Economic Implications of Cloud Computing Essay Example

Paper Type:  Case study
Pages:  4
Wordcount:  1020 Words
Date:  2022-11-18

What is Cloud Computing?

Cloud computing is, therefore, online-centered computing which provides organizations which an opportunity to access a network or a pool of computing resources (Chou, 2015). The third parties own and maintain these computing resources using the internet. Chou (2015) further asserts that the primary concern of cloud computing is the delivery of hosted services across the internet. The technology is elastic, cheap and flexible.

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Economic Implications of Cloud Computing

Growth of Democracy

Initially, various organizations collected data by using Paper and Pencil Interviewing (PAPI). Different countries also conducted their elections by using the manual systems of voting where the voters dropped their ballot papers into the ballot boxes. Since the onset of cloud computing, various countries employed the new method which is referred to as CAPI. Organizations collect the required data by using Computer Based Personal Interviewing (CAPI). The method is electronic, and it is integrated with the use of biometric technology to facilitate easy identification. These technologies depend on cloud computing to host. Information Technology (IT) is also an essential function in promoting these services since they are critical in supporting the objectives of an organization. For the sake of this study, informational technology is therefore necessary for facilitating the processes of BallotOnline. BallotOnline will consequently employ the technology as a way of replacing paper-based methods of assisting the management in performing these essential functions.

Ballot Online acknowledges that voting is essential for every democracy. It is also a privilege of living in a democratic state. Ballot Online, therefore, adopts the concept of online voting system. The system is essential in facilitating the new policy which the government instituted. These policies are measures of ensuring the effectiveness of the voting system. Chou (2015) suggests that the most appropriate way of employing cloud computing in the election process is through offering Unique Identification Number (UIQ).

The UIQ is provided for every citizen as a way of facilitating the process. To successfully to implement the entire process, governments apply cloud computing with an objective of avoiding the traveling time of the voters and to also help find the candidates who are not engaging in the voting process. The traditional ballot system required the voters to physically go to the polling station and cast their votes by use of pens and papers. Chou (2015) agrees that the implementation of cloud computing in the ballot system enables people to vote for their favorite candidates at their respective locations. The voters do not have to go to the polling station physically. The economic implication of this system is that it saves on time, which people would otherwise use in doing other economic activities that generate revenue for their respective countries. The voting system enables the authenticated individual to engage in the election. The system achieves this by integrating biometric technology in the voting process. The voters are in a better position to vote at any place at a time at the time of the election.

Investment and Innovation

Other economic implications of the technology are the ability to transform how governments, consumers, and companies store data, process and make use of the computing power for the sake of improving their societies. Concerning this, cloud computing becomes a platform for entrepreneurs to invest and an engine for innovation. Cloud computing is the driver of corporate efficiency, and if BallotOnline-manages to implement it effectively, it will be in a better position to transform the voting process as a new set of model and technology (Shawish & Salama, 2014).

Financial Savings

Economically, the technology also provides exceptional levels of configurability for a variety of users. Since the primary concern of BallotOnline is implementing a voting process that makes use of technology, cloud computing is in a better position to provide the organization with efficient services which are configured dynamically in line with the needs of the users with globally scaled and single unified architecture. Third party providers of cloud computing provide cost merits and scales to the diver's types of consumers which range from people to multinational corporations.

Job Creation

Cloud computing also has an economic implication on employment. Through job creation, the technology has provided employment opportunities for various individuals globally. According to Etro (2009), the estimations of expected employment opportunities as a result of cloud computing will be between 1.3 million and 3.8 million job opportunities in the European Union by 2020. There are possibilities of jobs slightly decreasing but increasing in the long run.

Positive Impact on GDP

The technology also has an impact on the GDP of various economies. There are different studies which forecast on the impact that Cloud Computing has on GDP. Etro (2009) estimates that in Europe; the average fixed ICT is 5% of the total costs. It, therefore, means that ICT costs include variable costs which are slightly larger. It means that when companies continue to need servers, computers to facilitate banking transactions at a faster rate. Firms also employ laptops since they are portable and they are usable anywhere at any time. The fact reduces the costs of cloud computing.


Cloud computing is therefore essential in transforming how governments, consumers, and companies store data, process and make use of the computing power for the sake of improving their societies. The technology impacts economies through job creation and improving GDPs, and also providing exceptional levels of configurability for a variety of users. In voting, it saves on time since voters can cast their ballot virtually. The technology is therefore an essential shift in economic modes and businesses which is significant for consuming information technology and helps in saving costs.


BallotOnline's IT Budget and Infrastructure Summary. (2018). Retrieved from HYPERLINK ""

Chou, D. C. (2015).Cloud computing: A value creation model. Computer Standards & Interfaces, 38, 72-77.

Etro, F. (2009). The economic consequences of the diffusion of cloud computing. The global information technology report, 2010, 107-112.

Shawish, A., &Salama, M. (2014).Cloud computing: paradigms and technologies. In Inter-cooperative collective intelligence: Techniques and applications (pp. 39-67). Springer, Berlin, Heidelberg.

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