What is the cloud? | CNBC Explains

Summary

This video script explores the concept of cloud computing, illustrating how it operates as a global network of servers functioning like a massive hard drive. It discusses the convenience of cloud services for consumers, allowing data access anytime, anywhere, and the significant benefits for businesses, including scalability and cost-effectiveness. The script also highlights major players like Amazon Web Services and Microsoft Azure, and addresses potential risks such as internet outages and cyber attacks, emphasizing the importance of considering these factors in the cloud computing landscape.

Takeaways

• 🌐 The cloud is a global network of servers that function as a collective massive hard drive.
• 📂 Services like Gmail, Netflix, and Dropbox utilize cloud technology for data storage and access.
• 🔄 Cloud computing allows for data backup, replacing traditional methods like CD-ROMs and local hard drives.
• 📱 Devices like iPhones can back up data to cloud servers, ensuring data is not lost even if the device is damaged or lost.
• 🌍 Cloud services provide access to data from anywhere with an internet connection, offering convenience and peace of mind.
• 💾 Consumers benefit from not having to purchase devices with large local storage capacities, reducing costs.
• 💼 Businesses are significantly benefiting from cloud computing, with a projected global revenue exceeding $200 billion in 2019.
• 🔝 Major players in the cloud market include Amazon Web Services (AWS), Microsoft Azure, IBM, Google, and Alibaba.
• 💼 Smaller companies are also leveraging cloud services to grow their businesses without the need for substantial hardware investments.
• 💵 Cloud services often operate on a subscription model, allowing customers to scale their usage and costs as needed.
• ⚠️ Risks associated with cloud computing include internet outages, cyber attacks, and the difficulty of switching between cloud providers.

Q & A

What is the cloud in the context of computing?

The cloud refers to a global network of servers that act as a massive hard drive, allowing users to store and access data over the internet.

How does cloud computing enable access to data?

Cloud computing allows users to access their data anytime, anywhere, as long as they are connected to the internet, providing convenience and flexibility.

What are some common services that utilize cloud computing?

Common services that use cloud computing include Gmail, Netflix, and Dropbox, where users can store and access their data through the cloud.

How does backing up data to the cloud differ from traditional methods like CDs or hard drives?

Backing up to the cloud involves sending data to remote servers, which can be accessed from anywhere with internet, unlike CDs or hard drives that require physical access.

What are the benefits of using cloud services for consumers?

Consumer benefits include peace of mind for data loss, accessibility from any location with internet, and reduced need for large local storage, potentially lowering device costs.

What is the estimated worldwide revenue from cloud computing in 2019?

The estimated worldwide revenue from cloud computing in 2019 was over $200 billion, showing significant growth from $145 billion just two years prior.

Which companies are major players in the cloud services market?

Major players in the cloud services market include Amazon Web Services (AWS), Microsoft Azure, IBM, Google, and Alibaba.

How do smaller companies benefit from cloud computing?

Smaller companies benefit by not having to invest in expensive hardware for data backup, and they can store and access unlimited data online, often on a subscription basis.

What is the subscription pricing model for cloud services?

The subscription pricing model allows customers to pay a monthly fee for cloud services and scale their usage up or down as needed, providing flexibility.

What are some risks associated with storing data in the cloud?

Risks include data loss during internet outages, the threat of cyber attacks, and the difficulty of switching between different cloud providers due to compatibility issues.

Why might large cloud companies have significant power over user data?

Large cloud companies may have significant power over user data because of the difficulty users face in syncing accounts across different cloud platforms, leading to a reliance on a single provider.