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At the beginning of the pandemic, Blackboard, an EdTech company, was faced with a 3,600% increase in demand for their virtual classroom. Zoom, a video communications company, went from 10 million users to 300 million. Vyaire Medical, a respiratory device maker, saw demand increase from 30 units per week to almost 1,000 per day.
In addition to the hardworking people and supplies required to meet these unprecedented demands, companies have relied heavily on their IT infrastructure, including compute, storage, and analytics, to power through the pandemic. Cloud computing, in particular, has helped these organizations manage the challenges of agility, cost, and scale.
Most people don’t think about things like compute that often. But as the VP of Amazon EC2, a web service that provides compute capacity at Amazon Web Services (AWS), I think about it a lot. And during the pandemic, I’ve seen a major shift in organizations moving to the cloud and a mental shift in how they think about their IT department.
Cloud economics
With cloud computing, organizations get pay-as-you-go, on-demand access to virtual computers on which to run their applications. Instead of buying, owning, and maintaining physical data centers and servers, they pay for infrastructure as they consume as a variable expense, at a price lower than virtually any company could achieve on its own.
In the cloud, organizations can provision thousands of servers in minutes, as opposed to the months it would take to get a server up and running on premises. So when an organization, like the ones I mentioned earlier, experiences a sudden and unexpected increase in demand, they can quickly scale up. Alternatively, if business is slow, they can reduce capacity just as easily so that they don’t have to pay for something they aren’t using.
In addition to compute, organizations can access many other services in the cloud. In fact, at AWS we have over 200 services—from infrastructure technologies, like compute, storage, and databases, to emerging technologies, such as machine learning (ML) and artificial intelligence, data lakes and analytics, and the Internet of Things (IoT).
The new role of IT
Because of the pandemic many organizations have found themselves in uncharted territory, and it’s their IT leaders they’ve turned to for direction: How can we scale to meet demand? How can we save money while business is slow? How can we set up thousands of workers with remote access?
In the past, many organizations viewed their IT department as a support function—order takers. But with the emergence of disruptive technologies, such as ML, IoT, and serverless computing, IT leaders are getting their seat at the table. Now, more than ever, they have a huge hand in an organization’s success and planning for its future.
Even though the pandemic isn’t over yet, most organizations have adjusted to the new normal. That’s what makes now a great time to rethink, reimagine, and innovate with a stronger partnership between the business and IT.
The right tool for the job
A good partnership with IT will reveal to a business the vast amount of tools available to them as they reimagine how to create stronger business continuity and a lasting competitive advantage. But the truth is that an organization can start creating a meaningful impact by focusing on something as basic as compute.
At AWS, we have the broadest portfolio of compute options. As a result, our customers can customize their compute for each of their workloads, such as ML or high-performance compute, to get the best price and performance.
For example, NextRoll cut their compute bill in half by switching to one of our newest-generation instance types powered by our custom-built Graviton2 processors. The low price is made possible by our unique architecture, which offloads virtualization functions to dedicated software and silicon chips that we manufacture ourselves. This also allows our customers to innovate faster with performance that is indistinguishable from dedicated physical servers.
Or another example is how GovChat, South Africa’s largest citizen engagement platform, in just a few days created a chatbot to help citizens find their closest COVID-19 testing center using our serverless computing option, which is optimized for speed and scale.
A resolution for the new year
From what I’m hearing, organizations are ready to reinvent in the new year and they want IT to be a bigger part of that conversation. Many organizations reach out to AWS when they want to get that dialogue started because we’ve helped millions of organizations, from Fortune 500 companies to governments to startups, reinvent themselves.
To learn more about AWS Compute Solutions, click here.
To read all the pieces in our “Reinventing with the cloud” series, click here.
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An Australian teenager whose name has been withheld is facing serious charges by authorities over a massive data breach of Apple’s secured network. Apple said on Friday no customer information was compromised after Australian media reported a boy, 16, from the southern city of Melbourne, hacked into the world’s most valuable company from his parent’s basement many times over […]
