Cloud computing, or “The Cloud,” is described by Wikipedia as, “…the variety of computing concepts that involve a large number of computers connected through a real-time communication network such as the Internet. It is very similar to the concept of utility computing. In science, cloud computing is a synonym for distributed computing over a network, and means the ability to run a program or application on many connected computers at the same time.”
For investors, the vital matter is how to profit from the “variety of” companies that are involved in The Cloud.
These range from massive publicly traded corporations such as Apple (NASDAQ: AAPL), Amazon (NASDAQ: AMZN), Verizon Communications (NYSE: VZ), and Microsoft (NASDAQ: MSFT) to boutique firms that excel in their function, such as Pay per Cloud.
For clients, no matter what the size, Pay Per Cloud can offer a customized package for an information technology infrastructure that allows the business to prosper from The Cloud. Verizon, Amazon and Microsoft cannot compete with Pay Per Cloud in terms of custom service, but all have much more massive resources. All perform very well.
But investing is the act of buying the future income stream of an asset.
There should be high growth ahead for Pay Per Cloud, due to its size and the mass of the potential client base. But Apple, Amazon, Microsoft, and Verizon Communications are four of the biggest publicly traded corporations. As a result, future growth is expected to be steady, but not stunning. A previous article on this site detailed how Apple is becoming an income stock, valued for the dividend it pays to shareholders rather than growth in the price of the stock. Revenue from The Cloud will enhance, rather than greatly expand, revenue streams for the future for these larger entities.
The commercial uses of The Cloud will only increase.
That expands the customer base for all companies in that business group. For smaller firms like Pay per Cloud, it should result in tremendous growth ahead. For large caps like Amazon, Microsoft, and Verizon Communications is should add another growing stream of revenue.