What are the implications of cloud computing for e-commerce?

What will be an ideal response?

Cloud computing has many significant implications for e-commerce. For e-commerce firms, cloud computing radically reduces the cost of building and operating Web sites because the necessary hardware infrastructure and software can be licensed as a service from cloud service providers at a fraction of the cost of purchasing these services as products. This means firms can adopt "pay-as-you-go" and "pay-as-you-grow" strategies when building out their Web sites. For instance, according to Amazon, hundreds of thousands of customers use Amazon Web Services. For individuals, cloud computing means you no longer need a powerful laptop or desktop computer to engage in e-commerce or other activities. Instead, you can use much less-expensive tablet computers or smartphones that cost a few hundred dollars. For corporations, cloud computing means that a significant part of hardware and software costs (infrastructure costs) can be reduced because firms can obtain these services online for a fraction of the cost of owning, and they do not have to hire an IT staff to support the infrastructure.

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