Intelligent applications and services are gaining in demand as consumers and the enterprise sect are demanding solutions that enable customized solutions that streamline processes in just about everything from shopping to paying bills to increasing productivity within the workplace.

The introduction and acceptance of cloud computing into the mainstream marketplace is now changing the way consumers and businesses purchase computing capabilities. With cloud computing, services can be purchased and used on-demand. This not only help to control costs, it also allows users to implement only the services and features they need, without spending money on bells and whistles they will never use.

 

In moving to a cloud-based environment, the enterprise can implement reusable processes for everything from service billing to the deployment of value-added capabilities. Those service providers that offer SaaS (News - Alert) easily attract a myriad of customers who are seeking to benefit from lower capital investments and the increased time to market for their own solutions as a result of service availability.

The biggest challenge for network providers when competing in a cloud-based environment is generating additional revenues. The good news is that cloud services offer flexibility and the ability to be global, opening up vast opportunities for the cost-effective creation and delivery of innovative applications. At the same time, it can also enable new business models and partnerships.

According to research presented by Alcatel-Lucent (News - Alert), over the next three years, 80 percent of cloud computing opportunities will emerge in switching current enterprise-hosted services to private or virtual private clouds. Cloud services present better margins while also offering self-service. This allows users to establish their own configuration and management quickly and easily through a web browser.

In developing reusable solutions, the network providers can develop offerings that appeal to a wider crowd at a lower price point to help drive adoption. At the same time, they also create new opportunities and enable enterprise customers to speed time to market on their own solutions as the investment to that point can be minimal and the time delay nearly non-existent.

All-in-all, cloud computing can enable network providers to identify new revenue opportunities and expose their full range of capabilities. Consumers and businesses will increasingly become aware of certain limitations in existing cloud services and those who easily overcome these challenges will rise to the top in the market.