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One of the most touted features of cloud infrastructures is its ability to automatically scale vertically and horizontally with almost zero impact on the running application/service. It changes the way CFOs look at IT infrastructure funding. Though the feature is paradigm shifting, it needs to be exercised with care.

In the traditional approach of hosting private infrastructures, the peak capacity is estimated and all the necessary infrastructure investments are made upfront. Inspite of this you continue to run the risk of underestimating the peak capacity. In contrast, with the cloud approach you pay only for the resources you actually use and the cloud also scales up to accommodate any overshoots.

The cloud however can make architects lazy and not design systems efficiently. Hence using up more resources than required. It may also lead to the development of systems that can respond to very high demands by adding instances, when meeting such demands may have no business benefits.

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