Amazon.com relation with Cloud Computing

One of the biggest proponents of the new paradigm revolving around cloud technology is Amazon. Once known as a book seller, Amazon has become a huge technology organization and they have one of the largest cloud businesses out there today.

It was built upon the idea that Amazon itself would need to use all of this processing power for themselves but in the course of developing their business development sessions they came up with a better business plan than they had thought of initially.

Instead, Amazon was one of the first companies to sell its processing power to other companies who need it. A large majority of customers for this service have ended up being small start-up companies, many of which do not have access to large sources of cash.

In lieu of spending venture capital dollars or other sorts of funding that they do not have on infrastructure equipment, these small companies are harnessing the use of the Amazon computing system for a few cents an hour. The best part is that they do not use what they do not need, and they are not charged for it.

The service, known as Amazon Web Services, has a few products: Simple Storage Service, Simple Queuing Service and the Elastic Compute Cloud. Their prices are set by only by usage statistics. For example, Simple Storage Service provides customers with a predefined set of space for music, videos and pictures for fifteen cents per gigabyte per month. 

The pay as you go structure is what intrigues a lot of people about this service, and it gives people the knowledge that there is scalability and flexibility in what Amazon is offering. For example, when someone signs up for the Simple Storage Service, they can specify where their data is stored, either Europe or North America.