Cloud Computing Services – Definition Types and Deployments

Cloud computing is a well-recognized term today and is used frequently in the context of digital transformation and modern technology. However, what will be its implications are not fully understood. But using this technology without understanding its infrastructure and how it benefits you means you’re blindly relying on it.

To make use of the cloud in the best way, you need to understand cloud computing, such as what it is and how it works?

What is Cloud Computing?

Some time ago, the cloud concept was mocked at by calling it ‘someone else’s computer.’ This slogan was pasted on the coffee mugs of many IT professionals. Plainly speaking, you may define cloud computing as: A shared digital ecosystem that delivers hosted services through the internet.

Maybe there are a ton of ways to define cloud computing, but it is primarily centered around five key components:

• Networking
• Data management
• Storage
• Services
• Devices

Types of Cloud Services

The cloud computing services have grown into billions of dollars worth industry. Gartner forecasts that cloud spending will reach 723 billion dollars by the end of 2025. And Gartner is not the only company emphasizing the cloud computing’s growing popularity in the market.

Software-as-a-Service (SaaS)

It is also called “on-demand software,” and is the preferred cloud computing service of enterprises. It offers a vast range of applications and services. So SAAS has replaced the traditional business systems such as ERP, accounting, human resources management, content management systems, supply chain and inventory management, and customer relationship management (CRMs), etc.

SaaS doesn’t ask customers to buy an expensive licensed program, allowing users access to several cloud applications when required. According to the 2025 State of the SaaS-Powered Workplace Report, the average number of SaaS applications deployed is 106.

 Platform-as-a-Service (PaaS)

Imagine PaaS as the intermediary of cloud services because it is in the middle of SaaS and IaaS. By subscribing to this cloud service, users can access the tools needed to build a digital platform. It lays down the foundation for storage, networking, and virtual servers. Plus, the software and hardware required to design, develop, test, implement, manage, and run applications while integrating, analyzing, and sharing data.

Infrastructure-as-a-service (IaaS)

The IaaS layer features the necessary components, database storage, and a virtual platform. Through affordable and scalable IT solutions, the refined and costly hardware is outsourced to an external supplier. The entire range of IT components is automated for the users, allowing for self-catering of the storage or processing power of the featured platforms. The external supplier also maintains the components and the systems, including data backup for seamless business operation.

Types of Cloud Deployments

Public Cloud—A public cloud is implemented and maintained by an external IaaS cloud computing services provider. Servers, storage, and other digital resources are transported through the Internet. Since all the infrastructure and bandwidth costs are digested by the provider the customer can easily access services and manage accounts from a web browser.

This service is affordable, offers flexibility to scale up and down, and is maintenance-free. However, there are a few security concerns related to how the private and sensitive data is handled. So, requires compliance with security guidelines.

Private Cloud – Private cloud service is offered by an organization that is not controlled by or partnering with other enterprises or public platforms. All the cloud computing services, infrastructure, and networking are run by one entity. This deployment is either maintained in-house from a data center located within the premises. Or, an external supplier hosts everything on a private instance and charges a fixed fee.

The private cloud offers more control and customization. It is also more secure than a public cloud.

The Bottom Line

Today, almost 50 percent of IT spending is cloud-based, and that figure will grow over the years.