastructure, cloud providers invest heavily in walls, cameras, gates, security personnel, and so on, to protect physical assets. They also have strict procedures in place to ensure employees have access only to those resources that they’ve been authorized to manage.
Let us talk about digital security. You want only authorized users to be able to log into virtual machines or storage systems running in the cloud. Cloud providers offer tools that help you mitigate security threats and you must use these tools to protect the resources you use.
Summary
Cloud computing makes running a business easier. It’s cost-effective, scalable, elastic, current, reliable, and secure. This means you’re able to spend more time on what matters and less time managing the underlying details.
When selecting a cloud provider to host your solutions, you should understand how that provider can help you comply with regulations and standards. Some questions to ask about a potential provider include:
Microsoft provides the most comprehensive set of compliance offerings (including certifications and attestations) of any cloud service provider.
Compliance Offerings
The following list provides details about some of the compliance offerings available.
Economies of scale is the ability to do things more efficiently or at a lower-cost per unit when operating at a larger scale. This cost advantage is an important benefit in cloud computing.
Cloud providers such as Microsoft, Google, and Amazon are large businesses leveraging the benefits of economies of scale, and then pass the savings onto their customers.
These savings are apparent to end users in a number of ways, one of which is the ability to acquire hardware at a lower cost. Cloud providers can also make deals with local governments and utilities to get tax savings, lowering the price of power, cooling, and high-speed network connectivity between sites. Cloud providers are then able to pass on these benefits to end users in the form of lower prices than what you could achieve on your own.
In the past, companies needed to acquire physical premises and infrastructure to start their business. There was a substantial up-front cost in hardware and infrastructure to start or grow a business. Cloud computing provides services to customers without significant upfront costs or equipment setup time.
These two approaches to investment are referred to as:
CapEx computing costs
A typical on-premises data center includes costs such as:
Server costs
This area includes all hardware components and the cost of supporting them. When purchasing servers, make sure to design fault tolerance and redundancy, such as server clustering, redundant power supplies, and uninterruptible power supplies. When a server needs to be replaced or added to a datacenter, you need to pay for the computer. This can affect your immediate cash flow because you must pay for the server up front.
Storage costs
This area includes all storage hardware components and the cost of supporting it. Based on the application and level of fault tolerance, centralized storage can be expensive. For larger organizations, you can create tiers of storage where more expensive fault‐tolerant storage is used for critical applications and lower expense storage is used for lower priority data.
Network costs
Networking costs include all on-premises hardware components, including cabling, switches, access points, and routers. This also includes wide area network (WAN) and Internet connections.
Backup and archive costs
This is the cost to back up, copy, or archive data. Options might include setting up a backup to or from the cloud. There’s an upfront cost for the hardware and additional costs for backup maintenance and consumables like tapes.
Organization continuity and disaster recovery costs
Along with server fault tolerance and redundancy, you need to plan for how to recover from a disaster and continue operating. Your plan should consist of creating a data recovery site. It could also include backup generators. Most of these are upfront costs, especially if you build a data recovery site, but there's an additional ongoing cost for the infrastructure and its maintenance.
Datacenter infrastructure costs
With capital expenditures, you plan your expenses at the start of a project or budget period. Your costs are fixed, meaning you know exactly how much is being spent. This is appealing when you need to predict the expenses before a project starts due to a limited budget.
Benefits of OpEx
Demand and growth can be unpredictable and can outpace expectation, which is a challenge for the CapEx model as shown in the following graph.
With the OpEx model, companies wanting to try a new product or service don't need to invest in equipment. Instead, they pay as much or as little for the infrastructure as required.
OpEx is particularly appealing if the demand fluctuates or is unknown. Cloud services are often said to be agile. Cloud agility is the ability to rapidly change an IT infrastructure to adapt to the evolving needs of the business. For example, if your service peaks one month, you can scale to demand and pay a larger bill for the month. If the following month the demand drops, you can reduce the used resources and be charged less. This agility lets you manage your costs dynamically, optimizing spending as requirements change.
There are three different cloud deployment models. A cloud deployment model defines where your data is stored and how your customers interact with it – how do they get to it, and where do the applications run? It also depends on how much of your own infrastructure you want or need to manage.
Explore the three deployment methods of cloud computing
Public versus Private versus Hybrid
Public cloud
This is the most common deployment model. In this case, you have no local hardware to manage or keep up-to-date – everything runs on your cloud provider’s hardware. In some cases, you can save additional costs by sharing computing resources with other cloud users.
Businesses can use multiple public cloud providers of varying scale. Microsoft Azure is an example of a public cloud provider.
Advantages
Disadvantages
Some reasons teams move away from the private cloud are:
A use case scenario for a private cloud would be when an organization has data that cannot be put in the public cloud, perhaps for legal reasons. An example scenario may be where government policy requires specific data to be kept in-country or privately.
A private cloud can provide cloud functionality to external customers as well, or to specific internal departments such as Accounting or Human Resources.
Hybrid cloud
A hybrid cloud combines public and private clouds, allowing you to run your applications in the most appropriate location. For example, you could host a website in the public cloud and link it to a highly secure database hosted in your private cloud (or on-premises datacenter).
This is helpful when you have some things that cannot be put in the cloud, maybe for legal reasons. For example, you may have some specific pieces of data that cannot be exposed publicly (such as medical data) which needs to
be held in your private datacenter. Another example is one or more applications that run on old hardware that can’t be updated. In this case, you can keep the old system running locally, and connect it to the public cloud for authorization or storage.
Advantages
Some advantages of a hybrid cloud are:
Disadvantages
Some concerns you'll need to watch out for are:
Summary
Cloud computing is flexible and gives you the ability to choose how you want to deploy it. The cloud deployment model you choose depends on your budget, and on your security, scalability, and maintenance needs.
When talking about cloud computing, there are three major categories. It's important to understand them because they are used in conversation, documentation, and training.
Explore the three categories of cloud computing
IaaS versus SaaS versus PaaS