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When you think of cloud computing, you probably picture videos, photos and emails that are stored on a network. These servers are mostly for storage but some also offer computing power that allows to run programs and applications. Cloud applications are the type of software that runs its processing logic and data storage across different systems. Some of the processing is performed on the device being used by the user, like a desktop or laptop while other processing is done on the server hosting the application.

Cloud applications are usually built with collaboration features, which allow multiple people to work simultaneously on a document. This improves teamwork and increase productivity. Many of them automatically update to include the latest security patches and features and save IT staff a lot of time.

Cloud applications can be scaled up and down extremely quickly. This flexibility is beneficial for companies that have changing or seasonal demands. It helps reduce operational costs by not having to buy hardware that might not be used during slow periods.

Cloud-based services are usually based on a subscription model, where users only pay for the services they utilize. This can be more cost-effective than purchasing software licenses for each device or operating system. This could also improve the efficiency of businesses, since they don’t need to invest large amounts of cash upfront in order to begin. In addition, many cloud providers provide disaster recovery services to their customers, which can help protect against local outages and even physical catastrophes.