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Imagine that you’re an established offline consumer electronics retailer and you’re launching your own app for users to buy online. You’re surely planning to scale it up later. But how do you know how many servers you’ll need for the launch? It’s hard to tell, so you start with the servers you already have, simply because you don’t expect many users to hit your service immediately.
After you launch the app, it gets popular with the first 10,000 users, and all of them are totally pleased. So pleased that the app goes viral, and information about your project appears on TechCrunch. In just a day, you get 5,000,000 users instead of the 10,000 you expected. Most likely, 4,990,000 users, including possible investors and influencers, will see an error message or anything but your website. Of course, you could update your site's architecture and add multiple servers at once (if there’s money for that), say 100 or 200 of them, paying for the server downtime and waiting for 5000,000 users to come back one day (hopefully). But is there anything else you could do in this case?
The answer could be using cloud platforms, which benefit most projects. So many companies have already switched from on-premise app development to cloud-based development. Among these companies are Instagram, Quora, Reddit, Pinterest, Facebook, Netflix, Spotify, LinkedIn, Airbnb, and Adobe. Why do they use cloud management platforms? Because this way they can scale their apps quickly and, what’s more important, cost-efficiently.
Why is cloud computing getting so popular?
Enterprises that have already adopted cloud-based computing technology claim that they’re seeing 2.3 times more revenue growth. How is that possible? According to a survey on app development costs, companies spend from $100,000 to $500,000 on on-premise app development, and half of this money is actually spent on hardware and software. You can significantly cut about 50% of expenses after successfully switching to cloud-based app development.