As small and medium enterprises in Mexico adapt to rapid market changes, cloud computing has emerged as a vital tool for enhancing efficiency, reducing costs, and maintaining competitiveness in the digital economy.
The Role of Cloud Computing in Modern Business: A Rising Trend in Mexico
In today’s rapidly evolving business world, the cloud—a term commonly used to describe the network of servers where millions store data and access applications—has emerged as a significant opportunity, particularly for small and medium enterprises (SMEs) striving to stay relevant.
Businesses are experiencing increasingly shorter cycles of evolution, making the utilisation of cloud services essential for maintaining competitiveness in the current digital economy. Customer satisfaction is becoming increasingly complex to achieve as needs fluctuate swiftly, necessitating agile tools that reflect organisational efficiency.
Cloud computing offers flexible infrastructure with 24/7 support and virtually unlimited resources, making it an attractive option. Leveraging cloud support allows businesses to grow according to demand, harness specialised teams, and ensure constant monitoring. Moreover, it helps control costs and facilitates a supported process of updates.
Among the advantages for businesses using the cloud are:
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Cost Reduction: Eliminating the need for substantial infrastructure investments, businesses can opt to pay only for the resources they utilise.
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Scalability: Cloud services enable companies to adjust the necessary resources such as storage and processing capabilities as needed.
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Accessibility and Productivity: Facilitating remote work and collaboration among geographically dispersed teams via internet access.
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Automatic Updates: Ensuring continuous access to the latest software versions.
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Security: Enhanced protection against cyberattacks, data encryption, and multi-location data backups.
There are public, private, and hybrid clouds, with hybrid models combining at least one private computing environment with one or more public clouds, thus harnessing resources from various providers to meet specific workload requirements. Public clouds, offered by providers like Amazon and Microsoft, allow flexible, on-demand resource access but may raise concerns regarding data security and control. Conversely, private clouds offer greater control and customisation but can be more costly and intricate to maintain. Hybrid clouds combine these aspects, enabling businesses to decide which processes to maintain in-house and which to migrate to the cloud.
The significant computational power required by Artificial Intelligence (AI) underscores the vital role of cloud servers, which are capable of handling such demanding processes involving extensive processors and memory.
The physical infrastructure prerequisite for cloud computing consists of data centres. The Mexican Association of Data Centres (MEXDC) projects that by 2029, at least 73 new data centres will be established in Mexico to meet the growing needs for digital services in the country, with an investment projection of 9.192 billion USD.
Maximising the benefits of cloud computing requires careful consideration of several factors: selecting the appropriate provider, meticulous data migration planning, personnel training, and understanding regulations, particularly regarding personal data protection.
In summary, the cloud offers various advantages that can help businesses operate more efficiently and effectively. However, it is crucial to meticulously evaluate options and plan the transition to maximise value. An imminent evolution in cloud computing, driven by AI, promises to harness the data we’ve accumulated to innovate product development, enhance decision-making in operational processes, and deliver superior customer experiences.
The author has served as Director of Communication in infrastructure and energy companies, and lectures on branding, marketing, and communication at EGADE Business School, Tecnológico de Monterrey.