Pay-as-you-go cloud computing (PAYG cloud computing) is a payment method for cloud computing that charges based on usage. The practice is similar to that of utility bills, using only resources that are needed.

One major benefit of the pay-as-you-go method is that there are no wasted resources, since users only pay for services procured, rather than provisioning for a certain amount of resources that may or may not be used. With traditional enterprise design, users architect data storage to handle the maximum workload. But with the public cloud, the pay-as-you-go method allows you to be charged only for what you store.

PAY-AS-YOU-GO Salutions

If there’s one thing that midmarket companies pride themselves on – and rightly so – it’s their agility. Many mid-sized organizations remember the excitement of their start-up days and still foster the entrepreneurial spirit of those times. Looking forward, they see very real opportunities for expansion by pushing into new product lines and exploiting market opportunities that the bigger players may have overlooked.

But midmarket companies’ IT departments can’t always provide the flexibility to cash in on those opportunities. Procurement of IT infrastructure is often a drawn-out process, installation is time-consuming, and management may balk at the upfront expense. Capacity planning is tricky. Let’s say you launch a successful sales campaign in a new region, which results in a sudden surge in demand – but then you find that you’re pushing up against your capacity limits for compute and storage and running into performance issues. Or perhaps your workloads have grown over the years to the point where building a data center, or expanding your current one, makes sense. But then you’re likely looking at significant upfront costs, not only for the IT assets, but also for the facilities footprint.

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