Cloud Computing

A post for my students preparing for the AWS Cloud Practitioner exam

Learning about cloud computing can feel like learning a new language. You’re bombarded with acronyms (IaaS, PaaS, SaaS, VPC, EC2… what?!), abstract concepts, and a whole new way of thinking about technology. It’s easy to feel overwhelmed.

But here’s the secret: at its core, cloud computing is built on a few simple, powerful ideas. The goal of this guide is to break down those core ideas into plain English. We’ll strip away the jargon and use real-world analogies to build a solid foundation of understanding. Think of this as your pre-flight checklist before you dive deeper into the specifics of AWS. By the end, you’ll not only grasp what the cloud is but, more importantly, why it has become the most transformative force in technology today.


What is Cloud Computing?

To truly understand the cloud, we first need to appreciate the world that came before it—a world of on-premises infrastructure.

The “Old Way”: Running Your Own Data Center

Imagine you wanted to launch a new website a couple of decades ago. Your to-do list would look something like this:

  1. Guess—Try to predict how many people will visit your site. Guess too low, and your site crashes from the traffic. Guess too high, and you’ve wasted a ton of money.
  2. Buy—Purchase physical servers (big, powerful computers), networking gear (routers, switches), and storage drives. This requires a massive upfront investment, known as Capital Expenditure (CapEx).
  3. Wait—Wait weeks or months for that hardware to be delivered.
  4. Build—Find a physical space—a server room or a rented spot in a data center—with specialized power, cooling, and security.
  5. Manage–Hire a team to “rack and stack” the servers, install the operating systems, manage the network, replace failed hard drives, and handle all the ongoing maintenance.

This process was slow, expensive, and inflexible. You were essentially building and operating your own private power plant just to turn on the lights. Every ounce of effort spent on managing this hardware was effort not spent on improving your actual website or application.

The “Cloud Way”: On-Demand IT Resources

Cloud computing is the on-demand delivery of IT resources over the internet with pay-as-you-go pricing.

Let’s break that down.

  • On-demand delivery—You get what you need, exactly when you need it. Need a server? You can have one in minutes. Need to store a petabyte of data? The storage is ready and waiting.
  • IT resources—This means everything from virtual servers and storage to databases, networking, machine learning tools, and more.
  • Over the internet—You access and manage these resources securely through a web browser or API, from anywhere in the world.
  • Pay-as-you-go pricing—This is the game-changer. You stop paying for the hardware itself and instead pay only for the amount of time you use it or the amount of data you store. This shifts your spending from Capital Expenditure (CapEx) to Operational Expenditure (OpEx).

The best analogy is the electrical grid. You don’t build your own power plant. You simply plug into the wall and pay a utility company for the electricity you consume each month. The utility company (like Amazon Web Services (AWS)) handles the immense complexity of generating and delivering the power; you just get to use it.

AWS is the world’s leading cloud provider. They operate a global network of massive, highly secure data centers. When you use an AWS service, you are essentially renting a tiny slice of their enormous infrastructure. This gives you access to a level of power, security, and scale that was once only available to the largest corporations.


The Cloud’s “Menu”: IaaS, PaaS, and SaaS Explained

Not all cloud services are the same. They generally fall into three main categories, which represent different levels of management and abstraction. To understand them, let’s use the famous “Pizza as a Service” analogy. 🍕

Infrastructure as a Service (IaaS)

IaaS provides you with the fundamental building blocks of computing: virtual servers, networking, and data storage. You don’t have to manage any physical hardware, but you are responsible for managing everything from the operating system (like Linux or Windows) on up, including your applications and data.

  • Pizza Analogy—This is the “take and bake” option. The pizza place provides you with the kitchen, oven, flour, water, yeast, tomatoes, and cheese. You are responsible for making the dough, creating the sauce, assembling the pizza, and baking it. You have maximum control over the final product.
  • What you manage–Applications, Data, Runtime, Middleware, Operating System.
  • What AWS manages–Virtualization, Servers, Storage, Networking.
  • Key AWS Examples:
    • Amazon EC2 (Elastic Compute Cloud)—This is the workhorse of AWS. It provides secure, resizable compute capacity—basically, virtual servers in the cloud.
    • Amazon S3 (Simple Storage Service)—An incredibly scalable object storage service for everything from website images to data backups.
    • Amazon VPC (Virtual Private Cloud)—This lets you carve out your own logically isolated section of the AWS cloud, giving you full control over your virtual networking environment.

Platform as a Service (PaaS)

PaaS removes the need for you to manage the underlying infrastructure (hardware and operating systems) and allows you to focus solely on the deployment and management of your applications. You just bring your code, and the platform handles the rest.

  • Pizza Analogy—This is like ordering a pizza for delivery. You don’t have to worry about the kitchen, the oven, or the ingredients. You just place your order, and a ready-to-eat pizza arrives at your door. You’re only responsible for setting the table and eating it.
  • What you manage—Applications, Data.
  • What AWS manages—Runtime, Middleware, O/S, Virtualization, Servers, Storage, Networking.
  • Key AWS Examples:
    • AWS Elastic Beanstalk—An easy-to-use service for deploying and scaling web applications and services. You simply upload your code, and Elastic Beanstalk automatically handles the capacity provisioning, load balancing, and application health monitoring.
    • Amazon RDS (Relational Database Service)—A managed service that makes it easy to set up, operate, and scale a relational database (like MySQL, PostgreSQL, etc.) in the cloud. AWS handles patching, backups, and scaling for you.

Software as a Service (SaaS)

SaaS provides you with a completed product that is run and managed by the service provider. You don’t have to think about infrastructure or platforms; you simply use the software, usually through a web browser.

  • Pizza Analogy—This is dining out at a pizza restaurant. You just show up, order your pizza, and enjoy your meal. The restaurant handles absolutely everything—the ingredients, the cooking, the serving, and even the cleanup.
  • What you manage—Nothing. You just use the software.
  • What AWS manages—Everything.
  • Examples—Think about the applications you use every day: Gmail, Salesforce, Dropbox, and Netflix are all examples of SaaS. AWS also offers its own SaaS products, like Amazon WorkMail (a managed email and calendar service).

As a Cloud Practitioner, understanding this shared responsibility model is crucial. Knowing what you are responsible for versus what AWS is responsible for is a key theme of the exam.


Where Does the Cloud Live? The Deployment Models

The next piece of the puzzle is understanding where the cloud infrastructure resides and who has access to it. There are three main deployment models.

  • Public Cloud—This is the most common model. The cloud infrastructure is owned and operated by a third-party cloud provider like AWS, and the services are delivered over the public internet. You share the underlying hardware with other customers (this is called a multi-tenant architecture), but your data and applications are logically isolated and secure.
    • Analogy—Living in a large, secure apartment building. You have your own private, locked apartment, but you share the building’s foundation, plumbing, and security staff with other tenants.
  • Private Cloud (or On-Premises)—This is a cloud environment operated exclusively for a single organization. It can be physically located in the company’s own on-premises data center or hosted by a third-party provider. This model offers greater control but loses some of the key benefits of the public cloud, like massive economies of scale.
    • Analogy—Owning a single-family house. You have complete control over everything, but you’re also responsible for all the maintenance, security, and costs.
  • Hybrid Cloud—This model combines a private cloud with one or more public cloud services, with proprietary technology enabling data and application portability between them. For example, a company might run its main applications in its private cloud but use the public cloud for disaster recovery or to “burst” out to handle a temporary spike in traffic.
    • Analogy—Owning a house but also renting a storage unit for items you don’t need all the time. You get the benefits of both models.

The Six Advantages of Cloud Computing

So, why has this model taken over the world? (At least in business applications, for personal uses, many of us still opt for owning our technology.) The AWS Well-Architected Framework outlines six key advantages that you absolutely must know for your exam. These are the business drivers behind cloud adoption.

  1. Trade Capital Expense (CapEx) for Variable Expense (OpEx)

Instead of investing heavily in data centers and servers before you know how you’re going to use them, you can pay only when you consume computing resources. This variable expense is much lower than what you would pay to do it yourself, and it frees up cash for you to invest in your actual business.

  • Benefit from Massive Economies of Scale

Because AWS serves hundreds of thousands of customers, it has achieved a scale of operations that is unmatched. They can buy hardware at much lower prices than any single company could. This translates into lower pay-as-you-go prices for you. It’s the “Costco effect”—buying in bulk saves everyone money.

  • Stop Guessing Capacity

In the on-premises world, you have to provision infrastructure based on your maximum peak traffic forecast. If you get it wrong, you either have expensive idle resources or you can’t meet customer demand. With the cloud, you can access as much or as little capacity as you need and scale up and down as required with only a few minutes’ notice. This concept is known as elasticity.

  • Increase Speed and Agility

In a cloud computing environment, new IT resources are just a click away. This means you can reduce the time it takes to make those resources available to your developers from weeks to just minutes. This results in a dramatic increase in agility for the organization, since the cost and time it takes to experiment and develop are significantly lower.

Stop Spending Money on “Undifferentiated Heavy Lifting”

The cloud allows you to stop spending money on running and maintaining data centers—the “undifferentiated heavy lifting.” Instead of focusing on racking, stacking, and powering servers, you can focus your valuable IT resources on developing applications and solutions that differentiate your business and serve your customers.

  • Go Global in Minutes

With a few clicks, you can easily deploy your application in multiple AWS Regions around the world. This means you can provide a lower latency and better experience for your customers at a minimal cost. For example, you can deploy your application in North America, Europe, and Asia simultaneously to serve a global user base, a task that would be prohibitively expensive and complex in an on-premises environment.


Tying It All Together: A Simple Startup Story

Let’s imagine a small startup, “PhotoVerse,” that wants to build a new photo-sharing app.

  • The Old Way: They’d need to seek thousands in funding to buy servers, guess their capacity, and spend months setting everything up before writing a single line of code for their app. If the app becomes a viral hit, their servers crash. If it’s a flop, they’re stuck with expensive, useless hardware.
  • The AWS Way:
    1. They launch a few EC2 instances (IaaS) to run their web application code.
    2. They use Amazon S3 (IaaS) to store billions of user photos, which is highly durable and inexpensive.
    3. They use Amazon RDS (PaaS) to run a managed database for user profiles and photo metadata, so they don’t have to worry about database administration.
    4. They configure Auto Scaling to automatically add more EC2 instances if traffic spikes, and remove them when traffic subsides.

Their total upfront cost is $0. They pay only for the compute, storage, and database resources they actually use each month. They can focus 100% of their energy on building the best photo app possible. They are more agile, they’ve lowered their risk, and they can scale globally on a moment’s notice. This is the power of the cloud.