CIO Symmetry

Jun 9 2009   2:56PM GMT

Can startups get to market quicker via Amazon’s cloud computing model?

Kristen Caretta Kristen Caretta Profile: Kristen Caretta

Amazon’s cloud computing model is allowing startup companies like Confidela to bring their products to market quicker and cheaper.

The company of 15, which recently launched WatchDox, a document and permissions product, decided to utilize Amazon’s Elastic Compute cloud infrastructure (EC2) rather than to invest time and money in a new data center.

“For a startup just launching, we get huge data center capabilities,” said Confidela CEO and co-founder Moti Rafalin. “It’s one of the benefits of this era.”

Previously, a small startup company like Confidela would need to invest tens of thousands of dollars into a data center. Now, Confidela and other small businesses can take advantage of the scalability and “buy as you grow” option available with public clouds like Amazon’s – a natural way to grow and progress over time.

With multiple data centers in very geographic locations, tested reliability and enhanced security, Amazon’s cloud computing model is allowing Confidela to turn its startup dreams into reality and bring new innovation into the market.

Another potential benefit of using Amazon’s EC2 for startups or growing companies is its new initiative that allows users to reserve capacity in advance.  What this means is that customers only have to pay once to reserve capacity they expect to use in one- or three-year terms.  But they are still charged for only the capacity they consume. For a growing company or companies that have predictable computing needs, this is another good option that Amazon’s cloud computing infrastructure offers.

So for SMBs looking to explore new options and offerings, a public cloud may be a speedy and less expensive place to start.

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