Technology is not like a fine wine. It doesn’t get better with age. This fact can hit a company pretty hard. When you realize your technology has depreciated significantly enough that it causes damage to your company’s productivity, you’re now in the market for a new system of tools. To avoid dropping $30,000 or more on new hardware, you may want to consider infrastructure-as-a-service (IaaS).
IaaS is simply a way to get you to industry standards in terms of your technology. This is often called certified network infrastructure. All it means is that your equipment and network is current enough to be compatible with the latest technology. (If your files are saved on floppy disks, for example, you’re going to have a tough time with business continuity.)
IaaS is a new way for businesses to bring their technology up-to-date while giving them some exciting tax benefits to help improve profitability by flatlining IT budgets.
Huge outlays on new hardware is just something most businesses don’t have. But when new hardware is what you need, without another option, you’re in a catch-22. Think about iPhone. Not everyone has a thousand bucks for a phone, but if you can effectively lease it for $20 a month, iPhone met your demand.
IaaS means that you get data center access to the new hardware you need to reach certified network infrastructure standards for a flat monthly fee. This gives you predictability with your budget while ensuring you’ve got high-functioning equipment to keep your team productive.
Outdated software is a hacker’s dream. Last year’s Wannacry ransomware infected millions of computers through outdated versions of Microsoft. In fact, a patch had already been made that could’ve blocked the virus on those old operating systems but users and admins have always been slow to perform regular updates to software and the OS.
With infrastructure-as-a-service, your software and operating systems are always updated, always at their best in terms of security and functionality. You never have to worry about lapses in cybersecurity because your IaaS platform is updated as soon as new data is released.
CAPEX vs. OPEX
Because with IaaS, you are effectively leasing access to equipment, data storage, software, and the like, you move that IT budget into an operating expense. This means your IT is 100% tax deductible at the end of the year. If you’re buying hardware, you can write it off, but over five years to account for depreciation. By the time you get the full deduction, it’s time to buy new equipment. With IaaS, you can deduct every dollar you pay, every year.
For most businesses, leasing that equipment pays huge dividends by minimizing capital expenses, but the tax rebate is also extremely beneficial.
Data Center Strength
The key element of IaaS is the reliance on off-premise data centers. The components are built in and rely on the data center to operate. No longer are your business apps and tools baked into your hardware. Rather, your entire computing system has been virtualized in the cloud.
This offers a few incredible advantages over on-premise servers and on-platform software. First, you get military-grade encryption with data centers. This is a huge improvement, particularly for SMBs who have never had enterprise-level security. So, you not only enjoy redundancies that you need for business continuity, but you also get much higher protection from would be malicious attackers.
Likewise, with IaaS data center systems, you have incredible flexibility. Scaling needed resources up and down is as simple as logging, clicking a few options, and accessing a new virtual machine.
IaaS with Continuity Centers
When you’re ready to explore infrastructure-as-a-service, contact Continuity Centers to find out how your business can benefit.
Learn more about Continuity Centers and Infrastructure-as-a-Service