Utility Computing

What is utility computing? Discuss.

• Utility computing is a service provisioning model in which a service provider makes computing resources and infrastructure management available to the customer as needed, and charges them for specific usage rather than a flat rate. Like other types of on-demand computing (such as grid computing), the utility model seeks to maximize the efficient use of resources and/or minimize associated costs.
• Utility computing refers to the ability to meter the offered services and charge customers for exact usage. It is interesting to note that the term originates from public utility services such as electricity.
• Utility computing is very often connected to cloud computing as it is one of the options for its accounting. Utility computing is a good choice for less resource demanding applications where peak usage is expected to be sporadic and rare.
• Still, Utility computing does not require Cloud computing and it can be done in any server environment. Also, it is unreasonable to meter smaller usage and economically inefficient when applied on a smaller scale. That is why it is most often applied on cloud hosting where large resources are being managed.
• Another version of utility computing is carried out within an enterprise. In a shared pool utility model, an enterprise centralizes its computing resources to serve a larger number of users without unnecessary redundancy.
• Many utility computing companies offer bundles or packages of resources. A comprehensive package might include all of the following:

1. Computer hardware, including servers, CPUs, monitors, input devices and network cables.
2. Internet access, including Web servers and browsing software.
3. Software applications that run the entire gamut of computer programs. They could include word processing programs, e-mail clients, project-specific applications and everything in between. Industry experts call this particular kind of business "Software as a Service" (SaaS).
4. Access to the processing power of a supercomputer. Some corporations have hefty computational requirements. For example, a financial company might need to process rapidly-changing data gathered from the stock market. While a normal computer might take hours to process complicated data, a supercomputer could complete the same task much more quickly.
5. The use of a grid computing system. A grid computing system is a network of computers running special software called middleware. The middleware detects idle CPU processing power and allows an application running on another computer to take advantage of it. It's useful for large computational problems that can be divided into smaller chunks.
6. Off-site data storage, which is also called cloud storage. There are many reasons a company might want to store data off-site. If the company processes a lot of data, it might not have the physical space to hold the data servers it needs. An off-site backup is also a good way to protect information in case of a catastrophe. For example, if the company's building were demolished in a fire, its data would still exist in another location.