Cloud Concepts & Models

What is Cloud Computing?
On-demand access to compute, storage, and networking resources over the internet — pay only for what you use.
Five Key Characteristics
| Characteristic |
Meaning |
| On-demand self-service |
Provision instantly, no human interaction |
| Broad network access |
Available from anywhere |
| Resource pooling |
Shared infrastructure (multi-tenant) |
| Rapid elasticity |
Scale up/down automatically |
| Measured service |
Metered billing — pay per use |
Cloud Deployment Models
PUBLIC PRIVATE HYBRID
────────────── ────────────── ──────────────────────
Azure (cloud) Your datacenter Both, connected
Anyone can use Internal only Flexible split
Least control Full control Mixed control
Cheapest Most expensive Middle cost
When to Use Each
| Model |
Use When |
| Public |
Normal workloads, variable scale, no special compliance |
| Private |
Regulatory, sensitive data, full control required |
| Hybrid |
Some data must stay on-premises, burst to cloud for scale |
{: .tip }
Exam: Hybrid cloud is for organisations that can't fully move to public cloud (compliance, legacy systems).
Cloud Service Models
YOU MANAGE ←────────────────────────────────→ PROVIDER MANAGES
SaaS PaaS IaaS
(Use it) (Build on it) (Rent the hardware)
────────── ───────────── ──────────────────
Office 365 App Service Azure VMs
Dynamics SQL Database Azure Storage
Teams Functions Virtual Networks
Shared Responsibility
| Layer |
IaaS |
PaaS |
SaaS |
| Application |
You |
You |
Provider |
| Data |
You |
You |
Provider |
| Runtime |
You |
Provider |
Provider |
| OS |
You |
Provider |
Provider |
| Virtualisation |
Provider |
Provider |
Provider |
| Hardware / Physical |
Provider |
Provider |
Provider |
{: .tip }
Exam: With IaaS you're responsible for OS patches. With PaaS and SaaS you're not.
CapEx vs OpEx
|
CapEx (Capital Expenditure) |
OpEx (Operating Expenditure) |
| What |
Buy hardware upfront |
Pay monthly/hourly |
| Example |
On-premises server |
Azure subscription |
| Cloud model |
Private cloud (you own hardware) |
Public cloud |
| Tax treatment |
Depreciated over time |
Deducted immediately |
{: .tip }
Exam: Cloud = OpEx. On-premises = CapEx.
Key Benefits of Cloud
| Benefit |
Meaning |
| High Availability |
Stays up despite failures (SLA guarantees) |
| Scalability |
Add resources as demand grows |
| Elasticity |
Auto-scale up AND down with demand |
| Agility |
Deploy in minutes, not months |
| Geo-distribution |
Data centres worldwide |
| Disaster recovery |
Backup and failover built in |
Scalability vs Elasticity:
- Scalability = can grow (add more VMs over time)
- Elasticity = automatically grows and shrinks in real time
Fault Tolerance & Disaster Recovery
| Term |
Meaning |
| Fault tolerance |
System keeps running when a component fails |
| High Availability |
Minimal downtime — measured by SLA (e.g. 99.95%) |
| Disaster Recovery |
Recover from major outage |
| RTO |
Recovery Time Objective — max acceptable downtime |
| RPO |
Recovery Point Objective — max acceptable data loss |
Exam Checklist
- [ ] Name the 3 cloud models and a use case for each
- [ ] Explain IaaS / PaaS / SaaS and who manages what
- [ ] Explain CapEx vs OpEx
- [ ] Distinguish scalability from elasticity
- [ ] Define HA, fault tolerance, RTO, RPO