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What is a public cloud?

Learn about public cloud, a type of cloud computing service where computing resources, such as servers, storage, and networking, are owned and operated by a third-party provider and made available to multiple customers over the internet.
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Public cloud offers scalability and efficiency

Businesses are turning to the public cloud for scalable and cost-effective computing power. Offering resources like storage, networking, and applications over the internet, public cloud services reduce IT infrastructure cost and support innovation.

Key takeaways

  • A public cloud is a cloud computing model in which third-party providers deliver computing resources over the internet to multiple customers on a shared infrastructure.
  • Features include infrastructure and virtualization, on-demand access, and pay-as-you-go pricing.
  • Benefits of public cloud services include cost-effectiveness, scalability, and flexibility.

Public cloud definition

A public cloud is a cloud computing model in which third-party providers deliver computing resources—such as servers, storage, networking, and applications—over the internet to multiple customers on a shared infrastructure. It operates on a pay-as-you-go model, allowing businesses and individuals to access scalable and cost-effective IT services without the need for on-premises hardware.

Public cloud services are managed, maintained, and secured by third-party providers, who aim to deliver high availability, reliability, and continuous updates. This model allows organizations to scale resources on demand, enhance flexibility, and leverage advanced technologies without the complexity of managing physical infrastructure.

How does public cloud work?

A public cloud works by using a shared pool of computing resources—such as servers, storage, and networking—provided by a third-party cloud service provider over the internet. These resources are hosted in the provider’s data centers and made available to multiple customers on a pay-as-you-go or subscription basis.

Features of a public cloud include:

Infrastructure and virtualization. Public cloud providers operate large data centers with thousands of servers. Using virtualization technology, they divide these physical resources into virtual machines (VMs) or containers, which are allocated to customers based on their needs.

On-demand access. Users can access cloud services via a web-based interface, APIs, or command-line tools. They can quickly scale resources up or down, depending on workload demands.

Multi-tenancy model. Multiple businesses, individuals, or organizations share the same underlying infrastructure, but each customer’s data and applications remain isolated for security and privacy.

Pay-as-you-go pricing. Customers are billed based on usage, such as computing power, storage, bandwidth, and additional services such as AI tools, databases, or analytics.

Managed services and security. The cloud provider handles maintenance, updates, and security measures, including firewalls, encryption, compliance certifications, and backup solutions to protect customer data.

Global accessibility. Public cloud providers often have a network of data centers across the world, enabling customers to deploy applications and access data from anywhere with an internet connection.

Key services in a public cloud include:

Advantages of public cloud

The public cloud offers a wide range of benefits, making it a preferred choice for businesses and individuals seeking cost-effective, scalable, and flexible computing solutions. One of its biggest advantages is the pay-as-you-go pricing model, which eliminates the need for large upfront investments in hardware and infrastructure.

Additionally, public cloud providers ensure high availability and reliability, with globally distributed data centers that minimize downtime. Public cloud’s on-demand scalability allows organizations to quickly adjust resources based on demand, making it ideal for handling fluctuating workloads. Security and compliance are also key benefits, as leading providers implement robust security measures, encryption, and regular updates to protect data. Using the public cloud, businesses can focus on innovation and growth without the burden of managing complex IT infrastructure.

Cost efficiency

Unlike traditional on-premises infrastructure, which requires large upfront capital investments in hardware, software, and maintenance, the public cloud operates on a pay-as-you-go model. This means organizations only pay for the computing resources they actually use, eliminating unnecessary expenses. Cloud providers handle maintenance, security, and updates, reducing the need for in-house IT staff and lowering operational costs.

Scalability and flexibility

The public cloud provides a high level of scalability and flexibility, allowing businesses to efficiently adapt to changing demands without the limitations of traditional IT infrastructure. With on-demand resource allocation, organizations can quickly scale computing power, storage, and bandwidth up or down based on workload fluctuations. This elasticity is especially beneficial for businesses experiencing seasonal spikes, rapid growth, or unpredictable traffic patterns.

The cloud supports a variety of workloads and applications, from web hosting to big data analytics, AI, and enterprise solutions. The flexibility of the public cloud also allows businesses to experiment, deploy new applications quickly, and expand into new markets without significant infrastructure investments.

Accessibility and mobility

The public cloud enhances accessibility and mobility, allowing organizations to access applications, data, and services from anywhere with an internet connection. Unlike traditional on-premises systems that tie businesses to specific locations, cloud-based solutions enable remote work, global collaboration, and seamless connectivity across devices.

This accessibility is especially valuable for businesses with distributed teams, as employees can securely access critical resources whether they’re in the office, at home, or traveling. With built-in redundancy and globally distributed data centers, the public cloud ensures high availability, minimizing downtime and disruptions.

Security and compliance

The public cloud offers robust security and compliance benefits. Leading cloud providers typically implement advanced security measures, including encryption, firewalls, intrusion detection systems, and multifactor authentication, to protect data from cyberthreats. Providers may also employ dedicated security teams, AI-driven threat monitoring, and automated patching, reducing the risk of breaches and vulnerabilities.

In addition to security, public cloud providers comply with strict industry standards and regulations, such as General Data Protection Regulation (GDPR), HIPAA, ISO 27001, and SOC 2, helping businesses meet legal and regulatory requirements. Many providers also offer data redundancy, disaster recovery, and backup solutions, enhancing business continuity and resilience against data loss.

Access to cutting-edge technologies

The public cloud provides access to cutting-edge technologies by offering a vast array of advanced tools, platforms, and services that businesses can use without investing in expensive hardware or specialized expertise.

These technologies are available on-demand, allowing businesses to experiment, develop, and deploy high-performance applications without building their own infrastructure. For example, companies might use cloud-based AI and machine learning services to create intelligent applications, automate processes, and gain data-driven insights.
Use cases

Public cloud use cases

Organizations typically use public cloud for these scenarios:

Website and application hosting

The public cloud is widely used for website and application hosting due to its scalability, reliability, and cost-effectiveness. Businesses and developers use public cloud platforms to host websites and applications without the need to maintain physical servers.

Data storage and backup

The public cloud is a powerful solution for data storage and backup, providing scalable, secure, and cost-effective ways to store and protect data. Leading cloud providers typically offer a range of storage services including everyday file storage and long-term archival and disaster recovery.

Big data and analytics

The public cloud is an essential platform for big data processing and analytics, providing businesses with the scalability, computing power, and advanced tools needed to handle massive datasets efficiently.
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Frequently asked questions

  • A public cloud is a cloud computing model in which third-party providers deliver computing resources—such as servers, storage, networking, and applications—over the internet to multiple users on a shared infrastructure.
  • SaaS isn’t inherently public or private cloud, but it can be deployed on either, depending on how it is hosted and accessed.
  • Yes, Microsoft Azure is a public cloud platform. It provides a wide range of cloud computing services, including compute power, storage, networking, databases, AI, analytics, and security, all delivered over the internet.
  • The public cloud offers scalable, cost-effective services hosted by third-party providers, where resources are shared among multiple organizations. The private cloud provides a dedicated infrastructure for a single organization, offering greater control, security, and customization but at a higher cost and complexity.