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Cloud computing – friend to the startup and foe to big business

Cloud computing is quickly becoming the norm in how we run our businesses these days. Like it or lump it, computing has been transformed by cloud services. Some companies have been slow and reluctant to embrace the innovation.

Perhaps the major reason for that lies in the fact that cloud computing can be a great leveller when it comes to business – it can allow the smallest of startups punch above their weight. Simultaneously bigger, more traditional companies are facing disruption from startups who are finding it easier to compete as a result of the fractional costs of cloud computing.

Friend

Smaller businesses will continue to leverage their agile digital advantages to build better customer experiences. And they will use technology to do it fast and cheap. Startups that have a proactive approach towards implementing new systems and strategies which avail of cloud computing are already reaping the benefits.

The number of startups sprouting up all over the world doesn’t necessarily mean that they will all be successful. That depends on a large number of factors. However here is certainly a realisation that the traditional way of doing things is no longer the accepted norm.

Cloud computing is one of the primary examples of that digital trend. Smart businesses (big and small) have made the move already, some are doing it currently, while there are those that are struggling to embrace it.

Foe

Are larger traditional companies going to fold based on the fact they’re slow to adopt cloud computing? Of course not.

Brands that have been around for decades aren’t going to go out of business tomorrow. However we continue to see actions such as sales to a consolidator or shrinking the company through layoffs and divesting.

Just this week industrial giant General Electric delisted from the Dow Jones exchange, with many pointing to its lack of willingness to innovate costing it dearly in the market.


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