Cloud Hosting: The Wave of the Future for Small- to Medium-Sized Business

Venture Computers - Article - 201114_imageCloud computing, which consists of a network of large groups of remote servers that allow shared data storage and resources, is rapidly becoming part of mainstream computing, with nearly 90% of businesses adopting it in some form or another over the past few years. This has been partially driven by the rapid growth of cloud hosting. Cloud hosting provides web site hosting on these virtual servers, in comparison to the traditional method of hosting a site on a single server. Small- and medium-sized businesses’ (SMBs) cloud adoption has seen unprecedented growth, because it supports a number of apps and workloads that IT professionals never expected. Small businesses especially have seen rapid cloud hosting adoption thanks to the cost-effectiveness and easy deployment of services.

Cloud computing was initially public, but over the past five years, this has expanded to include SMBs. Another benefit of the cloud is improved security, as many SMBs have been reluctant to adopt cloud hosting solutions over security concerns; in fact, 94% of SMB owners who have turned to cloud hosting providers for their needs have reported that their security has vastly improved.

When it comes to cloud hosting, SMBs can either host in-house or turn to a third party. Third-party cloud services are the most popular for small businesses since they mean someone else handles the day-to-day cloud operations.

Adopting the cloud has many advantages, with 70% of organizations that introduced SMB cloud services reporting that they reinvested the money they saved back into their company. In fact, it’s the second-most popular service that companies of all sizes have adopted, behind only e-mail.

Adoption by Business Size

SMBs are especially benefiting from the cloud, with organizations with 19 or fewer employees being 68% more likely to adopt the services of cloud hosting providers than businesses with 500 employees or more. And even if those small businesses haven’t, six percent of organizations plan to adopt cloud hosting services within the next six months.

Organizations of similar size are also adopting small business-tailored cloud services at a similar rate, with 61% of organizations with 20 to 99 employees embracing the cloud and seven percent planning to adopt the solutions within the next six months.

Cloud Maturity

When it comes to using SMB-based cloud services, this market segment is leaving big businesses in the dust, with 20% of SMBs developing a plan to adopt services of cloud hosting providers. Furthermore, 29% realize the benefits of the cloud and are working on their first cloud-based project. Finally, 25% of SMBs are currently using cloud hosting for multiple projects and apps; in fact, 26% of SMBs are already heavily using the cloud.

Benefits of the Cloud

Cloud computing and hosting has many benefits for SMBs. Clients of cloud hosting providers reported that the implication of the cloud reduced the time they spent managing by 51%. The cloud also requires 50% fewer internal IT resources, freeing staff to focus on other, more important tasks. In addition, 94% of SMBs reported improved security after they invested in cloud hosting solutions and 75% of SMBs who made the move to the cloud reported an astounding 75% improvement in the availability of their services. Lastly, 96% of SMB owners said they were less worried about outages after making the move to the cloud.

With our headquarters located in Scarborough, Venture Computers of Canada, Inc. is one of the top cloud hosting providers in the Greater Toronto Area. We offer flexible and secure SMB cloud services that can be tailored to your business’ needs and will be accessible anywhere there’s an Internet connection on both mobile and PC platforms.

Morris, F., “Infographic: SMB Cloud Adoption Trends in 2014,” PCWorld, October 7, 2014;