Disadvantages of Utility Computing

We read about the great new concept of ‘Utility Computing’ and how it could save a company’s time and money. But this is not something that has only advantages, it has several disadvantages too. Before it can become a reality, one has to face up and solve all the challenged to give users a good experience. Some of the important issues looking at users in the face are discussed below.

Methods of billing. This is one area which is to be perfected. Service providing companies need to evolve and perfect ways of how they measure, evaluate and bill their customers for power and other consumed utilities. Since it depends on several other factors, they have to arrive at how to price them and whether the service should be time relevant or what? And whether big consumers should be given perks such as volume discounts and other facilities.

Quality management and branding. There are several IT companies which are trying to establish a set of quality standards for utility computing. These companies have conceptualized catchy punchlines, brand names for their offerings. For example IBM calls its offering as ‘on demand business’, Microsoft ‘dynamic systems’ etc. The problem is that there is no common ground between their offerings. These companies need to come together and device a common environment.

Transforming offering. The concept of ‘utility computing’ is simple and straightforward as in it says ‘you pay for how much you use’ but to install it and successfully operate it would be a big pain. This total change needs an advanced machinery to work up and most IT giants will have to totally transform their entire IT departments, modify operational procedures etc.

Some applications can be made utility based immediately and have started hitting the market but then the proliferation of this concept will take at least 5-10 years. But the trend will find global acceptance say experts in the field, because of its simplicity and utilitarian value. It is likely that small and mid-sized enterprises will jump into the bandwagon of ‘utility computing’ first and then the bigger ones will follow.

There are several attractive propositions in migrating to this concept. The first and most important thing maybe savings of money, apart from this it offers the vital access to pricey technologies at affordable costs, which otherwise small business would never been able to get access to. Businesses will save on new investments in hardware and can concentrate on staff recruitment and development.

Read about : Utility Computing and its varied advantages

Utility Computing and its varied advantages

A brand new theory in the world of information technology is the hypothesis of ‘utility computing’. To put it in common terms it is paying only for only the IT infrastructure and services that you use, akin to things which are basic for life, like water, telephone, electricity, etc.

Several proponents of this concept have already christened it as ‘The fifth utility’ to sum up the new and radical idea that customers use the computing abilities they need and pay for what they use. This is more commonly known as ‘utility computing’ and is already making rounds in the technology circles. There are obvious advantages from this new concept for end-users, enterprises.

Consumers: The end-user can get easy and quick access to technology without sparing a thought about investing in hardware, bandwidth etc because they know that they will have to pay only for what they use. It is like going to a petrol bunk and using the machine but paying only for the fuel.

Enterprises: Businesses have the great advantage of saving on IT infrastructure, desktop computers, software licenses and hiring manpower to maintain them. These will be the headache of the IT service aka ‘utility computing’ provider. Some enterprises can even create their own ‘computer divisions’ to take care of allocating and distributing computing abilities to employees. This way the company will not have any computer which is going unused and thus wasting investment of enterprise.

There are a host of uses for this new concept of utility computing. Some of them are mentioned below:
1.Fluctuating rates of IT infrastructure depending on the competition and market demand.
2.Easy to maintain inventory even at the final moment.
3.Can be used to decide calendar of events for new projects, manage work-flow, training etc.

This concept helps giving your employees access to all the software without actually buying a license. The service provider will invest on the software license and provide your employees what they need. This can get your company work done faster and at a lot cheaper price. With such easy access to computing you can add lot more applications and service offerings to your portfolio.

Employing the concept of ‘utility computing’ organizations can conserve enormous amounts of money. It is estimated that nearly 50 percent of a company’s IT expenditure can be saved over five years. And this will actually increase efficiency, prevent additional investments, cut down manpower expenditure, and use of IT infrastructure will be accounted for.

Read About : Disadvantages of Utility Computing