What are the examples of utility computing?

For most clients, the biggest advantage of utility computing is convenience. The client doesn't have to buy all the hardware, software and licenses needed to do business. Instead, the client relies on another party to provide these services. The burden of maintaining and administering the system falls to the utility computing company, allowing the client to concentrate on other tasks.

Closely related to convenience is compatibility. In a large company with many departments, problems can arise with computing software. Each department might depend on different software suites. The files used by employees in one part of a company might be incompatible with the software used by employees in another part. Utility computing gives companies the option to subscribe to a single service and use the same suite of software throughout the entire client organization.

Cost can be either an advantage or disadvantage, depending on how the provider structures fees. Using a utility computing company for services can be less expensive than running computer operations in-house. As long as the utility computing company offers the client the services it needs to do business, there's no need for the client to look elsewhere. Most of the cost for maintenance becomes the responsibility of the provider, not the client. The client can choose to rely on simplified hardware, which is less expensive and can be easier to maintain.

However, in some cases what the client needs and what the provider offers aren't in alignment. If the client is a small business and the provider offers access to expensive supercomputers at a hefty fee, there's a good chance the client will choose to handle its own computing needs. Why pay a high service charge for something you don't need?

Another potential disadvantage is reliability. If a utility computing company is in financial trouble or has frequent equipment problems, clients could get cut off from the services for which they're paying. This spells trouble for both the provider and the client. If a utility computing company goes out of business, its clients could fall victim to the same fate. Clients might hesitate to hand over duties to a smaller company if it could mean losing data and other capabilities should the business suffer.

Utility computing systems can also be attractive targets for hackers. A hacker might want to access services without paying for them or snoop around and investigate client files. Much of the responsibility of keeping the system safe falls to the provider, but some of it also relies on the client's practices. If a company doesn't educate its workforce on proper access procedures, it's not hard for an intruder to find ways to invade a utility computing company's system.

One challenge facing utility computing services is educating consumers about the service. Awareness of utility computing isn't very widespread. It's hard to sell a service to a client if the client has never heard of it. Now that you've read this article, you're ahead of the game.

As utility computing companies offer more comprehensive and sophisticated services, we may see more corporations choosing to use their services. Eventually, it's possible that computers in data centers miles from your home or office will handle all your computational needs for you.

To learn more about utility computing and related topics, follow the links on the next page.

What Does Utility Computing Mean?

Utility computing is the process of providing computing service through an on-demand, pay-per-use billing method. Utility computing is a computing business model in which the provider owns, operates and manages the computing infrastructure and resources, and the subscribers accesses it as and when required on a rental or metered basis.

Techopedia Explains Utility Computing

Utility computing is one of the most popular IT service models, primarily because of the flexibility and economy it provides. This model is based on that used by conventional utilities such as telephone services, electricity and gas. The principle behind utility computing is simple. The consumer has access to a virtually unlimited supply of computing solutions over the Internet or a virtual private network, which can be sourced and used whenever it's required. The back-end infrastructure and computing resources management and delivery is governed by the provider.

Utility computing solutions can include virtual servers, virtual storage, virtual software, backup and most IT solutions.

Cloud computing, grid computing and managed IT services are based on the concept of utility computing.

Technology Q&A

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Utility ComputingWhat is Utility Computing?

Utility computing is a model in which computing resources are provided to the customer based on specific demand. The service provider charges exactly for the services provided, instead of a flat rate.

The foundational concept is that users or businesses pay the providers of utility computing for the amenities used – such as computing capabilities, storage space and applications services. The customer is thus, absolved from the responsibility of maintenance and management of the hardware. Consequently, the financial layout is minimal for the organization.

Utility computing helps eliminate data redundancy, as huge volumes of data are distributed across multiple servers or backend systems. The client however, can access the data anytime and from anywhere.

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What is the utility of computing?

Utility computing is a model in which computing resources are provided to the customer based on specific demand. The service provider charges exactly for the services provided, instead of a flat rate.

What are features of utility computing?

Utility computing solutions can include virtual servers, virtual storage, virtual software, backup and most IT solutions. Cloud computing, grid computing and managed IT services are based on the concept of utility computing.

What are the benefits of utility computing?

The most advantage of utility computing is its convenience. The client doesn't have to buy the software and licenses needed to do business. Instead, the client depends on another party to provide these services.

Is cloud computing a utility computing?

Cloud infrastructure involves the hardware and software components required for proper implementation of a cloud computing model. Cloud computing can also be thought of as utility computing or on-demand computing.