Cloud computing is the process of moving data and software to the cloud, allowing businesses to access them from anywhere connected to the internet. Businesses can save money by moving to the cloud and scaling their infrastructure up or down quickly as needed. This allows companies to innovate more easily without waiting for new technology to be released.

The most common way that companies make use of cloud computing is to host their applications on cloud service provider’s servers. This type of cloud computing is called Software-as-a-Service (SaaS). SaaS providers host all of the hardware, middleware and application software required to run an enterprise app in their data centers. The service is typically provided on a pay as go basis, which means that the customer pays only for what they use.

Another popular cloud service is called Infrastructure-as-a-Service (IaaS). With IaaS the company rents the storage and hardware needed to build their own software in a data center maintained by the cloud computing provider. This is similar to renting a home where you only pay for the rooms you’re using, such as the kitchen during dinner or the bedroom at night.

Finally, a newer cloud service called Function-as-a-Service (FaaS) is emerging that offers even more scalability and agility for business users. FaaS breaks down cloud applications into small pieces that can be activated when required. This allows you to pay only for the resources you need.