Q8Cloud Computing
Question
2 marks
Define Utility Computing.
Answer
Utility computing is a service provisioning model where a service provider makes computing resources available to a customer as needed, and charges them based on specific usage.
It is synonymous with the pay-as-you-go model similar to traditional utilities like electricity and water. Customers are metered on consumption of CPU cycles, storage, or bandwidth rather than paying a fixed fee for owning the hardware. This model is the economic foundation of modern cloud computing, allowing organizations to convert capital expenditure (CapEx) into operational expenditure (OpEx).