Category Archives: Cloud Computing

IJ-CLOSER ISSN: 2089-3337

Cloud Computing : Research Issues and Implications (M.Rajendra Prasad)

7. Long-term Feasibility

Users may be sure that the cloud data or information put into the cloud storage will never become

invalid even particular cloud computing service provider go broke or get acquired and swallowed up

by a larger company. The cloud potential providers how to would get the data back, and it would

be in any format that it is import into a replacement application"-Gartner [12].

8. Legal Issues

In the same way that the electricity one uses may have been generated in another country where

costs are lower, the computer processing power or storage one buys via a Cloud service may be

based in another country, or indeed may be divided between multiple countries. But as well as the

cost and efficiency advantages brought in this arrangement, this also raises vexing legal issues in the

case of Cloud Computing arising out of exporting customers data abroad; also, the Cloud Services

Provider has to contend with the Legal Systems under different Jurisdictions with not so much of

visibility as to where the Data resides and how it is routed to the End User while passing through

different Legal Jurisdictions. Again, vexing Legal Issues relating to ownership of data and liability

for its loss or misuse have to be dealt with by the Cloud Service Providers. The legal issues differ

from those arising from conventional outsourcing or hosting [15].

5. CONCLUSION

In this paper, to analyze and discussed an emerging technology: Cloud Computing. The evolving is

one of the core platform for Computer Science (academics) and Information Technology (industry) in the

professional world. It describes cloud background, evolution, definition, service models, deployment models

and some existing issues. There is no doubt that the cloud computing is the emerging development trend in

the future. Cloud computing brings us the approximately infinite computing capability, good scalability, on-

demand service and so on, also challenges at security, reliability, and privacy, legal issues and so on.

Because of this, it has been attracted by everyone including the attackers. The paper is expected to be a right

path or URL for those who works or does research in cloud computing. We acknowledge the cloud

computing era, to solving and prevent the existing issues and implications for maximum necessity is

required.

REFERENCES

[1] Randolph Barr, Qualys Inc, How To Gain Comfort In Losing Control To The Cloud.

[2] Voas.J, & Zhang, J.(March/April 2009) Cloud Computing: New Wine or Just a New Bottle? IEEE ITPro, pp.1517.

[3] Radarnetworks & Novaspivak; http://radarnetworks.com

[4] Greg Boss, Padma Malladi, Dennis Quan, Linda Legregni, Harold Hall, HiPODS, http://www.ibm.com/developerworks/

websphere/zones/hipods/

[5] http://www.wampserver.com/en/ [accessed on 15 December 2012]

[6] Nicholas Carr's Blog: http://www.roughtype.com/ [accessed on 15 December 2012]

[7] Tharam Dillon, Chen Wu, Elizabeth Chang, 2010 24th IEEE International Conference on Advanced Information

Networking and Applications, Cloud computing: Issues and Challenges.

[8] Elinor Mills, January 27, 2009. Cloud Computing Security Forecast: Clear Skies

[9] Jianchun Jiang, Weiping Wen, Information Security Issues In Cloud Computing Environment, Netinfo Security,

doi:10.3969/j.issn.1671-1122.2010.02.026.

[10] C. Clark, K. Fraser, S. Hand, J. G. Hansen, E. Jul, C. Limpach, I. Pratt, and A. Warfield, [2005] Live migration of

Virtual machines In Proc. of NSDI05, pages 273-286, Berkeley CA, USA, 2005. USENIX Association.

[11] Eucalyptus Completes Amazon Web Services Specs with Latest Release.

[12] Gartner. Seven Cloud-Computing Security Risks http://www.infoworld.com July 02, 2008.

[13] http://salesforce.com/cloudcomputing/ [accessed on 15 December 2012]

[14] http://www.cio.com/topic/3024/Cloud_Computing [accessed on 15 December 2012]

[15] M.Rajendra Prasad, Dr.Jayadev Gyani, Dr.P.R.K.Murti, Mobile Cloud Computing Implications and Challenges,

IISTE Journal of Informational Engineering and Applications (JIEA); http://iiste.org; pp.7-15, Vol.2, No.7, 2012.

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(PDF) Cloud Computing : Research Issues and Implications

Cloud Computing is an on-demand service for IT resources, including delivering cloud storage, development tools, servers, networking, and software analytics. The service refers to the process of tasks done through remote data centers.

The remote data center handling the tasks is managed by a cloud service provider, making the services available for a fee. Cloud computing eliminates the need for on-premises IT, furthermore eliminating the need for any direct active management of the user.

Moreover, these services allow companies even to minimize IT infrastructure costs. The most common examples of cloud computing, which almost everyone uses in their day-to-day life, without even noticing, are Gmail, Netflix, Dropbox.

Cloud computing allows users systems to access data and access web applications on remote servers. To further understand how the service works, lets discuss its two divisions: front-end and backend.

Users can access the data stored on cloud servers using web browsers or special cloud computing software through the front-end. Meanwhile, the backend is where the actual work happens; comprising servers, computers, and databases, it is responsible for data storage.

The service has three main models, each providing different services.

In the most basic category of cloud computing, most of the services fall under this category. IaaS provides users access to networking features and data storage space. IaaS gives users the most flexibility and control over their IT resources.

As the name suggests, the SaaS model provides software applications via remote servers, mainly termed web applications. This model allows users to access web applications from anywhere globally via their devices.

The PaaS model of cloud computing service provides development tools using APIs, web portals, and gateway software. This model is used for general software development, and the software is generally hosted after being developed. Googles app engine is one such example.

While you might not realize it, you tend to use the service every day. You use cloud computing by sending an email, editing documents online, listening to music online, streaming movies, or playing games. While the technology is nearly a decade old, from small startups to major tech companies, even government bodies use the service.

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What Is Cloud Computing? - Fossbytes

The healthcare cloud infrastructure market has been projected to grow at a noticeable speed in the years to come. The market growth across the globe has been possible with the increasing trend of digitalization in the healthcare industry and cloud deployment of the systems from the healthcare sector. Along with these factors, integration of ML/AI algorithms, overburdened systems, inefficient facility management, and rising expenditure are some of the significant factors that are predicted to fuel expansion opportunities in the market during the forecast period.

Care facilities are predicted to drive the operation and functional outcomes in the healthcare industry. In addition to this, integration and streamlining of their workflows, optimum care delivery, and enhancement of data management & security are some of the noticeable facilities that are offered by the key market players. Owing to these features, the services from the healthcare cloud infrastructure market have been predicted to fuel growth impetus in the forthcoming years.

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Healthcare Cloud Infrastructure Market: Key Trends

The healthcare industry has been providing access to advanced technological solutions. Along with this, the rising adoption of cloud computing services in order to reduce the cost and to improve scalability, storage, and flexibility in the healthcare services are expected to fuel expansion avenues in the market during the forecast period. There has been a noticeable growth in the IT infrastructure in developed countries around the world. Owing to these factors, the healthcare cloud infrastructure market has been projected to experience various expansion opportunities in the upcoming years.

In recent years, the care facilities have been undergoing different burdens with the significant increase in the population of the patients and rising volume of the information of the patients. In addition to this, the rising increase in the demand for data integration and access to real-time data is also putting an impact on the growth prospects in the healthcare cloud infrastructure market in the forthcoming years.

Healthcare Cloud Infrastructure Market: Competitive Dynamics and Key Developments

The key players serving in the healthcare cloud infrastructure market have been concentrating to innovate and develop some advanced solutions and products to provide efficient services. These key players have been devising their strategies of technological collaboration in order to expand their market offerings. Some other growth opportunities include expansion of the distribution network, portfolio diversion, product development and launches, expansion of company footprints through partnership and subsidiaries, mergers and acquisition, and R & D activities.

For instance, Persistent Systems has establish a collaboration with IBM in June 2021. The motive of this collaboration is to help in digital transformation for clients, open hybrid cloud adoption, and fuel core IT modernization.

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Amazon Web Services has launched AWS in July 2021. These services have been launched for Health with an aim to help in life science and healthcare enterprises in order to achieve their set digital goals.

The key players in the healthcare cloud infrastructure market are:

Healthcare Cloud Infrastructure Market: Regional Assessment

The healthcare cloud infrastructure market has been divided into Europe, North America, the Middle East & Africa, Asia Pacific, and South America on the basis of geographical locations. The North America Region, among these geographical areas, is predicted to hold a noticeable position in the market. The region also holds a dominating position in the market revenue. The market position has been possible with the rapidly growing technological advancements in the IT industry. Along with this, the public as well as private sectors along with government bodies are also increasing their expenditure in the healthcare industry that is likely to boost growth avenues in the regional market. The presence of some key market players in the region to develop healthcare solutions and products is also contributing to the growth impetus in the market.

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Healthcare Cloud Infrastructure Market | Rising adoption of Cloud Computing Services Drive the Growth - BioSpace

DigitalOcean Holdings, Inc (NYSE:DOCN) operates a cloud computing platform that services customers worldwide.

The company went public in March of 2021, and the stock has risen in price well over 50% since the initial public offering (IPO). Despite the overall success, the stock is down more than 40% from its recent 52-week high. Growth stocks have fallen out of favor based on macroeconomic fears of interest rate hikes, faster tapering, and general concern over valuations. DigitalOcean has been unfairly caught in this net, which offers investors a compelling entry point.

DOCN data by YCharts

The cloud-services market is dominated by major players from Big Tech. Amazon (NASDAQ:AMZN), Microsoft (NASDAQ:MSFT), and Google (NASDAQ:GOOG) hold sway over 61% of the market. Going head-to-head with these highly successful giants would be foolish, which is why DigitalOcean's business model focuses on the needs of small and medium-sized businesses (SMBs). While large corporations need the complex, expensive solutions that Big Tech can provide, SMBs are more focused on cost, ease of use, and customer service. DigitalOcean prides itself on its straightforward billing structure, simplicity, and world-class customer service.

SMBs are also a very fertile market that has been overlooked by larger companies in the industry. DigitalOcean estimates that there are 100 million companies with less than 500 employees worldwide, with 14 million new SMBs formed each year. It estimates that the total addressable market will grow to $116 billion by 2024. This is a gigantic opportunity to become the go-to solution for these smaller companies.

Image source: Getty Images.

DigitalOcean is growing revenue steadily, and the growth is accelerating. As shown below, top-line revenue is expected to grow 34% to $427 million in fiscal 2021. The growth rate is well above the prior year's 25% growth rate, which is a terrific sign for things to come. In addition, while the company is not yet profitable in terms of generally accepted accounting principles (GAAP), it is both cash-from-operations (CFO) and earnings before interest, taxes, depreciation, and amortization (EBITDA) positive. For fiscal 2021, the company expects to make close to $130 million in adjusted EBITDA.

Image source: DigitalOcean.

The revenue growth comes from two sources: new customers and existing customers spending more each period with the company. DigitalOcean reports a net retention rate of 116% for the third quarter of 2021. A rate over 100% means that existing customers are spending more each period in excess of any customers who leave the platform. In fact, monthly revenue per unit has grown from $48.6 in Q3 2020 to nearly $62 in Q3 2021, an annual gain of 28%.

In addition to growth, DigitalOcean has attractive margins which indicates scaling to profitability is likely. First, the adjusted gross margin reached 80% in Q3 2021. The adjusted EBITDA margin for full fiscal 2021 is expected to be over 30%. This allows the company to be cash flow positive in its growth phase. Positive cash flow is great for investors. It suggests that the company will not need to raise cash through either debt or equity financing to pay for general operations. The company also has a significant cash balance from which to make acquisitions. DigitalOcean posted over $589 million in cash and equivalents on hand with no long-term debt at last report.

DOCN Cash and Equivalents (Quarterly) data by YCharts

The high-quality margins and fortress balance sheet indicate that DigitalOcean has a distinct path to healthy profits in the coming years.

DigitalOcean has found a terrific way to coexist in a sector with some of the largest companies on the planet; it simply doesn't compete with them. Instead, it focuses on those customers that don't interest the big tech companies much: independent developers and SMBs. And millions of these will be transitioning to cloud-based operations in the coming periods. Those who may have thought they missed the boat on DigitalOcean have seen the stock come back to port. Revenue is growing at an impressive and accelerating clip. The company is investing in growth and has a stated, and attainable, goal of reaching $1 billion in revenue by fiscal 2024.

DigitalOcean is also not a "growth at all costs" type of stock. The company has quality margins and is cash flow positive, which indicates an inherent route to GAAP profitability in the coming years. All of this, combined with an extremely solid balance sheet, make DigitalOcean stock a strong candidate to consider for long-term growth investors.

This article represents the opinion of the writer, who may disagree with the official recommendation position of a Motley Fool premium advisory service. Were motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.

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Cloud Computing for the Little Guy Is a Big Deal - Motley Fool

More organizations are turning their eyes to edge computing as cloud adoption reaches new heights. Experts predict there will be 55 billion edge devices by 2022 as latency and resilience demands grow and 5G makes these networks possible. While this growth is impressive, it raises several security concerns.

Edge computing expands attack surfaces, and data centers lack the resources of traditional cloud infrastructure. If security approaches dont shift to meet these new challenges, the edge may bring more risks than value.

Here are six ways companies can improve their security as companies prepare to expand their edge environments in 2022.

Another way edge environments can ensure security by design is to embrace a zero-trust approach. While many think of zero trust as a method of restricting user access, it applies to devices, too. Each edge device should only have access to what it absolutely needs, and even then, authenticate its identity before access.

Edge environments are too complex and full of endpoints to trust any network request. Implementing zero-trust security will ensure one endpoint doesnt jeopardize the rest of the network. Zero-trust architecture also works well with SASE, as SASE provides the context necessary for situational authorization.

One of the most important security upgrades is secure access service edge (SASE) architecture. SASE brings wide-area networking (WAN) and network security services into a single cloud solution. This convergence gives organizations more transparency and control over their operations, which is essential for edge security.

Monitoring edge networks can be challenging given their distributed, endpoint-heavy nature. SASE makes it easier to look into and control these networks by reducing complexity and automating background security tasks. As IT sprawl rises and edge environments become increasingly complex, that benefit will become difficult to overlook.

Fewer than 1% of organizations had SASE strategies as of 2018, but Gartner predicts that figure to rise to 40% by 2024. As edge computing becomes more common, it may have to grow faster still.

Part of reliable cybersecurity is ensuring a network can continue functioning when a disruption occurs. Traditional data centers can ensure this resiliency through redundant on-premises infrastructure, but this isnt an option for edge computing. Thats why nine out of 10 edge data center owners say that network-based distributed resiliency will become common in the next few years.

Distributed resiliency involves replicating data across multiple sites. That way, if one edge data center experiences disruption, the network can shift the workload to another center or across several. This setup lets these facilities mitigate disruptions and downtime without increasing their physical infrastructure.

As edge networks grow and handle more sensitive information, they should also employ confidential computing. This process encrypts data while in use, not just in storage or in transit. Since edge centers have limited infrastructure for securing their access and availability, this step is crucial for improving security.

Traditional computing methods leave data vulnerable right before, during, and immediately after processing, as they must decrypt it. Confidential computing uses hardware-based trusted execution environments (TEE) to lock this process behind encrypted doors, removing that vulnerability. If edge systems include these TEEs by design, they can scale without introducing security issues.

One easily overlooked but critical part of edge computing security for 2022 is standardization. Since edge networks involve diverse endpoints with specific functions, theyre often eclectic and complex, making them difficult to manage. Standardizing security protocols and processes helps reduce this complexity, enabling faster responses.

Setting standard controls and security measures on the underlying cloud platform can help ensure consistency across the edge. When these networks become easier to manage, they become easier to secure. This standardization is also crucial for some of the edges most impressive applications.

Edge networks will likely prove essential for self-driving cars, but a delay of just 100 milliseconds is enough to cause a crash. By reducing complexity through standardization, edge environments can ensure faster data transmission and processing, preventing these accidents.

Edge computing adopters must also consider physical security. Organizations that move away from traditional data centers lose their privacy and access controls, even without realizing it. Since edge centers are more publicly accessible, they must include strong physical security controls.

Edge devices must include tamper-proof designs, locking mechanisms, and similar protections. Internal factors like hardware root of trust and ID authentication measures are also recommended. Since companies cannot continually monitor these locations, they must ensure no one can interfere with them through physical access.

The edge has the potential to revolutionize the world of cloud computing. However, companies must be careful not to overlook security considerations in their excitement to embrace this new technology. Edge security must improve before the edge becomes widespread.

These six steps provide a starting point for reliable edge security. Implementing these improvements will let organizations expand their edge environments without compromising cybersecurity.

About the Author: Devin Partida is a cybersecurity and data privacy writer whose work is regularly featured on Yahoo! Finance, Entrepreneur, AT&Ts cybersecurity blog, and other well-known industry publications. She is also the Editor-in-Chief of ReHack.com.

Editors Note: The opinions expressed in this guest author article are solely those of the contributor, and do not necessarily reflect those of Tripwire, Inc.

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Improving Edge Computing Security in 2022 | The State of Security - tripwire.com

Cloud computingcompanies see rapid growth as demand forartificial intelligence, 5G,andthe Internet of Thingsrise.Althoughcompanies havebeenusingcloud storage services forsometime,itscrazegrew sharplyduring thelockdownsin 2020.

Here we discuss two stocks thatsaw robust growththis year.

The Trade Desk, Inc. (NASDAQ: TTD)

TheVentura, California-basedTheTrade Desk provides acloud-based platformto ad buyers,whocan optimize, create, and manage their data-driven ad campaigns in audio, video, display, in-app, and native and social ad formats. These campaigns can be used on different devices.

The company has posted revenue of US$800 million for the nine months ended Sept 30, 2021,up55% YoY,compared toUS$516 million in the comparable periodofthe previous year.

The net income grew to US$129.7 million or US$0.26 per share diluted compared to US$90 million or US$0.19 per share diluted in the same periodof2020.

The companysawstrong customer retention of over 95% during the quarter.

Also Read:Top 8 US vaccine stocks of 2021

TheTrade Deskwas founded in 2009 and went public in Sept 2016.It has a market capitalization of US$46.1 billion,aP/E ratioof168.51,andaforward P/E one yearof283.30.

The stock price moved between US$114.09andUS$46.71 in the last 52 weeks. It generated a 19.91% return YTD and closed at US$96.05 on Dec 23, 2021.

Also Read:These 5 US stocks returned between 500% and 5,000% in 2021

Also Read:Yearender: Top 5 shipping and logistics stocks of 2021

DigitalOcean Holdings, Inc. (NYSE: DOCN)

TheNew York-based DigitalOcean provides cloud computing tools and on-demand infrastructure for start-ups, small and medium-sizedenterprises,anddevelopers.

The platformisused forvariousprojects,including web development,gaming, mobile applications, website hosting, e-commerce, etc.

For the nine months ended Sept 30, 2021, DigitalOcean recorded revenue of US$309 million compared to US$231 million for the same period in 2020.

The company booked a net loss of US$7.38 million or US$(0.08) per diluted share versus a net loss of US$29.7 million or US$(0.72) per diluted share inthe sameperiod of 2020.

Its average revenue per customer (ARPU) in Q3, 2021,increased by 28%YoY toUS$61.97.

Also Read:Yearender: Top 5 healthcare stocks that grabbed limelight in 2021

The companywasfeaturedinNewsweekslist ofmost loved workplaces for 2021.

The technology company has a market capitalization of US$8.6 billion. The stock traded in the range of US$133.40 to US$35.35 in the last 52 weeks.It closed at US$81.26 on Dec 23, 2021.DigitalOceanlaunched itsIPO in March 2021.The stock gained over90% sincetheIPO.

Also Read:Blackstone Products (BLKS) to go public via SPAC know details

Bottomline

The S&P 500 Information Technology Sector Index rose 32.73% YTD, showing the sector's steady growth. However, investors must exercise due diligence before investing in stocks.

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Top 2 cloud computing stocks to watch in 2022 - Kalkine Media

The global cloud computing market size in 2020 was US $ 371.35 billion. The global cloud computing market size recorded an average annual growth rate (CAGR) of 19% during the forecast period from 2022 to 2030. It is projected to grow to US $ 211.4 billion in 2030.

Factors Affecting

Market Growth A prominent factor driving the growth of the global cloud computing market is the expansion of the remote work culture. Trends and increasing investment in establishing cloud computing services. With the advent of machine learning, artificial intelligence (AI), and big data, cloud-based technologies are being introduced globally. Therefore, the market It will drive growth. In addition, the surge in demand for scalable, secure and cost-effective solutions is also expanding the growth of the global computing market.

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The global cloud computing market has advantages such as no infrastructure initial setup cost and on-demand access. It is expected to be a driving force due to the growing awareness of the cloud.

Segment analysis

By company size, it is divided into small companies, medium companies, and large companies. Of all segments, the large enterprise segment is expected to account for the largest revenue share due to the increasing adoption of on-demand computing. On-demand computing provides flexibility and operations. Reduce costs and help build efficient applications. These benefits are expected to accelerate market growth during the study period.

The global cloud computing market is service-based, global cloud computing. The ing market is divided into infrastructure as a service (IaaS), platform as a service (PaaS), and software as a service (SaaS). Among all segments, software as a service (SaaS) is Due to its flexible cost, easy maintenance and deployment, it has the largest share.

By end use, the banking and financial services and insurance (BFSI) sector is the highest market due to the increasing adoption of cloud services . It occupies market share. Cloud-based platforms help us securely store and manage consumer data.

By region, North America has the largest share of the global cloud computing market, with significant growth expected in the Asia-Pacific region. North Americas growth is Oracle Corp., Microsoft Corporation. Due to the presence of leading companies such as (Microsoft Corp)., Amazon.com Inc., International Business Machines Corp., and in the United States. , Companies are focusing on digital transformation and contributing to market growth. This is believed to contribute to market growth.

Leading competitors

Global cloud computing market companies Announcing key strategic initiatives to drive organizational growth. In January 2021, Accenture acquired Cloud Native and Oracle to enhance its cloud-first and digital transformation capabilities. In addition, the global cloud.

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The profiles of the major players in the computing market are: Adobe Inc. Alibaba Group Holding Ltd. Amazon.com Inc. CenturyLink DigitalOcean DXC Technology Fujitsu Google LLC International Business Machines Corporation Microsoft Corporation NEC Corporation Open Text Corporation Oracle Corporation OVHcloud Rackspace Technology Salesforce.com Inc. SAP SE Skytap Tencent Virtustream Vmware Workday, Inc. Zoho Corporation Pvt. Ltd. Other Prominent Players

Scope of Report

The global cloud computing market is segmented with a focus on services, deployment, enterprise size, end-use, and region.

Service-based segmentation. Infrastructure as a Service (IaaS) Platform as a Service (PaaS) Software as a Service (SaaS)

Deployment-based segmentation public private hybrid

Segmentation based on company size Large companies Small and medium-sized enterprises

End-use based segmentation Banking and Financial Services and Insurance (BFSI) Information technology / communication Retail / consumer goods Manufacturing industry Energy utility Healthcare Media entertainment Government / public institution others

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By region,North America America Canada Mexico

Europewestern Europe England Germany France Italy Spain Other Western European countries

Eastern Europe Poland Russia Other Eastern European countries

Asia-Pacific China India Japan Australia / New Zealand Association of Southeast Asian Nations Other Asia Pacific regions

Middle East / Africa (MEA)United Arab Emirates (UAE) Saudi Arabia South Africa Other Middle East / Africa regions

South America Brazil Argentina Other South American regions

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The Global Cloud Computing Market size recorded an average annual growth rate (CAGR) of 19% during the forecast period from 2022 to 2030|$ 211.4...

Cloud-native supercomputers are now available for a wider range of companies

Cloud is now quite predominant in enterprise computing and it has taken a sudden, yet very quiet shift towards the area of supercomputing. Cloud-native supercomputing is one of the biggest developments ever happened in supercomputing and it is now ready to tackle both the HPC and AI workloads. The supercomputers at present are not just made of specialised and complicated hardware parts, they are made of high-end servers which are highly interconnected by software that can utilize HPC or high-performance computing workloads across that hardware. These servers can be in a data center as well as in the cloud.

The worlds most powerful supercomputerswere once only accessed by the government, research universities, and well-protected corporations. They were primarily used for cracking enemy codes, stimulating weather, and designing nuclear reactors. Those highly modified supercomputers are now available to a wider range of companies, thanks to the cloud. Enterprise cloud computing has successfully created new ways for businesses to engage customers from software-as-a-service to mobile computing. Supercomputing on the other hand will provide new possibilities for innovation fastening R&D speed and product development by orders of magnitude. For instance, the Concorde supersonic program took 25yrs to form and an amount of $5 billion was spent to launch its first commercial flight in the year 1976, while a start-up named Boom Supersonic (founded in 2014) was powered by cloud supercomputing. With the help of the cloud, it managed to run 53 million compute hours on Amazon Web Services (AWS), with plans to scale more than 100 million compute hours.

The cloud-native supercomputer has the following functions:

Cloud computing has the capability to create new possibilities for science and engineering. For instance, Samsung Electronics created a cloud-based platform for the fabless customers (who design and sell hardware, but do not manufacture it), so that they can use diverse electronic designs on demand and can also collaborate with Samsung before manufacturing. This new approach will bring continuous integration to engineered products. Utilizing supercomputing in the cloud is gradually becoming the foundation of innovation in many industries worldwide. Today, supercomputing in the cloud is making possible everything that seemed to be mere science fiction yesterday. There are certain industries that exist only because of this computational marvel, for instance, private space travel.

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Cloud-Native Supercomputing - The Foundation of a Digital World - Analytics Insight

Marissa Giustina, a researcher with Google's quantum computer lab, draws a diagram showing "quantum supremacy" as only an early step on a path of quantum computer progress.

After years of development, quantum computers reached a level of sophistication in 2021 that emboldened commercial customers to begin dabbling with the radical new machines. Next year, the business world may be ready to embrace them more enthusiastically.

BMW is among the manufacturing giants that sees the promise of the machines, which capitalize on the physics of the ultrasmall to soar over some limits of conventional computers. Earlier this month, the German auto giant chose four winners in a contest it hosted with Amazon to spotlight ways the new technology could help the automaker.

The carmaker found quantum computers have potential to optimize the placement of sensors on cars, predict metal deformation patterns and employ AI in quality checks.

"We at the BMW Group are convinced that future technologies such as quantum computing have the potential to make our products more desirable and sustainable," Peter Lehnert, who leads BMW's research group, said in a statement.

BMW isn't alone in its determination to evaluate the practical application of quantum computers. Aerospace giant Airbus, financial services company PayPal and consumer electronics maker LG Electronics are among the commercial businesses looking to use the machines to refine materials science, streamline logistics and monitor payments.

For years, researchers worked on quantum computers as more or less conceptual projects that take advantage of qubits, data processing elements that can hold more than the two states that are handled by transistors found in conventional computers. Even as they improved, quantum computers were best suited for research projects, some as basic as figuring out how to program the exotic machines. But at the current rate of progress, they'll soon become powerful enough to tackle computing jobs out of reach of conventional computers.

Like cloud computing before it, quantum computing will be a service that most corporations rent from other companies. The rigs require constant attention and are notoriously fiddly. Though more work is required to tap their full potential, quantum computers are becoming more and more stable, a development that's helping corporations overcome initial hesitance.

Georges-Olivier Reymond, chief executive of startup Pasqal, says the progress is turning around skeptics who previously viewed quantum computing as a fantasy. A few years ago, employees at large corporations would roll their eyes when he brought up the subject, but that's changed, Reymond says.

"Now each time I talk to them I have a positive answer," Reymond said. "They are ready to engage."

One new customer is European defense contractor Thales, which is interested in quantum computing applications in sensors and communications. "Pasqal's quantum processors can efficiently address large size problems that are completely out of reach of classical computing systems," Thales Chief Technology Officer Bernhard Quendtsaid in a statement.

Of course, quantum computing is still a tiny fraction of the traditional computing market, but it's growing fast. About $490 million was spent on quantum computers, software and services in 2021, Hyperion Research analyst Bob Sorensen said at the Q2B conference held by quantum computing software company QC Ware in December. He expects spending to grow by 22% to $597 million in 2022 and at an average of 26% a year through 2024. By comparison, spending on conventional computing is expected to rise 4% in 2021 to $3.8 trillion, Gartner analysts predict.

The growing commercial activity is notable given that using a quantum computer costs $3,000 to $5,000 per hour, according to Jean-Francois Bobier, an analyst at Boston Consulting Group. A conventional, high-performance computer hosted on a cloud service costs a half penny for the same amount of time.

Analysts say the real spending on quantum computing will start when the industry tackles error correction, a solution to the vexing problem of easily perturbed qubits that derail calculations. The fidelity of a single computing step on the most advanced machines is around 99.9%, leaving a degree of flakiness that makes a raw quantum computing calculation unreliable. As a result, quantum computers have to run the same calculation many times to provide confidence that the answer is correct.

Once error correction is mature, the revenue generated through quantum computing will explode, according to Boston Consulting Group. With today's machines, that value will likely total between $5 billion and $10 billion by 2025, according to the consultancy's estimates. Once error corrected machines arrive, the total could leap forward to hit $450 billion to $850 billion by 2040.

Software and services that hide the complexity of quantum computers also will boost usage. IonQ CEO Peter Chapman predicts that in 2022, developers will be able to easily train their AI models with quantum computers. "You don't need to know anything about quantum," Chapman said. "You just give it the data set and it spits back a model."

Among the signs of commercial interest:

Quantum computers today are more of a luxury than a necessity. But with their potential to transform materials science, shipping, financial services and product design, it's not a surprise companies like BMW are investing. The automaker stands to benefit from knowing better how materials will deform in a crash or training its vehicles' vision AI faster. Though quantum computers might not produce a payoff this year or next, there's a cost to missing out on the technology once it matures.

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