Cloud computing is the delivery of on-demand computing services — applications, storage , processing power and other infrastructure services – typically over the internet and on a pay-as-you-go basis.
Instead of owning their own computing infrastructure or data centres, companies can pay for access to anything from applications to storage from a cloud service provider.
One benefit of using cloud computing services is that firms can avoid the upfront cost and complexity of owning and maintaining their own IT infrastructure, and instead simply pay for what they use, when they use it. This helps reduce the cost of launching and running applications.
In turn, cloud computing service providers can benefit from significant economies of scale by delivering the same services to a wide range of customers.
Overall, the use of Cloud Computing to host applications allow significant cost savings.